Other State Department Archive Sites

The State Department web site below is a permanent electronic archive of information released online from January 1, 1997 to January 20, 2001. Please see www.state.gov for current material from the Department of State. Or visit http://2001-2009.state.gov for information from that period. Archive sites are not updated, so external links may no longer function. Contact us with any questions about finding information. NOTE: External links to other Internet sites should not be construed as an endorsement of the views contained therein.

Country Commercial Guides for FY 2000: Turkmenistan Report prepared by U.S. Embassy Ashgabet, Released July 1999 Note*

CHAPTER I: EXECUTIVE SUMMARY

This Country Commercial Guide (CCG) presents a comprehensive look at Turkmenistan's commercial environment, using economic, political, and market analysis. The CCGs were established by recommendation of the Trade Promotion Coordinating Committee (TPCC), a multi-agency task force, to consolidate various reporting documents prepared for the U.S. business community. Country Commercial Guides are prepared annually at U.S. embassies through the combined efforts of several U.S. Government agencies.

Turkmenistan is a new, constantly changing market in which the investor or businessman must be flexible, persistent, and patient in order to succeed. It is a country of important, untapped natural resources, where the opportunities for investment and business are varied and numerous. But, the risks inherent in doing business in the former Soviet Union require that potential investors and businessmen proceed cautiously.

The Government of Turkmenistan (GOTX) has not yet implemented a program of far-reaching economic reform, although it has taken limited steps in some areas. While small-scale trading and service operations have largely been privatized, the government is still grappling with how to privatize medium- and large-scale enterprises. The government continues to play an interventionist role in the economy, and the problems inherent in a command economy continue to frustrate western companies. All decisions are made at the highest levels of government. Political considerations exert and influence on economic decisions. While some of the regulatory and legal foundations of a market economy have been developed, their implementation is flawed and inconsistent. Business infrastructure and know-how are improving, but still lag behind that of many other countries of the former Soviet Union.

Throughout the Soviet period, Turkmenistan's economy was based on exploitation of its natural gas, oil, and cotton. Today, the GOTX is focusing its attention on expanding export markets for its natural resources and increasing the value-added of its exports. The GOTX has placed a priority on investment in the oil and gas and textile industries, transportation and communication networks, and processing facilities. In addition, the GOTX has invested in infrastructure improvements designed to attract foreign businesses to invest in Turkmenistan.

Country Commercial Guides are available for U.S. exporters from the National Trade Data Bank's CD-ROM or via the Internet. Please contact STAT-USA at 1-800-STAT-USA for more information. Country Commercial Guides can be accessed via the World Wide Web at: HTTP://WWW.STAT-USA.GOV, HTTP://WWW.State.Gov/, and HTTP://WWW.mac.doc.gov. They can also be ordered in hard copy or on diskette from the National Technical Information Service (NTIS) at 1-800-553-NTIS. U.S. exporters seeking general export information should contact the U.S. Department of Commerce, Trade Information Center by phone at 1-800-USA-TRAD(E) or by fax at (202)482-4473.