The primary

The primary sources of income in Tajikistan are aluminium production, cotton growing and remittances from migrant workers.[33]

Aluminium industry is represented by the state-owned Talco - the biggest aluminium plant in Central Asia and one of the biggest in the world.[34] Tajikistan has great hydropower potential, and has focused on attracting investment for projects for internal use and electricity exports. Tajikistan is home to the hydroelectric power station Nurek with the highest dam in the world.[35] The latest development is the Russia's RAO UES energy giant working on Sangtuda-1 hydroelectric power station (670 MW capacity) commenced operations on 18 January 2008.[36][37]

Other projects at the development stage include Sangtuda-2 by Iran, Zerafshan by Chinese SinoHydro and Rogun power plant with a projected dam height of 335 metres (1,099 ft),[38][39] Other energy resources include sizable coal deposits and smaller reserves of natural gas and petroleum.
Tajik family celebrating Eid

Foreign remittance flows from Tajik migrant workers abroad, mainly in Russia, has become by far the main source of income for millions of Tajikistan's people and represents additional 36.2 % of country's GDP directly reaching the poverty-stricken population.[40] According to some estimates about 20% of the population lives on less than US$1.25 per day.[41] Migration from Tajikistan and the consequent remittances have been unprecedented in their magnitude and economic impact. Tajikistan has achieved transition from a planned to a market economy without substantial and protracted recourse to aid (of which it by now receives only negligible amounts), and by purely market-based means, simply by exporting its main commodity of comparative advantage — cheap labor.[42] The World Bank Tajikistan Policy Note 2006 concludes that remittances have played an important role as one of the drivers of Tajikistan's robust economic growth during the past several years, have increased incomes, and as a result helped significantly reduce poverty.[43]

Drug trafficking is the major illegal source of income in Tajikistan as it is an important transit country for Afghan narcotics bound for Russian and, to a lesser extent, Western European markets; some opium poppy is also raised locally for the domestic market.[44] However with the increasing assistance from international organizations, such as UNODC, and cooperation with the US, Russian, EU and Afghan authorities a level of progress on the fight against illegal drug-trafficking is being achieved.

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