General Overview
Tajikistan has a population of 10 million with 4.2 million internet users who could be potential buyers of online products and services. The market remains largely untapped and the World Bank’s Global Findex survey estimated that only 1 percent of the Tajik population shopped online in 2021 (World Bank, “Global Findex database 2021”, 2021).
Licensing requirements for parcel delivery companies have driven all the international companies out of the market in 2017 and created a thriving grey market for last-mile delivery to consumers and businesses.
In Tajikistan several online platforms continue to grow, such as online marketplace somon.tj, alif.tj, shef.tj, gelos.tj, and obbo.tj and several companies are working to enter the market.
E-commerce may be a potential niche for U.S. companies to apply their expertise to develop the market in Tajikistan.
The country has seen little expansion of either business-to-business (B2B) or business-to-consumer (B2C) models in recent years. Financial technologies (fintech) are the singular exception, with both B2B and B2C applications domestically developed by some of the more tech-savvy banks. Online consumer purchasing is concentrated largely in Dushanbe and Khujand.
The most prominent banks that integrate FinTech solutions are Alif Bank (develops its own digital ecosystem uniting Alif Pay, Alif Shop, Alif Tech, and Alif Mobi), Dushanbe City Bank, Micro Deposit Organization Humo, Eskhata Bank, and Imon Bank. Notably, Imon, Alif, and Humo were established initially as micro-loan organizations. Most of them depend on Russia for international transfers. According to estimates, 80 percent of corresponding accounts were in Russian banks before the Russian invasion of Ukraine. After February 2022 Tajik banks and microfinance organizations actively seek new corresponding accounts in Kazakhstan, Uzbekistan, Azerbaijan, Turkey, and Georgia.
Regulatory Environment
2019 saw the publication of the Concept for a Digital Economy in Tajikistan, followed in December 2022 by the first e-commerce law in the country. 2022 also saw the publication of a new tax code whose intention was to simplify and streamline the taxation regulatory environment. The tax system remains complicated, with high tax burdens, arbitrary penalties, and unduly targeting tech startups and digital products.
Despite the slow growth and reluctance of the government to pass legislation easing restrictions on e-commerce, demand is rising both among businesses seeking to outsource support services and among retailers seeking to expand the reach of their markets.
Consumer Behavior
Most Tajiks continue to purchase items by visiting brick-and-mortar stores and conducting cash transactions due to low internet connectivity and underdeveloped parcel services.
Digital Marketing and Social Media
Digital marketing and social media activity is growing in popularity and practice among Tajik youth, the largest segment of the country’s population.