The Role of International Financial Institutions in the Development of Poverty Reduction Strategy for Tajikistan

Abstract

For more than two decades, poverty reduction in low-income countries became one of the main challenges to tackle for the international communities. Newly independent Tajikistan has been facing the phenomenon of poverty only after the collapse of the Soviet Union. This made Tajikistan to seek the ways and strategies for reducing poverty in the country. Therefore, it was essential for the resource scarce country like Tajikistan to involve International Financial Institutions (IFI) for adoption of strategies to reduce poverty level in Tajikistan. However, different scholars do not see positive impact of the implemented by the Poverty Reduction Strategy Paper (PRSP) projects contributed to the poverty reduction. They say, PRSP projects can be successful if economic reforms can follow PRSP strategies in governmental sectors. Thus, this thesis explores the role of IFI in development of anti-poverty mechanisms and reforms implemented in Tajikistan and evaluate PRSP progress.