Problems of the Republic of Tajikistan's financial market formation and development

Development and effectiveness of the financial sphere and, respectively, the financial market in many respects depend on the development of the institutional system of the economy as a whole and, of course, first of all, on the degree of development and effective functioning of state and non-governmental financial institutions in the financial sphere. When speaking about the financial market of a state, one usually implies a certain one-piece and self-sufficient structure which corresponds to a classical idea about this element of the financial system. This structure generally includes securities market, credit market, currency market, precious metals market and investment market. Studies of different authors show that in the world there are states, whose financial markets are undeveloped, and, therefore, their structure is much different from the current model. The Republic of Tajikistan can be attributed to such countries. In Tajikistan, there is a minimum financial mediation, and the financial system is not capable of making much in order to support economic increase. In comparison with the adjacent countries, Tajikistan occupies a low position in the rating of the degree of the availability of credits and deposits. An improvement in the access to credits, especially for small and average enterprises, together with other measures, requires from Tajikistan the observance of the regulated standards, the formation of its own credit culture, development of financial infrastructure, modernization of the system on the provided transactions, and the advances of best control of risks. Beginning from 2001 and on, the government of Tajikistan has had different reforms at the legislative level, which are directed toward the creation of a favorable investment medium in the priority spheres of the economy. Money transfers are the largest source of currency inflow in Tajikistan rather than inflows from export and the official aid for development. According to the data of the inspection of the Center of Integrated Studies of the Eurasian Bank of Development, 98 % of working migrants work in Russia. The influence of the economic decrease in Russia on Tajikistan emphasizes the vital need for the creation of a basis for the new model of increase and development. The elimination of the vulnerabilities of the financial sector and the guarantee of proper control over the financial system will have special importance for purposes of the minimization of fiscal risks and assignment of services to users economically effectively. Reforms for the purpose of the guarantee of more attractive conditions for business must accompany the complex reform of the government sector.

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