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The Transit Potential of the Turkic World: Integrating Economies and New Logistical Solutions
The Transit Potential of the Turkic World: Integrating Economies and New Logistical Solutions

In the 21st century, the rapid development of global economic ties has further heightened the strategic importance of transport and logistics systems. From this perspective, strengthening transport cooperation among the member states of the Organization of Turkic States (OTS) —located in a key geoeconomic region connecting Europe and Asia—has become a priority.

Within the OTS framework, practical initiatives are being advanced to develop modern transport corridors, build up transit capacity, and create a single logistics space. This serves not only to deepen regional integration but also to ensure sustainable economic growth and connectivity across Eurasia.

The OTS countries are among Uzbekistan's primary trade and economic partners. Specifically, Uzbekistan maintains a large volume of trade with Kazakhstan, a free trade agreement with Azerbaijan, and most-favored-nation status with Turkey and Hungary.

In 2023, Uzbekistan's cargo transport volume with OTS member countries reached 17.5 million tons, accounting for nearly 38 percent of its total export-import shipments.

To further intensify multilateral cooperation within the Organization and strengthen the strategic partnership between its member states, the 12th Summit of the Organization of Turkic States was held on October 7, 2024, in Gabala, Azerbaijan, under the motto "Regional Peace and Security."

Following the summit, the parties adopted the 121-point Gabala Declaration. This document outlined a number of priority objectives for expanding cooperation in the political, economic, transport, communications, energy, and security spheres. The declaration paid special attention to the transport sector, identifying the further strengthening of transport connectivity between Europe and Asia, the enhancement of the region's transit potential, and the expansion of trade and economic ties as key tasks.

Additionally, the development of the Trans-Caspian International Transport Corridor (the Middle Corridor) was recognized as one of the organization's strategic priorities. Special emphasis was placed on increasing the efficiency of freight supply chains across Eurasia, diversifying transport routes, and enhancing the region's importance in the global logistics system by improving this corridor.

Furthermore, an agreement was reached at the summit to implement the "OTS+" format, aimed at expanding the geographical scope of cooperation between the Organization of Turkic States and external partners and third countries.

At this summit, the head of our state underscored the importance of connecting the Middle Corridor with the China–Kyrgyzstan–Uzbekistan railway and the Trans-Afghan Corridor, as well as digitalizing customs procedures and optimizing tariffs. The proposed initiatives were supported by the organization's member states, who expressed their readiness for joint work in these areas.

According to experts, the China–Kyrgyzstan–Uzbekistan railway is expected to create the shortest corridor from China to countries in Europe and the Middle East, reducing the distance by 900 kilometers and freight delivery times by 7–8 days.

The construction of the Uzbekistan–Afghanistan–Pakistan railway is another vital project for transregional cooperation. This project will link the South Asian railway system with the railway networks of Central Asia and Eurasia.

In recent years, as attention to the Trans-Caspian Corridor has grown, the volume of freight transported along it has been steadily increasing. In 2023, the transit of Uzbek cargo on this route through the Port of Baku exceeded 1.2 million tons, and there are plans to increase this figure to 1.5 million tons in the near future.

Uzbekistan is an active user of the strategic "China–Kyrgyzstan–Uzbekistan–Turkmenistan/Kazakhstan–Caspian Sea–Azerbaijan–Georgia–Turkey–Europe" route, which runs through the member states of the Organization of Turkic States (OTS). In cooperation with the OTS, special importance is attached to the development of this corridor. Specifically, large-scale work is underway to modernize infrastructure and coordinate logistics processes.

As the development and diversification of global logistics chains and transport corridors, along with the formation of a unified transit network, become particularly relevant, realizing the potential of the Organization of Turkic States is coming to the forefront.

Within the OTS framework, special attention is also given to implementing digital solutions in supply chains. In particular, an electronic permit exchange system (e-Permit) has been established among the Organization's member states, and the e-TIR system has been implemented with Azerbaijan. Alongside these efforts, solutions such as electronic customs, automated cargo tracking systems, and the "digital customs corridor" are being widely introduced in OTS countries.

The aforementioned initiatives are an important step toward creating a single transport space among the Turkic states. Through digital systems, new transport routes, and joint investments, the OTS countries are deepening their mutual integration and strengthening their positions within the Eurasian transport network.

 

 

IA “Dunyo”

Uzbekistan’s Priorities in the Organization of Turkic States: A Factor Ensuring Sustainable Development of Turkic Countries
Uzbekistan’s Priorities in the Organization of Turkic States: A Factor Ensuring Sustainable Development of Turkic Countries

The evolution of the Organization of Turkic States (OTS) has attracted particular attention from the international expert community, especially in the context of sustainable development, where Uzbekistan’s accession in 2019 became a catalyst for creating new opportunities for joint progress among Turkic countries.

Originally established on October 3, 2009, as the Cooperation Council of Turkic-Speaking States, the organization has undergone significant institutional evolution and was officially renamed the Organization of Turkic States at the 8th Summit in Istanbul on November 12, 2021. This decision reflected not only the deepening interaction among member states but also their shared aspiration to develop a collective approach to contemporary risks and challenges related to the sustainable development of the Turkic world—a role in which Uzbekistan soon assumed a prominent position.

Uzbekistan’s policy within the OTS has been primarily manifested in the economic sphere, where deeper integration has become not only a sign of growing mutual trust but also a practical foundation for jointly ensuring stability and sustainable development.

By 2024, mutual trade among OTS member states exceeded $45 billion, and the combined GDP of the five member states reached $1.9 trillion, demonstrating increasing economic interdependence. According to data from the Center for Economic Research and Reforms (CERR), Uzbekistan’s trade turnover with OTS countries grew from $3.34 billion in 2016 to $9.4 billion in 2023, reaching $10 billion by 2024—nearly triple the figure from seven years earlier.

This dynamic growth in economic ties has not only strengthened mutual interest among OTS countries in regional stability but also laid a solid foundation for a new approach to security—one actively promoted by Uzbekistan in its foreign policy.

An analysis of initiatives put forward by President of Uzbekistan Shavkat Mirziyoyev at OTS summits confirms Tashkent’s consistent and systematic approach to strengthening regional security. In place of the traditional military-political dimension, Uzbekistan advocates a model in which security is understood as the outcome of sustainable development, interconnectedness, and long-term, structured cooperation.

This approach is embodied in the following strategic directions, covering key aspects of contemporary security:

First, Uzbekistan was among the first in the region to propose cooperation in responding to systemic threats. During the COVID-19 pandemic (April 2020), Tashkent proposed establishing a permanent mechanism for epidemiological surveillance, a coordination group under the OTS Secretariat, and partnership arrangements with the World Health Organization (WHO).

Following the earthquake in Türkiye (March 2023), Tashkent initiated the creation of an OTS platform for practical cooperation on disaster prevention and response, as well as the development of a multilateral agreement on risk reduction and the establishment of a Natural Disaster Monitoring Center in Tashkent.
All these measures aim at early warning, reducing vulnerability, and enhancing collective resilience—key elements of preventive security.

Second, Uzbekistan advances sustainable development through deeper economic interconnectivity.

In transport, Uzbekistan proposed joint use of the multimodal corridor “Tashkent–Karakalpakstan–Aktau–Baku–Tbilisi–Kars–Istanbul,” implementation of a “single window” system and “green corridors” along the Trans-Caspian route, and full digitalization of road transport through the eTIR system. In 2022, Uzbekistan and Azerbaijan became the first countries to successfully carry out a transport operation using electronic eTIR carnets.

In food security, Uzbekistan proposed developing a multilateral agreement on supply systems and cooperation with the Food and Agriculture Organization (FAO).

In the environmental sphere, Tashkent proposed establishing a Turkic environmental protection body headquartered in the Aral Sea region, forming an Environmental Council, and adopting a “Turkic Green Energy Transition” concept.
All these initiatives create an infrastructure-economic foundation for security, reducing dependence on external shocks and strengthening regional autonomy.

Third, Tashkent’s key contribution lies in promoting the institutionalization of the OTS. At the Samarkand Summit (November 2022), Uzbekistan proposed creating dedicated ministerial-level committees on energy, IT, healthcare, and other sectors.

Later, Uzbekistan initiated hosting the headquarters of strategically important OTS bodies in Tashkent, including the Emergency Response Center, the Council of Railway Administrations, the Turkic Investment Bank, the Research Center for Human Capital Development, and the Academy of Space Research.

During Uzbekistan’s OTS Chairmanship (2022–2023), over 100 events were held, and new cooperation platforms were established, including the Organization of Trade Unions of Turkic States and the Institute for Drought Prevention.
These measures enhance joint preparedness and rapid response capabilities to contemporary challenges, strengthen trust among member states, and support sustainable development.

Fourth, alongside deepening cooperation in humanitarian, economic, and legal spheres, Uzbekistan consistently develops avenues of interaction related to coordinating responses to threats to regional stability.

For example, at the Shusha Summit in July 2024, Uzbekistan proposed formulating unified OTS approaches to the Afghan issue in light of the new regional realities. Such initiatives reflect Tashkent’s commitment to consolidating foreign policy positions and developing a coordinated strategy on the most sensitive issues of regional stability.

Thus, Uzbekistan’s initiatives within the OTS form a comprehensive, prevention-oriented model of sustainable development, in which humanitarian, economic, environmental, and political components are viewed as interdependent. Tashkent’s approach not only aligns with current trends in international relations but also creates conditions for strengthening the strategic autonomy of the Turkic world amid global fragmentation.

However, it should be noted that this model is not developed in isolation. On the contrary, it is organically complemented by the OTS’s external openness and its aspiration to integrate into the international architecture of relations through cooperation with key global and regional institutions. This helps avoid duplication, enhances the legitimacy of OTS initiatives, and aligns them with international standards.

In this process, Uzbekistan plays a significant role by consistently promoting synergy between the OTS and multilateral platforms, particularly in epidemiological, environmental, and humanitarian areas.

The OTS maintains especially close cooperation with the United Nations and its specialized agencies. Uzbekistan’s 2021 initiative to establish a Turkic environmental body under UN auspices, headquartered in the Aral Sea region, directly integrates regional efforts into the global environmental agenda.

Proposals for cooperation with the UN Food and Agriculture Organization (FAO) (2022) and collaboration with the World Health Organization (WHO) (2020) further demonstrate the desire to leverage the UN’s expertise and institutional capacity to implement homegrown security mechanisms.

Additionally, Tashkent initiated partnerships with the UN Office for Disaster Risk Reduction (UNDRR) and the Global Facility for Disaster Reduction and Recovery (GFDRR) in the context of establishing the Natural Disaster Monitoring Center (2023), underscoring the OTS’s commitment to the principles of sustainable development and preventive security enshrined in the UN 2030 Agenda.

Simultaneously, the OTS is expanding its international presence: in 2024, the organization obtained observer status in the Economic Cooperation Organization (ECO), submitted similar applications to the UN and the Organization of Islamic Cooperation (OIC), and strengthened ties with the EU and OSCE through its European office in Budapest. At the Budapest Informal Summit (May 2025)—the first ever organized by an observer country—the Budapest Declaration was adopted, reaffirming the OTS’s commitment to combating terrorism, cyber threats, and organized crime.

This foreign policy orientation is also confirmed by assessments from international analytical circles.

According to an analytical report by the Global Security Research Center at the Geneva Centre for Security Policy (GCSP), the OTS demonstrates a unique model of regional cooperation that combines cultural identity with pragmatic measures to reduce vulnerability to transboundary threats. Experts from the “AIR Center” (Azerbaijan) note that for Central Asian countries and Azerbaijan, the OTS has become a strategic shield against external threats and a platform for asserting independence.

Thus, the OTS not only strengthens the collective resilience of its member states to external challenges but also creates a space for developing joint approaches to implementing projects aimed at the sustainable development of Turkic countries.

In this regard, Uzbekistan consistently promotes a comprehensive, prevention-oriented model for addressing risks and factors undermining sustainable development, in which traditional threats are complemented by non-traditional challenges—from pandemics and natural disasters to destructive ideologies. Particular emphasis is placed on building trust through humanitarian diplomacy, youth initiatives, cultural rapprochement, and institutional cooperation.

In the context of regional stability, Uzbekistan advocates for unified approaches to the Afghan issue, supports counter-terrorism and anti-organized crime efforts, and initiates mechanisms for collective crisis response.

The adoption of the Charter of Turkic Peace at the 11th OTS Summit in Bishkek, along with President Shavkat Mirziyoyev’s proposal at the same forum to sign a Treaty on Strategic Partnership, Eternal Friendship, and Brotherhood among Turkic States, became pivotal factors in shaping a long-term architecture of trust and shared responsibility.

Overall, Uzbekistan’s initiatives within the OTS represent a comprehensive strategy aimed at creating an alternative model for ensuring sustainable regional development, grounded in the cultural-historical commonality and economic interconnectedness of Turkic countries.

 

Alisher Kadyrov,

the head of the Department of the Institute for Strategic and Interregional Studies under the President of the Republic of Uzbekistan

Representatives of foreign organizations were accredited to observe the elections
Representatives of foreign organizations were accredited to observe the elections

On 23 September this year, a regular meeting of the Central Election Commission was held to discuss the accreditation of observers from abroad and from international organizations, as well as the organization of the activities of the Instant Information Center.

The interest of foreign countries and international organizations in the elections to the representative bodies of state power, which will be held this year in accordance with the updated electoral legislation, is extremely high.

In particular, it is expected that more than 1,000 international and foreign observers will participate in observing the elections, particularly about 400 from 50 countries, about 500 from 21 international organizations such as the Commonwealth of Independent States, the Office for Democratic Institutions and Human Rights of the Organization for Security and Cooperation in Europe, the Shanghai Cooperation Organization, the Organization of Turkic States and another 60 from the election commissions of 26 foreign countries.

 

 

It should be noted that the Office for Democratic Institutions and Human Rights of the Organization for Security and Cooperation in Europe intends to participate in the observation of the elections in Uzbekistan with a comprehensive mission consisting of a core group, long-term and short-term observers, about 350 observers in total.

The great interest of foreign states and international organizations in the elections in Uzbekistan testifies to the international community's recognition of the democratic reforms being carried out in our country.

 

 

Accordingly, it was decided at the Central Election Commission meeting to accredit observers from international organizations who will participate in the elections to the Legislative Chamber of the Oliy Majlis and the local Councils (Kengashes), and some observers from international organizations such as the Commonwealth of Independent States, the CIS Inter-parliamentary Assembly and the Office for Democratic Institutions and Human Rights of the Organization for Security and Cooperation in Europe were accredited.

As of today, foreign and international organizations wishing to accredit observers can log into the “E-Saylov” information system in their country and enter data electronically in a specific format and submit it for review.

Another notable aspect of this process is that new samples of mandates of accredited foreign observers are automatically generated electronically through this system.

 

 

Also at the meeting of the Central Election Commission, the relevant decision was taken on the establishment of the Instant Information Center – “Call Center” - and the approval of its statutes. The “Call Center” will receive citizens' complaints centrally and provide them with legal explanations and consultations in real time.

The main objectives of the “Call Center” are to establish a dialog with citizens in real time during the election campaign, to provide the population with complete and reliable information on the activities of the commissions, the stages of the electoral process, to create the necessary conditions for the unconditional realization of citizens' rights to vote and appeal, and to strengthen their awareness of electoral legislation and processes.

 

Central Election Commission Press Service

How China–Kyrgyzstan–Uzbekistan railway is redrawing the economic map of the continent
How China–Kyrgyzstan–Uzbekistan railway is redrawing the economic map of the continent

Interview of Akramjon Nematov, First Deputy Director of the Institute for Strategic and Regional Studies under the President of Uzbekistan (ISRS), with Dunyo IA.

- The historic state visit of the President of Uzbekistan to the Kyrgyz Republic has once again drawn considerable attention within the expert community to the construction of the China–Kyrgyzstan–Uzbekistan railway. What place did this project occupy during the high-level talks in Bishkek and which aspects were at the center of the discussions between the two leaders?

- Indeed, recent state visit was truly a historic event, opening a new chapter in the development of Uzbekistan–Kyrgyzstan relations. The high-level talks took place in an atmosphere of unprecedented trust, mutual understanding, and strategic partnership, confirming that bilateral cooperation has advanced to the fundamentally new level of an alliance.

A central item on the agenda was the practical implementation of what is already widely referred to as the “project of the century” - the China–Kyrgyzstan–Uzbekistan railway. Following many years of discussion, the project has entered the active construction phase and the two leaders held detailed discussions on the progress of this unprecedented undertaking.

Of particular significance was President of Uzbekistan Shavkat Mirziyoyev's emphasis on the need to accelerate construction of the China–Kyrgyzstan–Uzbekistan railway, describing it as one of the key drivers of the region's long-term economic development.

In essence, this is far more than another infrastructure project. A new architecture of Eurasian connectivity is taking shape - one that will enable Central Asia to strengthen its strategic agency, expand access to global markets, and diversify its external economic ties. This explains why the two leaders devoted such close attention to coordinating the practical implementation of the project and to the further development of regional transport infrastructure.

It is equally important to note that, thanks to close coordination at the highest political level, construction is progressing ahead of the original schedule. Although initially planned to take at least five years, the project is now expected to be completed one year earlier than originally anticipated.

This reflects an exceptional level of resource mobilization. More than 10,000 specialists and over 7,000 pieces of heavy construction equipment are already engaged on site. The railway is opening an entirely new chapter in the development of Central Asia, fundamentally reshaping both the geopolitical and geoeconomic landscape of the region.

- What is the geoeconomic significance of this corridor for Eurasia as a whole, and how will it transform the position of the region, particularly Uzbekistan and Kyrgyzstan?

- Project fundamentally redraws the transport and logistics map of Eurasia by creating the shortest and most efficient overland route between East and West a modern “Iron Silk Road”.

Traditionally, Central Asia has been viewed in global trade primarily as a landlocked region with limited transit potential. The commissioning of this railway will transform the region from a logistical cul-de-sac into one of the principal crossroads of Eurasian trade.

Projected annual capacity of the new railway will reach 15 million tonnes. To appreciate its scale, it is worth noting that the entire railway network of Kyrgyzstan transported 10.5 million tons of cargo in 2025. In other words, once the railway reaches its designed capacity, the China–Kyrgyzstan–Uzbekistan railway alone will be capable of handling a greater freight volume than the current throughput of Kyrgyzstan's entire national railway system.

For Uzbekistan, project represents a major step toward consolidating its position as a regional transit hub, providing direct and secure access to the markets of South Asia, the Middle East and, ultimately, Europe.

For Kyrgyzstan, it will facilitate the large-scale economic integration of previously hard-to-access mountainous regions, create new jobs, and stimulate national economic development.

Railway will shorten the route from China to Europe and the Middle East by approximately 900 kilometres, while reducing cargo delivery times by seven to eight days, thereby decreasing dependence on the limited number of northern and maritime transport corridors.

However, project's significance extends well beyond shorter routes and faster delivery times. Railway is becoming a key element in shaping the new economic geography of Central Asia. It will transform the region from a passive transit area into an active organizer of Eurasian transport flows. This fundamentally changes the position of our countries within the global economy.

- How does this railway fit into the broader architecture of Eurasian connectivity alongside the Middle Corridor, Trans-Afghan routes and transport corridors through Iran?

- Rather than competing with other transport routes, it complements them by forming a single, integrated network of connectivity. First, the railway will connect directly with the Middle Corridor or Trans-Caspian International Transport Route (TITR), creating a seamless freight corridor linking China through Kyrgyzstan and Uzbekistan, across the Caspian Sea and onward to the Caucasus and Europe.

Second, by integrating with the emerging Trans-Afghan transport projects and Iran's transport network, the railway will create a powerful north-south and east-west transport crossroads. Central Asia will become a pivotal hub for continental trade, where cargo flows from China to South Asia, the Middle East, and Europe converge.

Looking at the broader picture, it becomes clear that integrating the China–Kyrgyzstan–Uzbekistan railway with the Middle Corridor, Trans-Afghan route and transport links through Iran will establish an entirely new system of Eurasian connectivity.

Central Asia will no longer depend on just one or two external transport routes. Instead, it will gain the flexibility to redistribute trade flows across multiple corridors simultaneously. This will significantly strengthen the region's economic resilience while enhancing its strategic autonomy.

The greater the number of complementary transport corridors available to Central Asia, the greater its ability to determine its own development trajectory and the less vulnerable its economies will be to external geopolitical disruptions.

That is why this project should be viewed not merely as a transport initiative, but as a long-term investment in the resilience of Central Asia as an integrated economic space.

- You mentioned that, in the future, this corridor is expected to connect with the Trans-Afghan route. How is the implementation of the Termez–Naibabad–Maidanshahr–Logar–Kharlachi railway progressing today, and what impact could the success of the “project of the century” have on it?

- Work on the Trans-Afghan railway is also moving forward steadily. Active practical efforts are underway, and following the completion of field surveys, the feasibility study for this major transport corridor is expected to be finalized by the end of the year.

At the same time, the rapid pace of construction of the China–Kyrgyzstan–Uzbekistan railway and the scale of resources committed to the project clearly demonstrate Uzbekistan's capacity to successfully implement some of the world's most complex cross-border infrastructure projects.

The success of this “project of the century” significantly strengthens our engineering and organizational capabilities, demonstrates the country's unwavering political commitment and serves as a powerful catalyst for future initiatives.

Practical implementation of the China–Kyrgyzstan–Uzbekistan railway has established an exceptionally high benchmark in terms of both pace and execution, creating strong positive momentum for advancing the Trans-Afghan railway, which will provide Central Asia with the shortest overland access to the ports of the Indian Ocean.

- Some observers argue that the railway will primarily serve as a transit corridor. Will it also become a driver of industrial development and economic growth, particularly in the Fergana Valley?

- It is a misconception to view the railway solely as a transit pipeline for foreign goods. The project has been designed as both a multimodal transport corridor and an industrial development framework. Alongside its transit function, the railway will become a powerful catalyst for the development of domestic industry and manufacturing. Growth zones are already emerging around the railway's key junctions.

A good example is the construction of the Makmal freight transfer station in Kyrgyzstan. It is being designed not merely as a technical railway facility but as a fully-fledged regional transport and logistics hub, incorporating cargo terminals, warehouses, manufacturing and processing facilities, and a wide range of service infrastructure.

Industry will benefit from reliable and efficient logistics for both raw materials and finished products, reducing transportation costs while enhancing competitiveness. The Fergana Valley will be among the principal beneficiaries of the project.

As one of the most densely populated and economically dynamic regions of Central Asia and historically the heart of the region - Fergana Valley has been presented with a unique opportunity to reclaim the pivotal role it played for centuries.

Historically, some of the most important branches of the Great Silk Road passed through this region. Today, thanks to the new railway, the Fergana Valley is once again becoming a center of Eurasian connectivity. Rather than remaining on the periphery of the regional transport system, the valley will evolve into a major production, logistics, and investment hub for the entire continent.

Running through Kashgar, Torugart, Arpa, Makmal, Jalal-Abad and Andijan, the railway will connect the key nodes of this macro-region, attracting investment, revitalizing cross-border trade and removing longstanding logistical bottlenecks. This fundamentally transforms the development model of border regions. Instead of peripheral territories, they will become dynamic zones of economic growth, industrial cooperation and business activity.

Ultimately, these developments elevate Uzbek–Kyrgyz relations to an entirely new level of alliance, where jointly overcoming some of the world's most demanding engineering challenges in the high mountains fosters profound mutual trust and transforms the border into a zone of peace and shared prosperity.

- Will this corridor also be used for passenger transport and what impact could it have on tourism and business?

- From the outset, the project has been designed not only as a freight corridor but also as a passenger railway. Its technical specifications provide for passenger train speeds of up to 120 km/h, even in the challenging mountainous terrain. In practical terms, this represents a genuine transformation. Businesspeople, engineers, and executives will be able to travel quickly and comfortably between the major commercial centers of China, Kyrgyzstan and Uzbekistan, helping to create a more integrated investment environment.

It is worth recalling that the number of joint ventures between Uzbekistan and Kyrgyzstan has already reached 450, and the launch of the railway is expected to stimulate business activity many times over. The railway will also connect the spectacular mountain landscapes of the Tian Shan, iconic destinations such as Issyk-Kul, the historic cities of the Fergana Valley, as well as Samarkand and Bukhara, through a single high-speed rail network. Tourists will be able to cross borders within a matter of hours, generating a substantial multiplier effect for tourism, the service sector, and people-to-people exchanges.

- Some experts have expressed concerns that the railway could simply turn Central Asia into a market for Chinese goods. How would you respond to such assessments?

- Such views are based on an outdated perception of Central Asia as merely a supplier of raw materials. Today's reality is fundamentally different.

First, the countries of the region are implementing ambitious industrialization programs. In recent years, Central Asia has recorded some of the highest rates of industrial growth across Eurasia. In Uzbekistan, industrial output has increased by more than 70 percent over the past eight years, while manufacturing production has nearly doubled. Today, the manufacturing sector accounts for around 80 percent of the country's total industrial output. The fastest-growing industries include machinery manufacturing, electrical engineering, chemicals, pharmaceuticals, metallurgy and textiles. At the same time, the production and export of higher value-added manufactured goods continue to expand steadily.

Kyrgyzstan has likewise demonstrated impressive industrial growth. In 2025, industrial production increased by 10.6 percent, while total industrial output has more than doubled over the past five years. Manufacturing accounted for 79.7 percent of the country's total industrial production. The strongest growth has been recorded in the food processing, chemical, pharmaceutical, construction materials, and manufacturing industries. Meanwhile, new production facilities, industrial zones, and logistics centres are being established to support international transport corridors.

Second, the benefits are mutual. Our countries will gain exceptionally fast access to China's market of more than 1.4 billion consumers, creating significant new export opportunities for agricultural products, textiles, non-ferrous metals, chemicals, electrical equipment, construction materials, and other value-added manufactured goods.

Moreover, during the recent state visit, considerable attention was devoted to the proactive development of modern industrial zones, logistics hubs and manufacturing facilities along the entire railway corridor. Uzbekistan's initiatives are specifically aimed at promoting joint manufacturing, industrial cooperation and the localization of new production chains - not at turning the region into a mere transit corridor.

In effect, a new industrial belt of Eurasia is taking shape, with Central Asia emerging not as a final consumer market but as an integral participant in global value chains. Consequently, the railway is needed not only to transport raw materials but increasingly to support the rapidly expanding industrial production of our countries. It is becoming far more than a transport corridor - it is laying the foundation for a new model of economic development in Central Asia based on industrial cooperation, higher value-added production, and deeper integration into the global economy.

- What has been accomplished on the ground so far and is there still scope to maximize the project's benefits?

- The scale of the work already underway is truly impressive and clearly demonstrates that the “project of the century” has entered its most intensive implementation phase. Construction activities are currently being carried out simultaneously at 83 of the 107 planned sites along the Kyrgyz section of the railway. More than 10,000 specialists and over 7,000 pieces of heavy construction equipment are working around the clock.

To appreciate the magnitude of this undertaking in the exceptionally challenging terrain of the Tian Shan Mountains, where construction is taking place at elevations exceeding 3,000 metres, it is enough to look at the figures. To date, more than 19.6 million cubic metres of earth have been excavated, including over 5.26 million cubic metres for the construction of the strategically important Makmal station.

At the same time, a network of 26 tunnels is under construction. More than 13.5 kilometres of the main tunnels have already been excavated, while excavation of the auxiliary adits has exceeded 51 percent of the planned volume. Approximately one-third of the tunnelling work is being carried out using advanced mechanized methods without the use of blasting technology. Construction is also underway on 38 of the 50 bridges envisaged under the project—equivalent to 76 percent of the total - with nearly 2,400 foundation piles already installed.

In other words, highly complex engineering challenges virtually unprecedented in the region - are being solved every day. The implementation of the project is simultaneously becoming the largest platform for training engineering specialists, introducing advanced construction technologies and developing new expertise in the transport sector.

Cooperation with Chinese partners, who possess world-class experience in delivering large-scale infrastructure projects under extremely challenging conditions, enables our specialists to master cutting-edge technological solutions that will subsequently be applied to other major infrastructure projects across Central Asia.

At the same time, the construction of the railway represents only the first stage of the initiative. It is equally important to begin creating the conditions that will allow the new transport corridor to generate the greatest possible economic benefits for all participating countries.

With this objective in mind, experts from the Project Office for the Development Strategy of International Digital Transport Corridors have prepared a number of practical initiatives aimed at maximizing the railway's operational efficiency.

One proposal calls for the establishment of neutral cross-border free technological zones along both the Kyrgyz–Chinese and Kyrgyz–Uzbek borders, operating under the principle of “one stop, one control”. Such an approach would substantially reduce border-crossing times while streamlining customs procedures.

A second initiative involves creating a modern cross-border free economic zone on the Kyrgyz–Uzbek border, incorporating logistics terminals, industrial facilities and processing industries. This would transform freight traffic into a source of higher value-added production, new employment opportunities, and integrated cross-border manufacturing value chains.

In addition, it has been proposed to establish a joint engineering and design bureau that would serve as a center for developing advanced technical solutions for the operation of high-altitude railways.

Another proposal envisions introducing a single digital transport document, integrating the railway administrations and customs authorities of the three participating countries into a unified digital system.

However, the project's greatest value extends far beyond transport infrastructure. The China–Kyrgyzstan–Uzbekistan railway is, in effect, creating a new model of regional development based on interconnected economies, industrial cooperation, technological partnership, and the joint utilization of the competitive advantages of our countries. It creates the conditions for Central Asia to move beyond its traditional transit role and emerge as an independent centre of manufacturing, logistics, and value creation.

Its political significance is equally important. Only a decade ago, the implementation of such an ambitious initiative would have seemed virtually impossible due to accumulated disagreements and a lack of trust among the countries of the region. Today, thanks to a consistent policy of good-neighbourliness, open dialogue, and mutual support, Central Asia is demonstrating an entirely new level of regional cooperation.

In this sense, the railway is becoming not only a symbol of transport connectivity but also a tangible embodiment of a new political culture in the region one founded on trust, pragmatism and shared responsibility for the future.

For this reason, the significance of the project will ultimately be measured not only by the millions of tons of cargo transported or the kilometres of railway constructed, but above all by the fact that it lays a durable foundation for the sustainable development, economic self-reliance, and strategic agency of Central Asia as a whole.

Dunyo IA

Matters on strengthening security and defense discussed
Matters on strengthening security and defense discussed

On February 21, under the chairmanship of the President of the Republic of Uzbekistan, Supreme Commander-in-Chief of the Armed Forces Shavkat Mirziyoyev a meeting was held on strengthening military security and defense capacity of the state.

The meeting was attended by members of the Security Council, heads of ministries and departments within the Armed Forces of Uzbekistan, commanders of military districts, as well as the chairmen of the Jokargy Kenges and the Council of Ministers of the Republic of Karakalpakstan, regional and Tashkent city khokims, as well as responsible persons of local authorities in the videoconference format.

At the beginning of the meeting, the adopted measures on strengthening the country's defense capacity and their results were reviewed, certain shortcomings in this work were pointed out.

It was noted that the national army is being equipped with modern weapons and equipment, the level of combat and moral-psychological training of servicemen has significantly increased. 

In view of international experience and the analyses carried out, new combat units have been formed to prevent and eliminate internal and external threats, and the organizational structure of the troops has been optimized.

It was underlined that the creation of a new system of modernization and modern equipment of the army continues - the defense industry is developing and additional enterprises have been set up. The Armed Forces of Uzbekistan have established bilateral military cooperation with more than 20 countries and successfully participated in more than 400 joint exercises.

The infrastructure of higher military schools within the Armed Forces has been completely modernized, their curricula and methodology brought in line with modern requirements. 

The social and legal protection of servicemen and their families has been strengthened. In particular, about 30,000 families have been provided with housing, and more than 2,000 children of servicemen have received benefits when enrolling in higher educational institutions. 

Military administrative sectors, government and public organizations are involved in creating favourable conditions for homeland defenders. Attention to the issues of educating young people in the spirit of patriotism and initial pre-conscription military training in schools is being intensified.

The meeting identified priority tasks for 2025 and subsequent years. 

The need to consider contemporary armed conflicts, existing threats to national security and the peculiarities of the theater of military operations when planning for the further development of the army was emphasized. 

It has been indicated that artificial intelligence, robotic systems, missiles, drones and means of countering them are widely used in today's regional conflicts. In this connection, it has been instructed to create new units in the armed forces to combat drones, use robotic equipment, air defense, and cyber structures utilizing artificial intelligence technologies.

The Supreme Commander-in-Chief emphasized the need to further improve the combat readiness of the army, raise the level of combat training, create a unified automated troop management system using artificial intelligence technologies, as well as introduce dual training in military education and training of military personnel. 

Priority tasks have been set to improve the activities of the “Corps of Master Sergeants”, which is the backbone of the army, further develop the defense industry, provide social support to servicemen and their families, educate young people in the spirit of patriotism and involve them in military sports.

Reports and proposals by the Minister of Defense, commanders of military districts and other responsible persons were heard at the meeting.

Preliminary results of parliamentary elections in Uzbekistan announced
Preliminary results of parliamentary elections in Uzbekistan announced

The text of the article is in Uzbek!

Over the past 8 years, New Uzbekistan has absorbed over 113 billion dollars of foreign investments
Over the past 8 years, New Uzbekistan has absorbed over 113 billion dollars of foreign investments

On the eve of the 34th anniversary of our country's independence, the Executive Board of the International Monetary Fund has finalised the 2025 consultations in accordance with Article IV of the IMF Agreement. The main conclusion on the essence of the ongoing reforms is positive prospects for Uzbekistan's economic development against the backdrop of continued progress in the transition to a market economy. According to the published document, economic indicators remain strong, including sustainable growth rates, reduction of the consolidated budget deficit, current account deficit and sufficient level of international reserves.

Successful and effective implementation of structural reforms, according to the Fund's specialists, allows us to conclude that the prospects are favourable. Against the background of a high degree of uncertainty in global trade policy, the IMF baseline scenario predicts that real GDP growth will remain stably high in the coming years. Such trends are the result of economic openness, industrialisation, active investment policy and support for the formation of export potential of promising industries.

The set of reforms and effectively implemented decisions is consistent with available internal resources and reserves for long-term sustainable development of the country and regions. The course towards irreversible market transformations makes it possible to skilfully combine the instruments of targeted state support and opportunities for entrepreneurial initiative on the way to building a New Uzbekistan.

In recent years, as a result of openness and growing confidence in our country, there has been a progressive increase in capital investment. In 2017-2024, the total volume of foreign investment absorbed exceeded $113 billion. Foreign direct investment and loans account for more than 80 per cent of them. Activity in attracting finance is observed in the leading industries and the fuel and energy complex, which has a corresponding impact on the acceleration of industrialisation processes in almost all regions.

Increasing investment cooperation with China, Russia, Germany, Turkey, Saudi Arabia, the Netherlands, the USA, the UK and other countries is becoming a source of attraction of advanced technological solutions and expertise, management methods, localisation of production and strengthening the export potential of promising industries and regions of Uzbekistan. Attracted resources are mainly invested in the technological re-equipment and modernisation of existing production facilities and the creation of new production facilities that did not exist before.

Over the past eight years, investment programmes have launched more than 96,000 projects worth about $100 billion, creating 1.8 million jobs. In 2024, compared to 2017, the value of investment projects put into operation increased almost eightfold, and the number of jobs grew 2.6 times.

We emphasise the factor of active involvement of our Head of State in this process. As a result of visits and top-level events, 366 investment agreements worth $75 billion have been reached since the beginning of this year. In particular, this year road maps have been approved for 222 investment projects worth about $45 billion.

Within the framework of the IV Tashkent International Investment Forum (June this year), agreements were reached on investments worth more than $30 billion (for the implementation of 144 joint projects). In April 2025, on the margins of the 5th International Industrial Exhibition "INNOPROM. Central Asia", held in Tashkent, within the framework of the 43 investment agreements reached, it is planned to attract an additional billion dollars to the industrial sector of the country.

In recent years, there has been an active practice of holding events to inform the international community about opportunities for the implementation of joint projects. Thus, this year, forums were held in 13 foreign countries as part of the Investors' Day of Uzbekistan, attended by representatives of 700 well-known foreign companies. More than 200 investment projects worth six billion dollars were presented to potential partners.

Among the important elements of Uzbekistan's modern industrial policy is localisation of production of high quality and competitive products, reduction of imports of finished goods and components. In accordance with the Localisation Programme, which included about 10 thousand projects, almost 300 trillion soums worth of products have been produced over the period 2020-2024. This led to import substitution in the amount of about $25 billion. The Localisation Programme allowed the creation of new production facilities for previously imported goods, contributed to changing the sectoral structure of industry and reducing dependence on external supplies by expanding the range of products and services.

THE NUMBER OF EXPORTERS IS GROWING

The formation of an export orientation has become one of the main conditions for success in implementing the plans outlined for Uzbekistan's industrialisation. Over 2017-2024, the total volume of exports exceeded $132 billion. It is noteworthy that the average annual growth rate of the country's exports over the period was 12-23 per cent. As a result of systematic and targeted support for exporters, the geography of exports of domestic products expanded by 55 states in 2024 and reached 186 countries over the past eight years. Last year, the number of exporting enterprises increased by 3,143 and their total number totalled 7,343.

Only due to the increase in the share of exports of higher value-added products in 2024, shipments to foreign markets increased by a billion dollars. Entering new promising markets, in turn, requires a significant improvement in the quality of manufactured products and their compliance with international standards. As part of the GSP+ programme, we implemented a set of organisational and technical measures to obtain Global G.A.P., Organic, OEKO-Tex, BSCI, CE marking certificates for our products and transition to ISO standards at more than five thousand enterprises. This made it possible last year alone to provide additional exports of 617 types of products worth $1.4 billion to the European Union.

Transition to more demanding standards and technological processes makes it possible to achieve the goals of producing and selling products of a completely different quality in new markets. Export supplies of goods to developed countries confirm the correctness of the chosen strategy, demonstrating its undeniable results. For example, due to the expansion of export geography and correct response to the conjuncture, the selling prices of Uzbekistan's fruit and vegetable products last year increased by an average of 14 per cent.

The industrial trend of economic development, having ensured a technological leap in a number of sectors, has had a significant impact on the evolution of the commodity nomenclature of exports. Quite recently, Uzbekistan was associated as a country with a monoculture of cotton, and its products were practically the sole leader of exports with absolute dominance of raw materials. In this regard, according to IMF experts, there is a decline in the share of cotton fibre exports from 0.2 per cent of GDP to zero from 2021 in the long term. Today Uzbekistan exports more and more high-tech products, and by 2024 its nomenclature has reached four thousand items.

For example, compared to 2017, exports of primary goods fell by 22 per cent last year, while the share of exports of finished goods increased 3.3 times, semi-finished goods - 4.4 times, and exports of services increased 2.9 times. At the same time, the transition to advanced processing of cotton contributed to the doubling of exports of garment and knitwear products to one billion dollars. This allowed our country to become the second supplier of textile products in the Russian market.

Domestic products are becoming a recognisable national brand, enjoying trust and popularity among foreign consumers. Last year, the goods of about 300 Uzbek enterprises received registration on the well-known electronic commercial platforms Alibaba, Wildberries and Ozon. As a result, sales of our companies reached $680 million.

At the end of the first half of 2025, the volume of exports grew by 33 per cent year-on-year and approached $17 billion. Since the beginning of the year, 1,557 domestic companies have been added to the exporters, accounting for $650 million in shipments.

The steady trend away from raw material exports towards finished high-tech products and services (tourism, transport, construction, IT and others) continues.

INVESTMENT DIALOGUE

It should be noted that our country is building and effectively operating an institutional environment to address strategically important issues of industrial development with a clear export orientation by attracting foreign capital. For this purpose, the relevant ministry and state agencies responsible for this complex of issues, as well as organisations promoting interaction between the state and the private sector have been established.

The Council of Foreign Investors under the President of the Republic of Uzbekistan is an institutional platform for direct dialogue between the government and investors (including international financial institutions). The Council's work as an advisory and consultative body effectively promotes the attraction of foreign direct investment in priority sectors of the economy and the organization of quality business dialogue, taking into account international best practices.

The Council operates under the patronage of the President of Uzbekistan, who personally attends meetings of this body. In order to organise systematic work on attracting investments, the relevant decree of the leader of the country was adopted to implement the agreements reached at the last meeting of the Council. The document also implies ensuring the systematic implementation of initiatives and proposals put forward by the participants of the meeting, as well as measures to improve the activities of the Secretariat of the Council of Foreign Investors.

In parallel with the formation of an effective institutional environment, consistent work is being done to improve the legislative framework to ensure advanced industrial development, intensify investment processes and expand the export potential of industries and regions of the country. This process is under the close attention and direct involvement of Uzbek parliamentarians. As a result, in recent years more than 500 functions of the State in regulating business have been abolished, and about 70 functions have been transferred to public-private partnerships and outsourced to the private sector. Seventy-two types of licensed activities and 40 permits have been legally abolished to improve the business climate and simplify the business environment.

POSITIVE ASSESSMENT

These transformations are positively assessed by foreign rating agencies and organisations. Thus, according to the Index of Regulatory Restrictions on Foreign Direct Investment (Organisation for Economic Development and Cooperation), our country has the best rating among the Central Asian region. This year, the country's performance on the Heritage Foundation's Index of Economic Freedom, the indicators ‘Freedom of Trade’ and ‘Freedom of Investment’ has improved considerably.

Let us return to the assessment of the prospects of dynamics and effectiveness of reforms based on the results of the recent IMF consultations with Uzbekistan in accordance with Article IV of the IMF Agreement. According to the Fund's outcome document, the opportunities arising from accelerated structural reforms, increased income and capital inflows, and favourable commodity price dynamics are positive for Uzbekistan's sustainable development.

Analysis of industrialisation indicators, investment activity and expansion of export indicators testifies to the real effectiveness of the ‘Uzbekistan - 2030’ Strategy and a set of accompanying measures to strengthen the country's economic potential and international standing. This, in turn, becomes a demonstration of the irreversibility of reforms aimed at building an independent New Uzbekistan.

 

Deputy of the Legislative Chamber

of the Oliy Majlis of the Republic of Uzbekistan,

Doctor of Economic Sciences, Professor Durbek Akhmedov

Do you know Uzbekistan?
Do you know Uzbekistan?

The text of the article is in Uzbek language!

Uzbekistan’s Inclusive Turn: Solutions at the Level of Each Mahalla
Uzbekistan’s Inclusive Turn: Solutions at the Level of Each Mahalla

On 23 January, under the chairmanship of the President of the Republic of Uzbekistan, a videoconference meeting was held on the key tasks of poverty reduction and employment provision for 2026. In terms of both substance and the framing of issues, the meeting marked a turning point in the evolution of the country’s social policy.

The relevance of transitioning to a new model

The results of the reforms demonstrate a transition to the next stage of social policy. For the first time, poverty reduction has been placed in direct dependence on outcomes at the level of individual mahallas.

This shift is a consequence of the socio-economic results achieved. By the end of 2025, the national economy grew by 7.7%, significantly above the forecast level of 6.5%. GDP exceeded $147 bn, reaching approximately $3,900 per capita. Growth rates in all sectors surpassed those of 2024. Foreign investment reached $43 bn, while exports amounted to $33.8 bn. Inflation declined from 9.8% to 7.3% in 2025.

Sustained economic growth ensured a significant increase in budget revenues, which were consistently directed toward addressing social issues, reducing poverty, and developing mahallas. As a result, in 2025 income sources were provided for 5.4 mn people, and 330,000 families were lifted out of poverty. Unemployment declined to 4.8%, while the poverty rate fell to 5.8%.

As overall poverty indicators decline, its geography is changing. Poverty is becoming localized, concentrated, and heterogeneous. Nearly one-third of low-income households and around one-fifth of the unemployed are concentrated in a limited number of mahallas, which necessitates a transition to a new model.

Against this backdrop, the primary indicator becomes the outcome achieved at the level of each mahalla. The persistence of poverty or unemployment indicates that measures require further calibration.

Accordingly, for the first time at the national level, a systematic classification of all territories by poverty level was conducted. Based on 20 criteria, 37 “difficult” districts and 903 “difficult” mahallas were identified, home to around 120,000 poor families and approximately 155,000 unemployed citizens. At the same time, work to shape the image of a “New Uzbekistan” has also begun in an additional 33 districts and 330 “difficult” mahallas.

A distinctive feature of the new approach is that “difficult” territories are viewed as points of structural transformation. For each mahalla and district, comparative advantages are assessed, including economic, agricultural, industrial, logistics, or service-related strengths.

Individual development programmes for mahallas are being formulated. Practice shows that even in the most vulnerable areas, ensuring stable access to water and electricity, basic infrastructure, and integration with markets can multiply household incomes.

In the current year, territorially targeted development becomes the main instrument for achieving the stated goals, as clearly articulated by the President.

Infrastructure as an economic asset

A particular emphasis in the new model is placed on revising regional policy priorities. As noted by the President, residents and entrepreneurs in “difficult” districts and mahallas primarily expect improvements in roads, water supply, and electricity provision, rather than an expansion of tax incentives.

Concentrating resources on a limited number of problem territories allows infrastructure investment to be transformed from general budget spending into an instrument of targeted socio-economic impact. In 2026, $1.6 bn will be allocated for regional infrastructure development, of which $990 mn will be directed to “difficult” districts and mahallas.

At the same time, transfers from the republican budget to local budgets will double.

Additionally, allocations of $4.1 mn to each “difficult” district and $165 ths to each “difficult” mahalla are envisaged.

In total, district hokimiyats (district executive administrations) and local kengashes (local representative councils) will receive an additional approximately $330 mn exclusively to support problem territories.

A key element of this model is ensuring stable energy supply for “difficult” districts and mahallas.

In 2026, each of the 903 “difficult” mahallas is expected to host the construction of a small solar power plant with a capacity of 300 kW, with a total investment of around $110 mn. These plants will be transferred to the mahallas free of charge, creating a local energy asset. Through the generation of “green” electricity, each mahalla will gain a sustainable additional income source of $33-41 ths per year.

The proceeds are intended to be used for energy-efficient renovation of housing stock, reducing utility costs, and improving quality of life. Operation of the solar plants will involve members of low-income households, simultaneously addressing employment and infrastructure sustainability objectives.

A separate emphasis is placed on supporting the most vulnerable households. An instruction has been issued to conduct targeted assessments of 6,700 families with a member having a first-degree disability and no able-bodied household members, followed by identification of needs for energy-efficient housing upgrades and the launch of “green” renovation.

Taken together, these measures form a model of territorial and energy resilience. The effectiveness of local authorities’ performance will be subject to public evaluation, reinforcing the transition to results-oriented governance.

Comparative advantages of mahallas

The President clearly defined key socio-economic targets for 2026, including the provision of permanent employment for around 1 mn people, lifting 181,000 families out of poverty, increasing the number of poverty-free mahallas by 2.5 times to 3,500, and reducing the unemployment rate to 4.5%.

Achievement of these targets is expected to be based on the comparative advantages of specific districts and mahallas in industry, agriculture, and services. This approach allows resources to be concentrated where they generate the greatest multiplier effects for employment and household incomes.

As an example of leveraging comparative advantages based on location and specialization of mahallas, the President cited Furqat District. Its advantages include, first, cooperation with neighboring economically active centers; second, deepening specialization among nearby mahallas and combining competencies; and third, increasing value added through the launch of processing activities.

Further measures were outlined within the framework of a differentiated approach to developing problem territories.

Deepening mahalla specialization

Primary attention will be focused on deepening mahalla specialization, as welfare levels are significantly higher in mahallas with deep specialization. Practice shows that in such mahallas, welfare levels are noticeably higher, while the number of recipients of social assistance is half as large, at around 7 people per 10,000 population.

Currently, the 903 “difficult” mahallas encompass around 90,000 hectares of household and leased land. To transform this resource into a source of sustainable income, a new mechanism of a “social contract” between the state and the mahalla has been proposed. Mahallas that, by leveraging residents’ skills and rational land use, manage to increase household incomes by three to four times will receive additional financing of $165 ths for the development of road, water, and irrigation infrastructure. Implementation of this model is planned to begin with “difficult” mahallas.

To support deeper specialization, banks will allocate a total of $1.4 bn in loans. For production projects, 4% of the loan will be compensated, while for processing projects the compensation will amount to 6%.

Comparative advantages of mahallas

In 2026, $11.5 bn in credit resources are earmarked for the development of small and medium-sized businesses in mahallas, compared to $10.7 bn a year earlier. At the same time, banks have been tasked with strengthening entrepreneurship financing: alongside a planned $6 bn from external sources, the total volume of funds directed to mahalla-level projects should reach $8 bn.

Not only the scale but also the principle of credit allocation is changing. The model under which loans within the “Family Entrepreneurship” programme were issued on uniform terms at a 17.5% rate across all districts and cities is giving way to territorial differentiation. In particular, for the 37 “difficult” districts, the rate is reduced to 12%. This step transforms lending into an instrument for accelerating the development of problem territories.

In parallel, programme limits and target areas are being expanded. In all districts, the maximum size of concessional loans is increased by 1.5 times, from $2.7 ths to $4.1 ths. To support this decision, an additional $165 mn is added to the planned $297 mn.

Overall, the 2026 credit policy is shaped as a targeted development mechanism, a managed conversion of credit into employment, income, and local growth.

Institutional changes in system governance

A number of institutional changes are also envisaged to enhance the effectiveness of all governance levels involved in mahalla development.

Work in mahallas is moving away from an administrative-intermediary model and is being structured around specific projects. In this framework, the hokim’s assistant acts as a territorial development manager responsible for implementing project solutions.

To ensure integrated project governance, multi-level coordination is being introduced. Initiatives proposed by hokims’ assistants are paired with regional bankers; the first deputy hokim of the region provides operational oversight; and the “Reform Headquarters” supervises issues requiring inter-agency solutions. From February, a system of training hokims’ assistants in project management will be launched, starting with “difficult” mahallas. Each district will form a project portfolio followed by a transition to practical implementation.

One hundred “difficult” mahallas that demonstrate the best performance in job creation, income growth, and poverty reduction will receive an additional $82.5 ths each. Hokims’ assistants from these mahallas will be able to upgrade their qualifications in China, Turkiye, South Korea, and Malaysia.

In this context, work on developing mahalla master plans is being intensified. International experts are being engaged, alongside the potential of domestic universities. Final-year students in architecture programmes will be able to participate in the development of “difficult” mahallas, with the best projects being supported by state grants.

Overall, the institutional changes formalize a shift from a universal approach to a differentiated territorial policy.

Resource redistribution is justified by the structure of the economy: 62% of industrial production and 57% of services are concentrated in 50 districts and cities with high entrepreneurial potential. Growth in their budget revenues creates an opportunity to concentrate state efforts on problem territories.

This is evident from revenue dynamics: three years ago, additional local budget revenues in these 50 territories amounted to $72.2 mn, while in the current year they are expected to increase 8.5 times, to $610.5 mn.

As a result, greater attention can be directed to “difficult” districts and mahallas, where poverty and unemployment are territorially concentrated.

Conclusion

The decisions and instruments for 2026 demonstrate that Uzbekistan’s social policy is moving beyond traditional resource redistribution toward a model of managed territorial development. The new model rests on three interlinked pillars.

First, the concentration of infrastructure resources in “difficult” districts and mahallas, with the creation of long-term local assets, reduced household costs, and enhanced energy resilience.

Second, the expansion of employment based on comparative advantages and deeper territorial specialization, supported by financial incentives, access to credit, and solutions along value chains.

Third, institutional recalibration of governance, where a project-based approach and multi-level coordination align resources, responsibility, and measurable outcomes.

The essence of the current phase is that targeting becomes a technology focused on “difficult” territories. Exiting poverty is understood as an individual household trajectory, in which local conditions, skills, and infrastructure are decisive. The “Mahalla Seven” and the institution of hokims’ assistants serve as the connecting link, ensuring coordination and feedback until results are achieved.

 

Khurshed Asadov,
Deputy Director of Center for Economic Research and Reforms

Proposals on further development and increase of competitiveness of the jewelry industry were considered
Proposals on further development and increase of competitiveness of the jewelry industry were considered

President Shavkat Mirziyoyev was given a presentation on measures to further develop the jewelry industry, support jewelry production and sales, and increase exports of finished products.

Our country has a huge potential for increasing production and export of jewelry.

As the head of state noted, only 6 percent of gold mined in the country is processed, and exports of its products amount to only 78 million dollars, so it is important to create jewelry zones with special conditions for entrepreneurs, to review the provision of raw materials, training of specialists, production chain and sales system.

In this regard, the Ministry of Economy and Finance and the Chamber of Commerce and Industry have developed relevant proposals.

In particular, it is planned to improve the activity of the Uzbekzargarsanoati association, expand its powers and reorganize the management system.

In order to support manufacturers of the industry, it is proposed to apply the benefits provided for members of the Association "Uzbekzargarsanoati" to individual entrepreneurs - manufacturers of jewelry, who are members of the Association "Uzbekzargarsanoati".

The possibility of establishing a zero rate of customs duty and value added tax on equipment, packaging and marking materials that are not produced in Uzbekistan and used in the jewelry industry for the period up to October 1, 2026 is being studied.

The issues of creation of special jewelry centers including production, exhibition and trade areas were considered. Information was provided on the placement of pilot projects in Tashkent and Namangan region.

The issue of increasing the volume of jewelry exports was discussed. It was proposed to establish a zero rate of customs duty for export of jewelry made in our country to the United States of America under the GSP system.

The head of state instructed to finalize the presented measures and work out a program for the development of domestic jewelry production for the period up to 2027.

New reforms in the judicial and legal system of Uzbekistan are aimed at practical results
New reforms in the judicial and legal system of Uzbekistan are aimed at practical results

The main goal of state policy in the penal sphere in Uzbekistan is aimed at liberalizing punishment and the system of its execution. Based on this, a number of strategic objectives have been identified. In particular:

Firstly, crime, improvement and liberalization of criminal and criminal-procedural legislation, decriminalization of specific criminal acts, humanization of criminal punishments and the procedure for their execution were determined as one of the priority directions for improving the state and society building system in the Action Strategy of the Republic of Uzbekistan in 2017-2021.

Secondly, the Resolution of the President of the Republic of Uzbekistan “On the Concept of improvement of criminal and criminal-procedural legislation” was adopted on May 14, 2018. It was aimed at improving the criminal responsibility and punishment system, in particular, eliminating forms and types of punishments that do not meet to modern requirements, and preventing crimes. The task of introducing types of punishment and other legal measures, simplifying punishment or expanding the norms regulating the conditions of criminal responsibility or exemption of person from liability was established.

Thirdly, the implementation of qualitatively new mechanisms for ensuring the unconditional observance of the rights of prisoners, respect for their honor and dignity, priority tasks such as further expansion of the scope of rights of convicts in accordance with generally recognized international standards were determined in the Decree of the President of the Republic of Uzbekistan dated on November 7, 2018 “On measures to radically improve the criminal and executive legislation”.

Fourthly, the necessity to ensure labor, social security and other internationally recognized rights of convicts, people who have served their sentences, to introduce effective mechanisms to help their social adaptation and reintegration into society, and widely introducing the principle of humanitarianism into the penal system was noted as the essential and necessary condition for the development of the law priority principles in the Development Strategy of New Uzbekistan in 2022-2026;

Fifthly, the task of reducing the practice of imprisonment from 30% to 20% was strengthened as the main criterion for reforms in the judicial system in the strategy “Uzbekistan – 2030”.

Sixthly, new version of the Constitution of the Republic of Uzbekistan was adopted pursuant to the Referendum on April 30, 2023, in which human rights and freedoms are guaranteed based on the universally recognized norms of international law, as well as the prohibition of the death penalty.

Meanwhile, 3 laws, 2 decrees and 7 resolutions of the President of the Republic of Uzbekistan, more than 20 resolution and decrees of the government, more than 15 departmental and interdepartmental regulatory legal documents aimed at further improving the system of execution of punishment for the implementation of these strategic goals were accepted.

As a result, the range of rights and legal interests of the prisoners were expanded and brought into line with international standards.

It is worth noting that at the initiative of the President Shavkat Mirziyoyev, the work on ensuring the rights and freedoms of prisoners serving sentences in penitentiary institutions has reached a completely new level.

In particular, based on the Decree of the President of the Republic of Uzbekistan dated on April 2, 2021, “On additional organizational measures to further improve the activities of internal affairs bodies in the field of ensuring public safety and fighting crime”, the followings were determined:

to increase the effectiveness of educational work on the moral correction in order to prevent re-offending, to improve the system of execution of punishment, to ensure the protection of the rights, freedoms and legal interests of prisoners;

to ensure the priority importance of honor and dignity of prisoners, to introduce transparent and more effective legal mechanisms of moral education and labor training for social adaptation of convicts to society in the future;

to radically improve the criminal-executive legislation, taking into account modern international standards and advanced foreign experience;

to ensure strict discipline and legality in penitentiary institutions and investigative detention centers, to prevent corruption, and fully automate the processes of monitoring the condition of prisoners;

to create opportunity to purchase items in the prescribed manner by prisoners in penitentiary institutions, and their relatives as well, through electronic stores based on free market mechanisms;

to maintain the electronic database of information about the behavior and personality of each prisoner and fully digitize the process of distribution of prisoners in order to correctly determine the tactics of re-educating prisoners and prevent them from committing crime.

A number of practical results have been achieved as a result of the comprehensive reforms implemented in the field of criminal punishment.

Particularly:

Firstly, the restrictions on the visits of juvenile prisoners with their parents were removed, and female prisoners were given the right to visit their children in orphanages on unlimited basis.

Secondly, special attention was paid to the education and vocational training of prisoners, and the activity of "Master-Apprentice" schools was launched in penitentiary institutions.

In fact, there are 6 general educational schools and 4 vocational centers operating in the penitentiary institutions at present. More than 2,000 convicts are trained in such schools, and more than 5,000 in the vocational centers are trained in tailoring, carpentry, furniture making, auto electrician, electrician, locksmith and other professions, and they are given certificates in 16 specialties in total.

Thirdly, according to the law “On Education"” the right to distance education was given to prisoners in penitentiary institutions.

Henceforth, the dream of the prisoners who want to get higher education was fulfilled. 25 prisoners were admitted to the prestigious national higher educational institutions, as well as branches of international higher education institutions in our country in 2021-2023.

Fourthly, special attention was paid to the social welfare of prisoners, and the right to pension was guaranteed (as of January 1, 2024, pensions were granted to 676 prisoners) and it was determined that social insurance would not be deducted from wages. The number of phone calls, visits and meetings of the prisoners has almost doubled.

Fifthly, in the direction of expanding the political rights of prisoners, the requirements of the International Covenant on Civil and Political Rights, as well as the positive experiences of France, Germany, the Netherlands, the United Kingdom, Germany, and Turkey, are implemented into national legislation, and the right to vote was given for the first time for prisoners who are serving sentences for crimes of low social risk and less serious crimes.

On this basis, 3,619 prisoners in the 2019 Parliamentary elections, 8,203 prisoners in the 2021 Presidential elections, and 9,738 prisoners in the 2023 referendum exercised their political right to vote.

Sixthly, the procedure for the visit of the Representative of the Oliy Majlis of the Republic of Uzbekistan on Human Rights (Ombudsman), diplomatic corps, representatives of international, republican and local non-governmental non-profit organizations, foreign and local mass media to prisons was established.

Seventhly, With the Decree of the President of the Republic of Uzbekistan “On the Development Strategy of New Uzbekistan in 2022-2026”, a system of providing “initial socio-material support package” was introduced to help citizens who have served their sentences to find their place in society in the future.

Eighthly, in order to allow and support the convicts who realized the mistake of their actions, sincerely repented and resolutely chose to the path of recovery, the mechanism of “pardon” was established by the head of our state which is considered clear example of forgiveness and nobility of our nation.

In particular, in 2017-2024, a total of 7128 convicts were pardoned by the relevant decrees of the President of the Republic of Uzbekistan, 219 of them were foreign citizens and 377 were women.

Ninthly, according to the relevant decree of the government, certain information in prisons that cannot be disclosed until now, including:

the number of persons detained in penitentiary institutions and investigative detention centers;

the number of penitentiary institutions and investigative detention centers and their locations;

the production activities of penitentiary institutions, the goods produced by them according to the nomenclature and expressed in money;

the number of deaths among persons detained in penitentiary institutions and pretrial detention centers;

information on the number of prisoners kept in penitentiary institutions and subjected to coercive medical measures was disclosed.

Admittedly, in addition to the norms of international law, the United States, the countries of the European Union, Russian Federation, Moldova, Kazakhstan, Belarus and Kyrgyz Republic and a number of positive experiences of other countries were taken into account in the improvement of criminal law and the mechanisms of its practical implementation, as well as in the expansion of the basic rights and freedoms of prisoners.

In addition, the provisions of the international legal norms related to the system of execution of punishment were introduced into the criminal law. In particular, the “Minimum standard rules for dealing with prisoners” (Nelson Mandela Rules), adopted by the resolution of the United Nations General Assembly on December 17, 2015, was applied to the criminal law of the Republic of Uzbekistan.

Hence, respect for the dignity of prisoners was guaranteed, mechanisms aimed at preventing the use of torture and cruel treatment were improved. Furthermore:

the right of prisoners to receive psychological assistance was enabled;

prisoners in need of medical care were allowed to be placed in regional institutions of the Ministry of Health;

prisoners suffering from a serious illness were given the opportunity to talk over the phone and meet their close relatives based on the doctor’s permission.

At the same time, the application of disciplinary punishment was completely canceled for the disorder in case of his mental state was disturbed.

Based on the abovementioned facts, as well as on the basis of the norms of international law and the positive experiences of foreign countries, it is expedient to implement the following proposals and recommendations in the practice of law enforcement in order to improve the criminal law of the Republic of Uzbekistan:

Further expansion of the basic rights of prisoners, in particular, the use of computer tools connected to the Internet (educational, artistic, electronic books, publications, educational materials, graphic designs) connected to the global information network in specially equipped rooms, the introduction of a simplified procedure for the use of electronic state services, including notary services;

education of convicts, acquisition of profession and wide involvement of them in useful work;

raising the legal consciousness and culture, ideological views of prisoners, defining systematic measures aimed at forming immunity of intolerance to violations to them;

determining the acceptable directions of exemption from punishment in legislation;

implementation of modern forms of social adaptation and resocialization of prisoners based on the analysis of international law norms and best practices of foreign countries.

At the same time, further liberalizing crimes and criminal law, especially by expanding non-custodial sentences for juveniles, women, the elderly, and prisoners with disabilities, is the best way to improve the most effective national crime-fighting system today.

In short, improving the law enforcement practice and legislation in the judicial executive system, and consistently continuing the ongoing reforms are aimed at building democratic legal state and fair civil society in our country, strengthening the guarantees of human rights protection, and ensuring the rule of law in society.

 

Khatamov Rustam

Head of the Academy of the Ministry of internal affairs of the Republic of Uzbekistan, Doctor of philosophy in law sciences (PhD), Associate professor, Colonel