Turkmen GDP jumps by 14.4 percent

Business Materials 11 July 2011 19:09 (UTC +04:00)

Turkmenistan, Ashgabat, July 11 / Trend H.Hasanov /

The GDP growth in Turkmenistan amounted to 114.4 percent and industrial growth amounted to 142.9 percent in the first half of 2011.

The data was announced at the last governmental meeting.

"The state budget was executed with the excess and inflation rate was reduced," the report reads.

Turkmenistan is one of the key players in the energy market in the Caspian region. Production of natural and associated gas in the first half of 2011 grew by 40.2 percent and natural gas exports increased by 77.4 percent. Positive growth was achieved in the refining industry -100.5 percent.

Particularly, an increase was recorded in production of gasoline, diesel fuel and polypropylene, compared to the same period of 2010.

The targets in the drilling were over fulfilled by 14 percent.

The growth rate hit 106.3 percent in the oil and gas condensate production in the first half of 2010 compared to the same period in 2010.

The growth rate of production of all types of mineral fertilizers in the chemical industry amounted to 105.4 percent compared to the same period in 2010. The most rapidly growing rate was recorded on the production of phosphate fertilizers - 111.9 percent and technical iodine - 108.7 percent.

A strong growth as recorded in production volumes. Particularly, the growth of electricity production amounted to more than 118 percent, natural gas - more than 140 percent, oil - 106.3 percent, cement production - more than 110.5 percent, building materials - more than 109 percent and mineral fertilizers - 105.4 per cent.

The high rates were also recorded in agriculture, in particular, cotton production increased - by 133.4 percent.

The U.N. report "World Economic Situation and Prospects for 2011" reads that Turkmenistan will have one of the fastest growing economy in the world in 2011-2012.

U.N. experts expect that Turkmen economic growth in 2011 will amount to at least 10 percent and maintain the same momentum as in 2012.

Local economists note that these positive figures are due to economic diversification and modernization, which have already borne fruit. In 2010, the GDP grew by 9.2 percent. Earlier, the International Monetary Fund (IMF) forecast steady growth of the Turkmen GDP in 2011.

Turkmenistan is one of the key natural gas suppliers in the Caspian region. The country exports gas to China, Russia and Iran.

Turkmen President Gurbangulu Berdimuhammedov said earlier at a government meeting in 2011 that Turkmenistan adopted a "substantial state budget," which will increase the expenditure side by 28.3 percent, or nearly $5 billion.