Germany is Ready to Invest in Tajikistan

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President of Tajikistan Emomali Rahmon had a meeting with the Executive Director of the Eastern Committee of the German Economy Michael Harms at the Palace of the Nation today. The sides discussed prospects for cooperation in the fields of trade, economy and investment between the two countries, the press service of the Tajik head of state reports.

Emomali Rahmon stressed that the relations between the parties are based on the principles of trust, mutual understanding and mutually beneficial cooperation.

The sides also discussed prospects for cooperation in the sectors of hydropower, industry, agriculture, transport and tourism, as well as in the light and textile industries, food industry, mining and processing of mineral resources, mechanical engineering, chemistry, pharmaceuticals and the creation of joint production enterprises.

According to the source, the interlocutors expressed interest in investments, innovations and technology transfer from Germany to Tajikistan, as well as the processing and export of environmentally friendly Tajik agricultural products.

According to the Ministry of Economic Development and Trade of the Republic of Tajikistan, in the first half of the year, the foreign trade turnover between Tajikistan and Germany amounted to $93.9 million, an increase of $50 million or 2.1 times compared to the same period last year.

Meanwhile, the withdrawal from the Russian market for German companies has become a “big problem”, they can return when resolving political differences between countries and lifting sanctions.

This opinion was expressed by Executive Director of the Eastern Committee of the German Economy Michael Harms at the investment forum of Tajikistan and Germany, which was held in Dushanbe.

“There are always chances, of course, but I can’t tell you the prospects. There are chances only if the current conflict ends and sanctions are lifted. Unfortunately, the figures show that [economic relations] have been discarded, this is, of course, a big problem for our business,” he said.

The interlocutor of the agency added that earlier economic relations between Russia and Germany were good.

“In principle, we had excellent relations, we benefited greatly from this, we not only received good resources, but also invested a lot, I personally worked in Russia for a long time – [this is] a great time and great prospects. So if we solve the political [issues], then, of course, there will be a return,” Harms said.

In February of this year, the Eastern Committee of German economy in its press release noted that exports from Germany to Russia in 2022 decreased by 45% and economic relations between the two countries were “pushed back to 20 years ago.”

The release noted that if in 2022 the Russian Federation was the 15th most important market for Germany, by February 2023 it had fallen to 23rd place. Earlier, Harms reported that as an alternative to Russia, German companies intend to enter the markets of Central Asia.

The Eastern Committee of the German Economy is a regional initiative of the German economy for the countries of Central and Eastern Europe, as well as Central Asia. The Committee, headquartered in Berlin, unites more than 350 enterprises, primarily medium-sized businesses, as well as large industrial unions.

Source: Asia Plus