Publication: Financial Sector Assessment : Republic of Tajikistan
Loading...
Published
2009-03
ISSN
Date
2012-03-19
Author(s)
Editor(s)
Abstract
Financial intermediation in Tajikistan has deepened in recent years, albeit from a low base. This is reflected in the overall growth of the financial system, greater diversification, and the expansion of lending to previously under-served sectors, such as agriculture and small- and medium-sized enterprises. Even after the expansion, however, the financial sector remains small and cannot serve all the financing needs of the economy. While banks are generally well capitalized and liquid, their rapid growth has brought new risk exposures that should be carefully monitored and appropriately addressed. In particular, rapid loan growth could lead to a build-up of unrecognized credit risk and give rise to an increase in non-performing loans (NPLs). Because of extensive dollarization, the exposure of banks to exchange-rate induced credit risk is another significant cause for concern. Also, the exceptionally rapid growth of nonresident deposits without clear knowledge of their sources exposes the banking system to reputational risk. Significant strengthening of the regulatory and supervisory framework will be needed to sustain the system's health in the face of rapid growth. Governance in the financial sector needs significant strengthening. Improvements are needed to ensure the integrity of the regulatory bodies and to guarantee that all financial transactions are conducted at arms' length and priced on a market basis. Fair and transparent resolution of the large stock of distressed cotton debt would demonstrate the government's commitment to market principles and good governance.
Link to Data Set
Citation
“World Bank. 2009. Financial Sector Assessment : Republic of Tajikistan. © World Bank. http://hdl.handle.net/10986/3026 License: CC BY 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Financial Sector Assessment : Republic of Lithuania(Washington, DC, 2008-06)This Financial Sector Assessment (FSA) summarizes the key findings and recommendations of the 2007 Financial Sector Assessment Program (FSAP) update report for the Republic of Lithuania. The FSA, which focuses on developmental issues, should be read together with the Financial System Stability Assessment (FSSA) in order to get a full overview of the findings and recommendations of the 2007 Republic of Lithuania FSAP update. The FSAP update team noted progress since the 2002 banking sector vulnerability assessment, and evaluated regulatory and supervisory challenges for the banking and non-banking sectors; cross-border arrangements, safety nets, crisis management preparedness; the pension reform, and capital market development.Publication Financial Sector Assessment : Croatia(Washington, DC, 2002-12)This Financial Sector Assessment (FSA) summarizes the Financial Sector Assessment Program (FSAP) report for Croatia. The FSAP mission visited Zagreb during the period September 3-14,200l and discussed its preliminary findings with the representatives of the Croatia National Bank (CNB) and Ministry of Finance (MoF) on September 14, 2001. The mission also discussed the assessments of observance of codes and standards with relevant government offices and agencies. An assessment was also made of the legal and institutional arrangements for Anti-Money Laundering/Combating the Financing of Terrorism (AMLKFT). The final FSAP report was submitted in November 2002.Publication Financial Sector Assessment : Georgia(Washington, DC, 2002-03)As part of the Bank-fund Financial Sector Assessment Program (FSAP), two missions visited Georgia, one in May, 2001 and the second from July 24 to August 7, 2001. The missions focused on three broad areas: (i) the Georgian financial system s short-term stability and its resilience to shocks; (ii) progress in meeting international standards and good practices in regulation, supervision, and transparency of the financial system; and (iii) key medium-term and developmental issues in the financial system. The mission produced a number of reports that were reviewed by and delivered to the authorities. This report summarizes the strategic assessment; macroeconomic context; near-term and middle-term vulnerabilities in the financial system; longer-term vulnerabilities anti developmental issues; and priorities for the financial sector.Publication Lithuania : Financial Sector Assessment(Washington, DC, 2002-06)A joint International Monetary Fund (IMF)-World Bank Financial Sector Assessment Program (FSAP) mission visited Lithuania during November 4-15, 2001 to undertake an assessment of the financial sector. The principal objective of the mission was to assist the authorities in identifying potential vulnerabilities in the Lithuanian financial system and obstacles to its future development. Financial activity is likely to grow markedly in years to come, but a large share of the intermediation of saving and investment will not take place locally, but will instead involve a specific pattern of domestic and cross-border financial activity. Institutions in the Lithuanian financial system comprise banks, leasing companies, insurance companies, and securities firms. The insurance sector is small but likely to develop significantly in the years ahead. The payment system handles only a limited number of transactions and has shown itself to be robust in previous periods of stress. The Lithuanian financial system is likely to undergo significant further development and change, driven mainly by stepped-up domestic financial system reform and the increasing integration among financial markets in Lithuania and other countries in Europe. Lithuania appears committed to fighting money laundering and terrorist finance. Controls on money laundering in the insurance and securities sectors fall well short of those in the banking sector.Publication Slovenia : Pilot Diagnostic Review of Governance of the Insurance Sector(Washington, DC, 2007-05)This review looks at the governance of the insurance sector in Slovenia, analyzing the legal framework and its enforcement and the adoption of corporate governance principles by firms. It is intended to provide policy makers and insurers in Slovenia, and other countries, with insight into existing corporate practices, and to offer a framework of good practices that can assist lawmakers in their efforts to strengthen governance in the insurance sector. The report may also contribute to the ongoing international debate on good corporate governance practices in insurance sector companies worldwide. It has three objectives: improving the description of good practices related to governance of insurance sectors; conducting a diagnostic review of Slovenian insurance governance against these benchmarks, and providing recommendations on ways of further improving the corporate governance of the Slovenian insurance sector. The review concludes with recommendations for auditing and risk evaluation, and advises that, although Slovenia's three finance regulators have served it well to date, the regulatory and supervisory structure for the finance sector is in need of more review before a joint working group could be established to implement the legal, organizational, media, and sequencing issues involved in creating an integrated regulatory agency.
Users also downloaded
Showing related downloaded files
Publication Europe and Central Asia Economic Update, Spring 2025: Accelerating Growth through Entrepreneurship, Technology Adoption, and Innovation(Washington, DC: World Bank, 2025-04-23)Business dynamism and economic growth in Europe and Central Asia have weakened since the late 2000s, with productivity growth driven largely by resource reallocation between firms and sectors rather than innovation. To move up the value chain, countries need to facilitate technology adoption, stronger domestic competition, and firm-level innovation to build a more dynamic private sector. Governments should move beyond broad support for small- and medium-sized enterprises and focus on enabling the most productive firms to expand and compete globally. Strengthening competition policies, reducing the presence of state-owned enterprises, and ensuring fair market access are crucial. Limited availability of long-term financing and risk capital hinders firm growth and innovation. Economic disruptions are a shock in the short term, but they provide an opportunity for implementing enterprise and structural reforms, all of which are essential for creating better-paying jobs and helping countries in the region to achieve high-income status.Publication Classroom Assessment to Support Foundational Literacy(Washington, DC: World Bank, 2025-03-21)This document focuses primarily on how classroom assessment activities can measure students’ literacy skills as they progress along a learning trajectory towards reading fluently and with comprehension by the end of primary school grades. The document addresses considerations regarding the design and implementation of early grade reading classroom assessment, provides examples of assessment activities from a variety of countries and contexts, and discusses the importance of incorporating classroom assessment practices into teacher training and professional development opportunities for teachers. The structure of the document is as follows. The first section presents definitions and addresses basic questions on classroom assessment. Section 2 covers the intersection between assessment and early grade reading by discussing how learning assessment can measure early grade reading skills following the reading learning trajectory. Section 3 compares some of the most common early grade literacy assessment tools with respect to the early grade reading skills and developmental phases. Section 4 of the document addresses teacher training considerations in developing, scoring, and using early grade reading assessment. Additional issues in assessing reading skills in the classroom and using assessment results to improve teaching and learning are reviewed in section 5. Throughout the document, country cases are presented to demonstrate how assessment activities can be implemented in the classroom in different contexts.Publication Morocco Economic Update, Winter 2025(Washington, DC: World Bank, 2025-04-03)Despite the drought causing a modest deceleration of overall GDP growth to 3.2 percent, the Moroccan economy has exhibited some encouraging trends in 2024. Non-agricultural growth has accelerated to an estimated 3.8 percent, driven by a revitalized industrial sector and a rebound in gross capital formation. Inflation has dropped below 1 percent, allowing Bank al-Maghrib to begin easing its monetary policy. While rural labor markets remain depressed, the economy has added close to 162,000 jobs in urban areas. Morocco’s external position remains strong overall, with a moderate current account deficit largely financed by growing foreign direct investment inflows, underpinned by solid investor confidence indicators. Despite significant spending pressures, the debt-to-GDP ratio is slowly declining.Publication Digital Africa(Washington, DC: World Bank, 2023-03-13)All African countries need better and more jobs for their growing populations. "Digital Africa: Technological Transformation for Jobs" shows that broader use of productivity-enhancing, digital technologies by enterprises and households is imperative to generate such jobs, including for lower-skilled people. At the same time, it can support not only countries’ short-term objective of postpandemic economic recovery but also their vision of economic transformation with more inclusive growth. These outcomes are not automatic, however. Mobile internet availability has increased throughout the continent in recent years, but Africa’s uptake gap is the highest in the world. Areas with at least 3G mobile internet service now cover 84 percent of Africa’s population, but only 22 percent uses such services. And the average African business lags in the use of smartphones and computers as well as more sophisticated digital technologies that catalyze further productivity gains. Two issues explain the usage gap: affordability of these new technologies and willingness to use them. For the 40 percent of Africans below the extreme poverty line, mobile data plans alone would cost one-third of their incomes—in addition to the price of access devices, apps, and electricity. Data plans for small- and medium-size businesses are also more expensive than in other regions. Moreover, shortcomings in the quality of internet services—and in the supply of attractive, skills-appropriate apps that promote entrepreneurship and raise earnings—dampen people’s willingness to use them. For those countries already using these technologies, the development payoffs are significant. New empirical studies for this report add to the rapidly growing evidence that mobile internet availability directly raises enterprise productivity, increases jobs, and reduces poverty throughout Africa. To realize these and other benefits more widely, Africa’s countries must implement complementary and mutually reinforcing policies to strengthen both consumers’ ability to pay and willingness to use digital technologies. These interventions must prioritize productive use to generate large numbers of inclusive jobs in a region poised to benefit from a massive, youthful workforce—one projected to become the world’s largest by the end of this century.Publication Argentina Country Climate and Development Report(World Bank, Washington, DC, 2022-11)The Argentina Country Climate and Development Report (CCDR) explores opportunities and identifies trade-offs for aligning Argentina’s growth and poverty reduction policies with its commitments on, and its ability to withstand, climate change. It assesses how the country can: reduce its vulnerability to climate shocks through targeted public and private investments and adequation of social protection. The report also shows how Argentina can seize the benefits of a global decarbonization path to sustain a more robust economic growth through further development of Argentina’s potential for renewable energy, energy efficiency actions, the lithium value chain, as well as climate-smart agriculture (and land use) options. Given Argentina’s context, this CCDR focuses on win-win policies and investments, which have large co-benefits or can contribute to raising the country’s growth while helping to adapt the economy, also considering how human capital actions can accompany a just transition.