AFP, Ashgabat :
Turkmenistan’s authoritarian leader has called for an end to free gas, electricity and water, state media reported Wednesday, in a major shake-up for the reclusive state as its economic woes deepen.
President Gurbanguly Berdymukhamedov branded the popular subsidies introduced by his eccentric late predecessor Saparmurat Niyazov over two decades ago “completely ineffective,” the state newspaper Neutral Turkmenistan said.
Niyazov, who used the moniker “Father of the Turkmen”, made water, electricity and gas free in 1993 shortly after the energy-rich country gained independence from the Soviet Union.
The government mouthpiece reported that Berdymukhamedov “gave instructions” to the deputy prime minister in charge of economic affairs “to prepare proposals for the cancellation of all benefits”.
The 59-year-old strongman, who exerts a firm grip over the country of five million, said the allowances would remain for “those who genuinely require social assistance”.
Central Asian Turkmenistan sits on the world’s fourth-largest natural gas reserves, and sells most of its gas to China.
It has been struggling to cope with a fall in energy prices since 2014 and a decision by Russia to end its purchase of gas from the country.
Since the government shaved a fifth off the currency’s official value at the beginning of 2015, one dollar is equal to 3.5 manat, while on the black market the greenback can fetch up to six manat.
Turkmenistan’s authoritarian leader has called for an end to free gas, electricity and water, state media reported Wednesday, in a major shake-up for the reclusive state as its economic woes deepen.
President Gurbanguly Berdymukhamedov branded the popular subsidies introduced by his eccentric late predecessor Saparmurat Niyazov over two decades ago “completely ineffective,” the state newspaper Neutral Turkmenistan said.
Niyazov, who used the moniker “Father of the Turkmen”, made water, electricity and gas free in 1993 shortly after the energy-rich country gained independence from the Soviet Union.
The government mouthpiece reported that Berdymukhamedov “gave instructions” to the deputy prime minister in charge of economic affairs “to prepare proposals for the cancellation of all benefits”.
The 59-year-old strongman, who exerts a firm grip over the country of five million, said the allowances would remain for “those who genuinely require social assistance”.
Central Asian Turkmenistan sits on the world’s fourth-largest natural gas reserves, and sells most of its gas to China.
It has been struggling to cope with a fall in energy prices since 2014 and a decision by Russia to end its purchase of gas from the country.
Since the government shaved a fifth off the currency’s official value at the beginning of 2015, one dollar is equal to 3.5 manat, while on the black market the greenback can fetch up to six manat.
