The International Fund for Agricultural Development (IFAD) and Bank Arvand on December 17 signed a grant agreement to invest approximately €445,000 in a new initiative empowering people in rural Tajikistan to transform remittance flows from relatives abroad into sustainable economic opportunities.

The REMIT PRIME Central Asia Programme brings together IFAD, the European Union, and other lenders to increase access to remittances and build prosperity in the communities that rely on them.

“We, as the European Union, are excited to support the project, transforming remittance flows into a powerful tool for growth and stability in rural Tajikistan. By offering better financial services, supporting local businesses, and teaching financial skills, we hope to help over 14,000 people, especially women, build a brighter future. Together with our partners, the European Union is committed to fostering lasting development and prosperity in rural communities,” said Radoslaw Darski, European Union Ambassador to Tajikistan.

In rural areas of Tajikistan, one in two residents rely on remittances from abroad to meet basic household needs, especially elderly people and women. These flows sustain livelihoods, finance education, and support small enterprises.

“Remittances are a lifeline for rural Tajikistan. With the Tajik REMIT PRIME Project, Arvand Bank is transforming that lifeline into long-term economic empowerment for thousands of families,” said Pedro De Vasconcelos, Manager, IFAD’s Financing Facility for Remittances.

Over the next two years, the programme will reach over 14,000 people in rural areas, most of them women, helping them access financial services, build sustainable incomes, and strengthen their capacity to invest in climate-resilient livelihoods by:

•       Expanding financial access -- Strengthening rural delivery channels and agent networks to provide tailored financial services to remittance recipients and returnees.

•       Supporting income-generating activities -- Providing matching grants and loans for climate-resilient agricultural equipment and technologies.

•       Enhancing financial literacy -- Training 8,000 rural individuals, over 50 per cent of them women, in financial and business literacy through digital and in-person sessions.

“We are proud to start collaboration with IFAD and the European Union to transform remittances into a source of development, job creation and business opportunities. Together, we aim to help rural communities strengthen their financial resilience and invest in a better future,” said Shoira Sodiqova, Chairperson at Bank Arvand.

It is part of IFAD’s worldwide Financing Facility for Remittances umbrella programme and builds on IFAD’s engagement in Tajikistan to promote inclusive rural development and strengthen the role of remittances as a driver of economic opportunity, women’s empowerment, and climate resilience.

According to the 2025 World Bank’s Global Findex Database, close to half (44.8 per cent) of the adult population in Tajikistan receives money from relatives working abroad. Tajik adults aged 25 and above (50.2 per cent) received remittances more frequently than youth aged 15–24 (30.4 per cent), while rural residents (50.6 per cent) were significantly more dependent on cross-border remittances than urban residents (30.8 per cent).

IFAD is an international financial institution, and a United Nations specialized agency. Based in Rome – the United Nations food and agriculture hub – IFAD invests in rural people, empowering them to reduce poverty, increase food security, improve nutrition and strengthen resilience. Since 1978, we have provided more than US$25 billion in grants and low-interest loans to fund projects in developing countries.

A wide range of photographs and broadcast-quality video content of IFAD’s work in rural communities are available for download from our Image Bank.

The European Union is a key global partner in promoting inclusive development and sustainable finance, particularly in areas of migration, economic empowerment, and digital transformation.

Bank Arvand is one of Tajikistan’s leading financial institutions dedicated to promoting financial inclusion and sustainable finance development. The Bank’s mission is to provide accessible, innovative, and responsible financial services that empower individuals and small businesses to improve their livelihoods. Guided by its vision of a financially inclusive society, Bank Arvand focuses on supporting rural families, entrepreneurs, youth and women through tailored products and partnerships. With a strong commitment to trust, transparency, and social impact, Bank Arvand continues to contribute to the country’s economic growth and financial resilience.

The European Union acts globally to promote sustainable development of societies, environment and economies, so that everyone can benefit. To this end the EU is active in Tajikistan since 1992 and provides approximately EUR 35 million annually in development assistance.