The Asian Development Bank (ADB) has approved a $50 million grant to support the Government of Tajikistan in advancing key structural reforms that promote green jobs, particularly for women.
The grant, funded through ADB’s Asian Development Fund (ADF) under subprogram 2 of the Enabling Climate-Responsive Business Environment Improvement Program, strengthens economic diversification, improves fiscal governance and transparency, accelerates digital transformation, and boosts Tajikistan’s competitiveness in regional and global markets.
“Building on the achievements of subprogram 1 approved last year, subprogram 2 delivers a sequenced and forward-looking package of reforms that are vital for Tajikistan’s long-term growth and resilience,” said ADB Country Director for Tajikistan Ko Sakamoto. “By fostering green entrepreneurship, expanding opportunities for small exporters, accelerating digital transformation, and mobilizing green finance, these reforms strengthen competitiveness and help the government build a more sustainable and resilient economy that benefits all citizens.”
Key actions under subprogram 2 include initiating amendments to Tajikistan’s leasing law to assist the leasing sector and expand small and medium-sized enterprises’ (SMEs) access to finance, advancing the development of green taxonomies to guide climate-aligned investments, introducing incentives for subsidized financing for climate-friendly SMEs, and adopting a new law on organic production. Together, these measures support the country’s ongoing transition toward a greener and more sustainable economy.
The program also bolsters governance and enhances transparency by expanding fiscal risk reporting to capture climate-related shocks and by initiating climate budget tagging to more effectively track climate expenditures. It further helps advance digital transformation by improving cybersecurity, introducing fiscal incentives for innovative and technology-related business activities, and establishing an information technology park to promote growth in the digital economy.
The reforms continue to strengthen Tajikistan’s export competitiveness and efforts to attract investment. Key actions include operationalizing support for small exporters—taking steps toward establishing a small exporter facilitation center—and prioritizing climate-friendly and women-led enterprises for export support and market diversification. To further accelerate green development and mobilize sustainable finance, the Ministry of Finance has issued Tajikistan’s first sovereign green bonds.
The program has been implemented in close collaboration with development partners, ensuring effective coordination and leveraging combined expertise and global best practices to boost investor confidence, private sector growth, and business climate.
