1. TURKMENISTAN By Todor Valev and Anton Borisov

2. MAP

3. Basic Facts Central Asia Population: 4.9 million Area: 488, 100 km 2 Natural Gas and Oil

4. Historical Background Independence from SSSR in 1991 Remains a totalitarian country under the rule of the former Communist party Personality cult – “President for Life” Saparmurat Niyazov 2006 - New President and hope for change

5. Economic Background Desert Country Natural Gas and Petroleum Trade Account (4.596 billion dollars) GDP (26.201 billion dollars) –Agriculture – 28.5% –Industry – 42.7% –Services – 28.8%

6. Current Account Data Obtained from International Monetary Fund (IMF)

7. Goods and Assets Markets Hyperinflation and negative GDP growth during the first years of independence Constant arguments with Russia concerning the gas prices and transit Stabilizing of the economy around 1999 Growing planned economy offsetting the inefficiencies through high gas export revenue State-controlled banking system

8. GDP Growth Data Obtained from International Monetary Fund (IMF)

9. GDP Growth Data Obtained from International Monetary Fund (IMF)

10. Inflation Data Obtained from International Monetary Fund (IMF)

11. Labor Market Skewed and unreliable data from national sources Labor Force Unemployment – 60% (2004 estimates from CIA Fact book)

12. Repercussions of the World Financial Crisis Less affected by the crisis due to: State regulated economy Strict monetary policy State ownership of the banking system Almost no participation in foreign financial markets However, decreasing gas and oil prices

13. Q&A Session!

14. Thank You!