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SME PRESS REVIEW International Finance Corporation SME PRESS REVIEW International Finance Corporation Friday, 30 September 2011 In this issue: Feature News EITI development issues discussed in Dushanbe……………………………………………...2 Creating a "One-Stop Shop" for exports and imports will be discussed in Dushanbe……..2 Tajikistan offers very good benefits to investors, expert says…………………………….......3 Investment plan for the development of tax administration in Tajikistan developed...….…3 Interest rates decreased in Tajikistan……………………………………………………….….4 The Government approved the State Commission draft budget for 2012 ……………….….4 Tajik Central Bank attributes fall to USD-TJS exchange rate to external factors…….…....4 The new draft tax code discussed in Dushanbe………………………………………………..5 Other News Cooperation between business communities of Tajikistan and Poland discussed in Dushanbe.5 World encounters second wave of global financial crisis, says CPT leader……………………..6 Tajik delegation attends Euro-Asia economic forum in China…………………………………..6 Tajikistan begins to supply electrical power to Afghanistan……………………………………..7 Paid services to population in Tajikistan amounted to nearly $ 1 billion ………………………7 Joint meeting of the National Council and development partners was held in Dushanbe ….…7 Weighted average interest rate on loans falls 1.3% in Tajikistan…………………………….…8 Six high-ranking Kyrgyz state officials reportedly dismissed for fuel smuggling to Tajikistan.9 More than $ 3.2 million wage arrears in Tajikistan………………………………………………9 News in Brief It is planned to obtain 2.5 tons of gold in Tajikistan in 2011 …………………………………..9 Danghara and Kulob districts in Khatlon overfulfill their cotton targets……………………..9 Airline "Somon air" acquired Boeing…………………………………………………………...10 In Tajikistan it is planned to obtain 2.5 tons of gold in 2011…………………………………..10 Official rates of exchange of currencies as of 30 September, 2011-……………………………10 Sources: News Packages: Asia Plus Blitz, Khovar, BBC Monitoring Global Newsline Central Asia, Newspapers: Asia Plus, Business i Politika, Vecherniy Dushanbe, Tojikiston, Farazh, Nigoh, Charkhi Gardun, Narodnaya Gazeta, AiF Tajikistan, Jumhuriyat, Najot, Imruz News, Sadoi Mardum Web sources: www.asiaplus.tj , www.avesta.tj , www.varorud.tj , www.ozodi.org , www.pressa.tj , www.khovar.tj , www.president.tj , www.mfa.tj , www.iwpr.net , www.ca-news.org, www.dw-world.de , www.rferl.org , www.tojnews.tj ___ _________________________________________________________________________________ 1 ___ Inclusion of news items into this review does not imply endorsement of the content by the IFC Feature News EITI DEVELOPMENT ISSUES DISCUSSED IN DUSHANBE DUSHANBE, September 27, 2011, Asia Plus -- Issues related to development of the Extractive Industries Transparency Initiative (EITI) in Tajikistan were discussed here on Saturday at a meeting of Deputy Finance Minister, Jamshed Norinov, with representatives of the World Bank and other international organizations active in Tajikistan, as the Ministry of Finance (MoF) Secretariat reported. The meeting participants, in particular, discussed the results of a seminar on promotion of EITI in Tajikistan that took place in Dushanbe in June. Tajik deputy minister reportedly noted that the Government of Tajikistan has taken efforts in recent year to intensify economic reforms and promote integration of the country into the world economy. The sides expressed readiness for further cooperation on making concerted decisions on promoting EITI in Tajikistan. The Extractive Industries Transparency Initiative, EITI, is the widely-accepted international framework for strengthening transparency and accountability in the extractives sector. Launched in 2002, it is currently implemented in 35 countries across the globe. It is unique in terms of bringing together representatives from three different groups - private sector, civil society and Government - to work together, through the verification and full publication of company payments and government revenues from oil, gas, and mining. Adherence to and implementation of EITI is crucial for Tajikistan’s economic and social development. Recent mining reforms and mineral discoveries are likely to significantly expand the extractive sector in Tajikistan. Yet, these resources are not renewable and therefore need to be managed very carefully. In this context, EITI will bring many benefits to Tajikistan: an improved investment climate, a signal to international investors that the government has a clear commitment to transparency and good governance, and strengthened accountability vis-à-vis the people of Tajikistan. In order to formally be accepted as an “EITI candidate” country, Tajikistan will have to fulfill a number of requirements, including a formal public announcement, a firm commitment to working with the civil society, establishment of a Multistakeholder group, appointment of an “EITI Champion” to pilot the initiative, and publication of a work plan. The World Bank has strong experience in EITI implementation around the globe. Appointed as administrator of a Multidonor Trust Fund that has nearly US$50 million in contributions from 14 donors, the World Bank currently works in 50 countries worldwide to provide technical assistance to EITI and to support EITI dialogue in countries that are just considering becoming a part of the initiative. The World Bank stands ready to support EITI in Tajikistan. Source: www.news.tj, September 27, 2011, Payrav Chorshanbiyev, Original in Russian CREATING A "ONE-STOP SHOP" FOR EXPORTS AND IMPORTS WILL BE DISCUSSED IN DUSHANBE DUSHANBE, September 27, 2011 , Pressa Tj -“One-Stop Shop” clearance of export-import and transit documents to be discussed in Dushanbe on September 30, 2011. As the Deputy Chamber of Commerce (CCI) of Tajikistan Larisa Kisliakof said, discussion will take place in the round table which will bring together leaders and experts of Asian Development Bank, European Commission Representation in the Republic of Tajikistan, State Unitary Enterprise "One-Stop Shop ", Economic Development and Trade of RT, RT CCI. “One-Stop Shop " is a system that accelerates the clearance of export-import and transit procedures, and assumes the functions of regulatory authorities and functions of customs clearance. Implementation of “ One-Stop Shop " for export and import businesses will facilitate the process of 2 registration of more than 40 papers in various departments of the country, as well as create favorable conditions for businessmen and investors to maintain and expand its business in Tajikistan", - said the interviewee. ““ One-Stop Shop” will allow Tajikistan to boost their ratings on doing business. Source: www.pressa.tj , September 30, 2011, Original in Tajik TAJIKISTAN OFFERS VERY GOOD BENEFITS TO INVESTORS, EXPERT SAYS KHUJAND, September 29. - British Member of Parliament Nigel Mills intends to make recommendations for creating an enabling environment for business development in Tajikistan. As information-analytical department informs of the Free Economic Zone "Sughd", N. Mills stated that at the round table "By definition approach to encourage business and investment activities in Tajikistan through the prism of the development of FEZ." Tajikistan gives very good benefits to investors in its FEZs than Britain - said Nigel Mills. - Today we have almost 20 Entrepreneurs Zone, so called FEZs, businessmen and entrepreneurs are exempt from income tax of ten years. In Tajikistan, as much as 25 years and provides increased up to 50 years. "However, according to N. Mills, a current problem in business in Tajikistan is a credit system - a very high rate of interest, stressing that entrepreneurs in the UK or when you do not agree on a loan with a 32% .N. Mills has paid particular attention to the discussion of problems that entrepreneurs in Sughd faced. "One of the problems from the statements of employers is the implementation of the legislation by proposing to strengthen control over implementation of published laws. Laws are good but their implementation by government agencies leave to be desired. As an example, they brought a new law on the licensing system, which is not at all public institutions have not yet accepted for execution "- the source added, noting that in the" round table "was attended by representatives of the tax and customs committees Soghd, representatives of the subjects of FEZ. Business associations, representatives of industrial and agricultural enterprises took part in this event. Following his official visit N.Mills presented his recommendations to the concerned ministries and departments of Tajikistan, to simplify the system and improve the business climate in the country. Source: www.pressa.tj , September 30, 2011, Original in Tajik INVESTMENT PLAN FOR THE DEVELOPMENT OF TAX ADMINISTRATION IN TAJIKISTAN WORKED OUT DUSHANBE-Avesta.Tj , 28.09.2011 - Tax Committee of Tajikistan with the support of the Asian Development Bank experts develop an investment plan for the development of tax administration for 2012-2014. The plan is designed to implement the Programme of tax administration for 2011-2015, approved by the government in December 2010 The main objective of the Investment Plan is to identify the needs of the Tax Committee in the financing of measures aimed at improving the efficiency of the tax authorities of Tajikistan and strengthening public-private dialogue between tax authorities and taxpayers. "The investment plan consists of four main components - institutional development, operational development and review of the legislation of the Republic
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