Tajikistan Parliament Introduces Legislation on Social Entrepreneurship

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Members of the Majlisi Namoyandagon, the lower chamber of Tajikistan’s parliament, have made a substantial stride by composing a draft bill concerning social entrepreneurship and presenting it for deliberation during a session. The purpose of this legislation is to establish clear definitions and regulations pertaining to the concept, objectives, and principles of social entrepreneurship within the nation.

The proposed law aims to formalize social entrepreneurship as a socially responsible form of business dedicated to aiding socially vulnerable groups, producing or distributing goods and services that benefit society, and providing essential social services. The individuals responsible for the drafting of this bill, namely R. Rajabzoda, R. Shomurod, and J. Murtazozoda, have underscored the urgent need to implement mechanisms for social entrepreneurship in Tajikistan. This urgent need is attributed to the escalating financial burden associated with pensions, allowances, and compensations for vulnerable groups, which significantly impacts the national budget.

Statistical data from the Agency for Statistics under the President of Tajikistan highlights the necessity for this legislative initiative. The number of pensioners in Tajikistan in 2022 has increased by 23.6% compared to 2015, totaling 763,300 people, while the number of individuals with disabilities has risen by 0.88% compared to the previous year, reaching 159,100 people.

The proposed law outlines the principles and scope of activities governing social entrepreneurship. Fundamentally, social entrepreneurship aligns with the principles and direction commonly utilized by innovative start-up founders and entrepreneurs to launch businesses that directly contribute to social change or address social issues. A social entrepreneur is predominantly motivated by the desire to address systemic social or cultural problems through enterprise.

From an operational perspective, social entrepreneurship represents an innovative business approach that aims to drive change. A social entrepreneur is driven by a specific cause and devises a business model centered around creating a positive impact. The primary aim is to effect enduring social change through business activities.

It is important to note that social entrepreneurship encompasses a wide array of areas including economic development, education, gender equality, healthcare, agriculture, environmental sustainability, renewable energy, and community development. Furthermore, businesses engaged in social entrepreneurship can operate as non-profit, for-profit, or hybrid entities (referred to as social enterprises), contingent on the chosen business model and available funding.

In conclusion, the introduction of legislation on social entrepreneurship by the Tajikistan Parliament represents a significant development that underscores the country’s dedication to fostering business activities aimed at social welfare. By formalizing the principles and parameters of social entrepreneurship, this legislation lays the groundwork for facilitating innovative solutions to address pressing social challenges, while concurrently promoting sustainable development.