Analysis of factors of economic growth in publications of profile magazine

Preliminary results of the year were summed up by the final issue of Finances and Economy Magazine, the scientific and practical bulletin highlighting the main tendencies of Turkmenistan development, realization of national integrated and profile programmes.

The magazine also publishes review scientific articles on current subjects of financial, tax and budgeting, monetary and crediting policy and management for support of solution of economic objectives of the country, analytical materials on advanced financial practices in the world.

Subject matter of new issue of the magazine covers priority directions of foreign relations of Turkmenistan, budget system of the country and its targets for 2020, digitization process as at the main vector of progress and innovative growth.

Big amount of work lays within the area of international cooperation, to various aspects of which attention is paid on the pages of new issue of the magazine. These are an opening of new joint ventures in the country, formation of conditions for more active and wider collaboration between business communities, partnership in realization of major projects and congress and exhibition activity.

Development of trade and transport relations on the platform of the UN Special Programme for Economies of Central Asia (SPECA), which Turkmenistan has chaired in 2019, was reviewed separately. One month ago, Ashgabat hosted the SPECA Days, under which number of important events aimed at facilitation of trade and transit procedures, formation of transboundary production and sale links in the region took place.

It is noted that the volume of trade between Turkmenistan and SPECA countries is growing significantly. Thus, if back in 2016, the trade was to the amount of 886,000 million US dollars, in 2017, it increased to 982,000 million US dollars, having grown by 11 percent. In 2018, the growth rate was 13.3 percent, having reached 1,113,000,000 US dollars.

This indicator has exceeded one billion US dollars by the outcomes of nine months of this year. The biggest quota of trade falls on Afghanistan, Uzbekistan, Azerbaijan and Kazakhstan.

Articles of the magazine also analyse the practice of developed countries like USA, Switzerland, Netherland and Singapore in the sphere of macroeconomic modelling with the aim at its adaptation in Turkmenistan realities and practical application for implementation of large-scale plans, which were defined by the Head of the State.

There are five factors determining an economic growth namely natural resources, human capital, financial assets, technological development and political environment. The experts state that availability of only one factor of availability of natural resources is not enough even taking in the consideration the importance of this component. For example, the economy of Netherlands today is described with higher level of development comparing with Indonesia and Brazil, which have more natural resources.

In other words, the countries, in which economic factors prevails, have competitive advantages and use their potential more effectively. Fundamental reforms in Turkmenistan are aimed at such model of national economy.

Success of these changes is provided by weighted, comprehensive approach, which provides further improvement of all directions of the government activity, development of marketing mechanisms in the country and foreign relations.

In 2018, the Department of International Economic Relations has started operating under the Foreign Ministry of Turkmenistan. It authority includes strategic objectives for coordination of intergovernmental commissions, economic, financial and technical expertise of big investment projects.

Therefore, economic strategy is implemented on all levels starting from diplomatic to production one and based on the results of comprehensive assessment of innovative approach of innovative potential of Turkmenistan and long �term scientific and technological forecast.

The strategy is focused on the reforms in social sphere, making of conditions for improvement of wellbeing of the nation, each citizen through industrial growth, use of colossal material resources and increment of export, promotion of new technologies in all spheres.

Significant efforts are focused on stimulation of research activity and innovations in higher education. Infrastructure of innovation support, which includes special economic zones, techno parks, business incubators, is under development; digitization of regions and rural areas is expanded and creation of smart cities and residential estates is started.

Authors of articles make a conclusion that on one hand, innovative development is turning into the main source of economic growth as the result of enhancement of labour and production efficiency in all sections of the economy, competiveness of production and expansion of markets, opening of new branches, expansion of investment activity, increment of income and consumption of the population.

On another hand, the economic growth will support the appearance of new products and technologies, will allow the State increasing the volume of investments to development of human capital 9first in education and science) as well as to the support of innovations. This interrelation is reviewed in the magazine on the sample of digitization of agrarian sector of Turkmenistan and development of precision farming.

Students and trainees of various economic courses as well as relative leaders will be interested make use of the material dedicated to such important indicator of economic growth as labour efficiency.

It is measures by the ration between maximum volume of production and minimum cost of labour and time saving. Application of these calculations becomes a necessary factor for evaluation of efficiency of modernization of branches and facilities, implementation of information technologies and intellectual systems to their activity.

In his book State Regulation of Social and Economic Development of Turkmenistan, President Gurbanguly Berdimuhamedov forecasts that our country will join the ranks of the leading world powers by such important criteria as share of gross domestic product per capita, labour efficiency and real income of citizens in the period between 2021 to 2030.

Movement toward targeted levels and achievements along the way are professionally highlighted by the magazine published by the Ministry of Finances and Economy of Turkmenistan. Highlighting and working comprehensively the subjects f theory and practice in this sphere, it presents the outlook of the future of Turkmen economy to the readers through the prism of social effect expected from large-scale reforms that have been started.

Finances and Economy Magazine is published in Turkmen, English and Russian languages, which allows attracting foreign specialists, businessmen and analysts to expert dialog and exchange of opinions.

Source: Turkmenistan: the Golden Age Online Newspaper