Nation at a Glance - Turkmenistan

History

Present-day Turkmenistan covers territory that has been at the crossroads of civilizations for centuries. The area was ruled in antiquity by various Persian empires, and was conquered by Alexander the Great, Muslim armies, the Mongols, Turkic warriors, and eventually the Russians. In medieval times, Merv (located in present-day Mary province) was one of the great cities of the Islamic world and an important stop on the Silk Road. Annexed by Russia in the late 1800s, Turkmenistan later figured prominently in the anti-Bolshevik movement in Central Asia. In 1924, Turkmenistan became a Soviet republic; it achieved independence upon the dissolution of the USSR in 1991. Extensive hydrocarbon/natural gas reserves, which have yet to be fully exploited, have begun to transform the country. The Government of Turkmenistan is moving to expand its extraction and delivery projects and has attempted to diversify its gas export routes beyond Russia's pipeline network. In 2010, new gas export pipelines that carry Turkmen gas to China and to northern Iran began operating, effectively ending the Russian monopoly on Turkmen gas exports. Subsequently, decreased Russian purchases, as well as limited purchases by Iran, have made China the dominant buyer of Turkmen gas. President for Life Saparmurat NYYAZOW died in December 2006, and Turkmenistan held its first multi-candidate presidential election in February 2007. Gurbanguly BERDIMUHAMEDOW, a deputy cabinet chairman under NYYAZOW, emerged as the country's new president; he was reelected in February 2012 with 97% of the vote, in an election widely regarded as undemocratic.

Location: Central Asia, bordering the Caspian Sea, between Iran and Kazakhstan

Border Countries: Afghanistan 804 km, Iran 1,148 km, Kazakhstan 413 km, Uzbekistan 1,793 km

Total Area: 488,100 sq km Land: 469,930 sq km Water: 18,170 sq km

Climate: Subtropical desert

Terrain: Flat-to-rolling sandy desert with dunes rising to mountains in the south; low mountains along border with Iran; borders Caspian Sea in west

Natural resources: Petroleum, natural gas, sulfur, salt

Land use: Agricultural land: 72% arable land 4.1%; permanent crops 0.1%; permanent pasture 67.8% Forest: 8.8% Other: 19.2% (2011 est.)

Ethnic groups: Turkmen 85%, Uzbek 5%, Russian 4%, Other 6% (2003)

Languages: Turkmen (official) 72%, Russian 12%, Uzbek 9%, Other 7%

Religions: Muslim 89%, Eastern Orthodox 9%, Unknown 2%

Population: 5,291,317 (July 2016 est.)

Literacy: 99.7%; Male: 99.8%; Female: 99.6% (2015 est.)

Administrative divisions: 5 provinces (welayatlar, singular - welayat) and 1 independent city*: Ahal Welayaty (Anew), Ashgabat*, Balkan Welayaty (Balkanabat), Dashoguz Welayaty, Lebap Welayaty (Turkmenabat), Mary Welayaty

Economy: Turkmenistan is largely a desert country with intensive agriculture in irrigated oases and significant natural gas and oil resources. The two largest crops are cotton, most of which is produced for export, and wheat, which is domestically consumed. Although agriculture accounts for almost 8% of GDP, it continues to employ nearly half of the country's workforce. Hydrocarbon exports, the bulk of which is natural gas going to China, make up 25% of Turkmenistan’s GDP. Ashgabat has explored two initiatives to bring gas to new markets: a trans-Caspian pipeline that would carry gas to Europe and the Turkmenistan-Afghanistan-Pakistan-India gas pipeline. Both face major financing, political, and security hurdles and are unlikely to be completed soon. Turkmenistan’s autocratic governments under presidents NIYAZOW (1991-2006) and BERDIMUHAMEDOW (since 2007) have made little progress improving the business climate, privatizing state-owned industries, and combatting corruption, limiting economic development outside the energy sector. High energy prices in the mid-2000s allowed the government to undertake extensive development and social spending, including providing heavy utility subsidies. Low energy prices since mid-2014 are hampering Turkmenistan’s economic growth and reducing government revenues. The government has cut subsidies in several areas, and wage arrears have increased. In January 2014, the Central Bank of Turkmenistan devalued the manat by 19%, and downward pressure on the currency continues. There is a widening spread between the official exchange rate (3.5 TMM per US dollar) and the black market exchange rate (approximately 14 TMM per US dollar). Currency depreciation and conversion restrictions, corruption, isolationist policies, and declining spending on public services has resulted in a stagnate economy that is nearing crisis. Turkmenistan claims substantial foreign currency reserves, but non-transparent data limit international institutions’ ability to verify this information.

Agriculture - products: Cotton, grain, melons; livestock

Industries: Natural gas, oil, petroleum products, textiles, food processing