On Saturday, 30 November, at the regular session of the Mejlis of Turkmenistan, the Law “On the State Budget of Turkmenistan for 2025” and the Resolution of the Mejlis “On the execution of the State Budget of Turkmenistan for 2023” were adopted.
The Law of Turkmenistan “On the State Budget of Turkmenistan for 2025” is aimed primarily at maintaining sustainable economic growth rates of industries and regions, realizing the potential of Turkmenistan, and ensuring high efficiency of public spending.
The key areas of state budget expenditures will be the major sectors of the economy: the oil and gas industry, the agriculture, transport, communications, construction, textile and food industries.
In the social sphere, significant funds will be directed to improving the level and quality of people’s lives, the effectiveness of employment, health, education, culture, youth policy and social protection of the population.
In addition, it is planned to increase salaries, pensions, allowances and student payments in accordance with the Decree of the President of Turkmenistan.
In addition, additional social benefits are provided to special categories of citizens – veterans, people with disabilities and children who have lost parental care.
The budget also outlines measures to support entrepreneurship and increase the share of the private sector in the economy.
Among the promising areas of activity are also the improvement of the banking and tax systems, the search for additional sources of financing for national programs.
According to the resolution of the Mejlis, the execution of the State Budget of Turkmenistan for 2023 was approved for revenues in the amount of 119,007 580.6 thousand manats (US $ 34 billion) and expenditures in the amount of 116,223,771.4 thousand manats (US $ 33.2 billion).
The Law of Turkmenistan on the State Budget of Turkmenistan for 2025
(unofficial translation)
Article 1
To approve the State Budget of Turkmenistan for 2025 for income and expenditure in the total amount of 123,798.1 million manat (US $ 35.37 billion)*, including the first-level budget for income and expenditure in the total sum of 36,500.0 million manat (US $ 10.43 billion).
Article 2
To approve the Centralized budget of Turkmenistan for 2025 for income and expenditure in the total amount of 111,987.6 million manat (US $ 31.99 billion), including the first-level budget for income and expenditure in the total amount of 24,689.6 million manat (US $ 7.05 billion).
Article 3
Establish standards for deductions from national taxes to the budgets of the city of Ashgabat, Arkadag city and provinces for 2025 in the following amounts:
| From value added tax | From income tax | From subsoil use tax | |
| Ashgabat city | 5.0% | 4.5% | 4.5% |
| Arkadag city | 100.0% | 100.0% | 0% |
| Ahal Province | 96.0% | 96.0% | 95.0% |
| Balkan province | 33.0% | 32.0% | 32.0% |
| Dashoguz province | 100.0% | 100.0% | 100.0% |
| Lebap province | 100.0% | 100.0% | 100.0% |
| Mary province | 80.0% | 82.0% | 80.0% |
Article 4
To allocate in 2025 from the Centralized budget of Turkmenistan allotments to the provinces in the amount of 3,496.5 million manat (US$0.99 billion) to ensure the balance of their budgets, including:
Arkadag city – 240.9 million manat (US $ 68.8 million)
Dashoguz province – 1,956.0 million manat (US $ 558.8 million)
Lebap Province – 1,299.6 million manat (US $ 371.3 million)
Article 5
To approve local budgets in the amount of 15,307.0 million manat (US $ 4.37 billion), including the budgets of the city of Ashgabat, Arkadag city and provinces in the following amounts:
Ashgabat city – 2,739.6 million manat (US $ 0.78 billion)
Arkadag city – 283.2 million manat (US $ 0.08 billion)
Ahal province – 1,828.6 million manat (US $ 0.52 billion)
Balkan province – 1,657.4 million manat (US $ 0.47 billion)
Dashoguz province – 2 780.2 million manat (US $ 0.79 billion)
Lebap province – 3 084.3 million manat (US $ 0.88 billion)
Mary province – 2 933.7 million manat (US $ 0.85 billion)
Article 6
The wages, pensions, state benefits and student allowances are the protected items of expenditures of the State Budget of Turkmenistan.
Article 7
To establish that in the case of the occurrence of a budget deficit, sources of funding are funds from government borrowing and (or) resulting balances of budgetary funds in accordance with the legislation of Turkmenistan.
To establish that additional revenues coming to the State Budget of Turkmenistan in 2025 from other sources, as well as the amount of excess of income over expenses, shall be allocated in priority order to pay off debts on bank loans, to finance areas of ensuring sustainable socio-economic development of the state.
Article 8
To prescribe the Ministry of Finance and Economy of Turkmenistan to make the necessary refinements in the State Budget of Turkmenistan indicators for 2025 arising from the laws of Turkmenistan, decrees, orders and resolutions of the President of Turkmenistan, and also allocate, when necessary, funds saved from expenditure in the implementation of Centralized and Local budgets, for other items of expenditure.
Article 9
To establish that if pension contributions for compulsory state pension insurance are received in excess of the stipulated plan for the budget revenues of the Pension Fund of Turkmenistan, payment to the Pension Fund of Turkmenistan may be made in excess of the established State Budget expenditure plan.
President of Turkmenistan
Serdar Berdimuhamedov
Ashgabat, 30 November 2024
*Turkmenistan Central Bank exchange rate US $ 1 = Manat 3.50
///nCa, 2 December 2024