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Uzbekistan has moved its economic cooperation with the Turkic states into a practical dimension
Uzbekistan has moved its economic cooperation with the Turkic states into a practical dimension

President of Uzbekistan Shavkat Mirziyoyev will participate in the upcoming 13th Summit of the Organization of Turkic States (OTS), which will be held in Ankara, Türkiye.

Ahead of the 13th Summit of the Organization of Turkic States, scheduled to be held in Ankara, economic cooperation within the OTS is acquiring new substance. Alongside trade and investment, industrial cooperation, transport corridors, digital infrastructure, artificial intelligence and co-financing mechanisms are emerging as practical areas of engagement. The preparation of the OTS Strategy for 2027–2031 further increases the economic significance of the Ankara meeting.

Today, the Organization of Turkic States covers a significant economic space connecting Central Asia, the South Caucasus and Türkiye with European markets. By the end of 2025, the combined nominal GDP of the OTS countries amounted to approximately $2.3 trillion, while their GDP at purchasing power parity exceeded $6.2 trillion. Their aggregate foreign trade turnover surpassed $1.2 trillion.

These figures indicate the presence of a large market for expanding economic cooperation. At the same time, the volume of mutual trade among the OTS countries remains limited relative to their overall economic potential. The next stage of cooperation is therefore increasingly focused on moving beyond the simple expansion of trade toward deeper industrial cooperation, lower transport costs and the financing of joint investment projects.

Differences in the economic structures of the OTS countries provide a foundation for such cooperation. Türkiye has a substantial manufacturing base in machinery, automotive production, electrical engineering, textiles and chemicals. Kazakhstan and Azerbaijan, in addition to their energy resources, hold significant positions in metallurgy and petrochemicals. Uzbekistan is developing its textile and garment industry, electrical engineering, automotive, chemical and food industries, as well as non-ferrous metallurgy. Kyrgyzstan’s capabilities in light industry and agriculture also provide an additional basis for expanding shared production chains.

In this context, the economic outcome of integration within the OTS will increasingly be determined not merely by the volume of mutual trade, but also by the extent to which enterprises in member countries become integrated into one another’s production chains.

Uzbekistan’s Trade with OTS Countries

For Uzbekistan, economic relations with the Turkic states have become an important component of foreign trade diversification.

In 2025, Uzbekistan’s total foreign trade turnover reached $81.2 billion, including $33.8 billion in exports and $47.4 billion in imports. Among the country’s major trading partners, turnover with Kazakhstan amounted to $5 billion, while trade with Türkiye reached $3 billion.

Kazakhstan and Türkiye alone account for roughly one-tenth of Uzbekistan’s total foreign trade. When economic relations with Kyrgyzstan, Turkmenistan, Azerbaijan and Hungary are also taken into account, the OTS space represents a distinct and sizeable regional market for Uzbekistan.

Exports have played an important role in recent trade growth. In 2025, Uzbekistan exported $1.5 billion worth of goods and services to Kazakhstan, $1.1 billion to Türkiye and $771.1 million to Kyrgyzstan.

The composition of trade also points to qualitative changes in economic relations. In 2025, industrial goods accounted for 28.2% of Uzbekistan’s exports to OTS countries, machinery and transport equipment for 19%, food products for 11.1%, chemical products for 10%, and services for 12.7%. On the import side, food products represented 22.8%, mineral fuels 20.3%, industrial goods 18.1%, and machinery and transport equipment 12.9%.

This structure highlights two important features. First, Uzbekistan’s exports to the OTS market are not limited to raw materials, with industrial goods, machinery and equipment accounting for a substantial share. Second, the presence of energy resources, industrial goods and equipment in imports indicates that mutual trade with OTS countries is also closely linked to domestic production processes.

For this reason, alongside trade turnover, the depth of industrial cooperation is becoming an increasingly important indicator of future economic relations.

Untapped Export Potential

Despite significant growth in trade, the available opportunities have yet to be fully utilized.

According to estimates by the Center for Economic Research and Reforms, Uzbekistan has the potential to increase exports to OTS countries by an additional $2.7 billion. The largest reserve is associated with the Turkish market, at $1.8 billion. Additional export potential is estimated at $500 million for Kazakhstan, $200 million for Hungary and $100 million for Kyrgyzstan.

Market size alone, however, is insufficient to ensure export growth. Product quality, mutual recognition of standards, certification procedures, transport costs, delivery times and access to trade finance all directly affect exporters’ competitiveness.

Opportunities are particularly substantial in agriculture and food products. The combined agricultural market of the OTS countries is estimated at around $72 billion. For Uzbekistan, promising export categories include fruit and vegetables, processed food products, textiles, electrical equipment, construction materials, mineral fertilizers, copper products and polymers.

The concentration of a large share of the export reserve in Türkiye and Kazakhstan is also economically significant. Türkiye offers both a sizeable domestic consumer market and access to European and Mediterranean markets. Kazakhstan, due to its geographical proximity, shared transport networks and production linkages within Central Asia, remains a natural partner for cooperation with Uzbek enterprises.

In this sense, realizing the $2.7 billion export reserve requires a coordinated approach across industrial, logistics and trade policies.

Investment Relations Are Becoming More Institutionalized

Alongside trade, investment flows from OTS countries into Uzbekistan have also increased substantially.

Between 2017 and 2025, investment attracted from OTS countries into Uzbekistan exceeded $11.5 billion. In 2025 alone, investment amounted to $3.8 billion. Türkiye was Uzbekistan’s largest investor among OTS countries, with $2.4 billion. Investment was concentrated primarily in manufacturing, energy, agriculture, construction and logistics.

As of April 2026, Uzbekistan was home to more than 4,500 enterprises with capital participation from OTS countries.

The growing number of such enterprises points to a qualitative shift in economic relations. A trade transaction ends once a product crosses the border, whereas direct investment creates longer-term links between economies through capital, technology, employment, local suppliers and export channels.

The expansion of joint industrial projects within the OTS can therefore provide an additional foundation for further growth in mutual trade.

For example, components produced in one country may be used to manufacture finished goods in another and subsequently exported to a third market. In such a case, trade statistics reflect an underlying integrated production chain. Differences in the specialization of the Turkic economies create opportunities for precisely this type of cooperation.

The Turkic Investment Fund as a New Financial Mechanism

One of the most significant institutional developments in the OTS economic architecture has been the transition of the Turkic Investment Fund to practical operations.

In 2025, its authorized capital was increased from $500 million to $600 million. Uzbekistan’s share amounts to $100 million.

The Fund’s economic significance is not limited to the size of its own capital. Its broader potential lies in using these resources to mobilize financing from other international financial institutions.

On 17 June 2026, the Turkic Investment Fund and the Islamic Corporation for the Development of the Private Sector, part of the Islamic Development Bank Group, signed an agreement on an Islamic co-financing program of up to $50 million. The program is intended to finance small and medium-sized enterprises through local financial institutions in Azerbaijan, Kazakhstan, Kyrgyzstan, Türkiye and Uzbekistan.

Another practical model emerged on 1 July. The Turkic Investment Fund signed an agreement to provide up to $10 million in financing to KMF Bank in Kazakhstan, while the European Bank for Reconstruction and Development committed up to $50 million. The combined resources are intended to expand lending to micro, small and medium-sized enterprises.

These two examples point to an emerging trend. Rather than functioning solely as an institution that directly allocates its own resources, the Fund could develop into a platform for mobilizing international financial resources for projects across the OTS region.

Such an approach could help mobilize investment substantially exceeding the Fund’s own $600 million capital base. This mechanism is particularly relevant for industrial cooperation, transport, energy, digital infrastructure and small business projects.

From a Transport Corridor to an Integrated Logistics System

Transport costs and delivery times remain another major factor affecting trade within the OTS region.

Because Central Asian countries lack direct access to seaports, logistics costs have a significant impact on export competitiveness. In this context, the Trans-Caspian International Transport Route — the Middle Corridor, which runs across the Caspian Sea through Azerbaijan, Georgia and Türkiye toward European markets — is becoming an important infrastructure component of economic cooperation within the OTS.

For Uzbekistan, the importance of this route is increasing with the construction of the China–Kyrgyzstan–Uzbekistan railway. Connecting the new railway with the Caspian route could expand Uzbekistan’s participation in the East–West logistics chain linking China, Central Asia, the Caucasus and Europe.

A modern transport corridor, however, consists of more than roads and railways. Border procedures, permits, customs declarations, consignment notes and cargo tracking systems also affect the time and cost of transportation.

Digitalization has therefore become an important component of OTS transport policy.

The e-Permit electronic permit system is being implemented among the organization’s member states. At the 9th Meeting of OTS Ministers of Transport, held in Bishkek on 23 April 2026, a memorandum was also signed on introducing the e-CMR electronic international consignment note.

At the May summit in Turkistan, the President of Uzbekistan noted that the E-Permit system had been fully launched with OTS member states and proposed linking the Middle Corridor with the China–Kyrgyzstan–Uzbekistan railway, developing a simplified customs corridor, and digitalizing data exchange and cargo tracking processes.

If these mechanisms are integrated into a single system, the OTS region could develop a logistics environment that facilitates both the physical movement of goods and the digital flow of accompanying documents and data.

The economic effects can be measured in concrete terms — shorter border crossing times, lower administrative costs and greater predictability of delivery schedules for exporters.

From Trade to Technological Connectivity

In 2026, another new dimension of OTS economic cooperation became increasingly visible.

On 15 May, the informal summit in Turkistan on “Artificial Intelligence and Digital Development” placed particular emphasis on digital infrastructure, innovative technologies and the practical application of artificial intelligence.

Uzbekistan proposed developing the concept of a “Digital Turkic Corridor”, aimed at connecting data centers across the region through high-speed communication channels.

Additional initiatives included the establishment of a strategic cooperation network in artificial intelligence, the organization of a Technology Forum in Tashkent and broader technological cooperation among participating countries.

There is a clear connection between transport and digital integration. While the Middle Corridor facilitates the movement of goods, the Digital Turkic Corridor could accelerate the movement of data.

As a result, two parallel types of infrastructure may develop across the OTS region — physical and digital.

The first encompasses roads and railways, ports, logistics centers and customs infrastructure. The second includes data centers, telecommunications networks, cloud computing, artificial intelligence infrastructure and digital services.

Their integration could support the expansion of e-commerce, digital logistics, fintech, cross-border services and digital production management.

The Institutional Framework for Economic Integration Is Expanding

Another feature of the changes taking place within the OTS is the emergence of permanent mechanisms for economic cooperation.

While cooperation previously relied largely on summits of heads of state, intergovernmental meetings and bilateral agreements, dedicated mechanisms are now taking shape in finance, transport and the digital economy.

The Turkic Investment Fund is establishing a mechanism for financing investment projects. E-Permit and e-CMR are digitalizing transport documentation. The Digital Turkic Corridor initiative is intended to connect information infrastructure across participating countries.

The economic value of these institutions lies primarily in their ability to complement one another.

The effectiveness of integration will therefore depend not only on reducing trade barriers, but also on developing the broader infrastructure that supports trade.

New Economic Opportunities for Uzbekistan

Developments within the OTS open several avenues for expanding Uzbekistan’s economic cooperation.

The first is access to larger export markets. The estimated $2.7 billion in additional export potential represents a significant reserve relative to existing trade flows.

The second is industrial cooperation. Türkiye’s industrial and technological base, the resources of Kazakhstan and Azerbaijan, and Uzbekistan’s labor resources and expanding manufacturing sector provide conditions for developing complementary production chains.

The third is transport geography. Connecting the China–Kyrgyzstan–Uzbekistan railway with the Middle Corridor could expand Uzbekistan’s transit and logistics opportunities along the East–West axis.

The fourth is access to capital. Co-financing mechanisms involving the Turkic Investment Fund and international financial institutions could provide new sources of financing for the private sector.

The fifth is the digital economy. Integration of data centers, artificial intelligence, e-commerce and digital transport documentation could create conditions for faster growth in trade in services.

At the same time, these opportunities will not automatically translate into economic outcomes. Turning the $2.7 billion export potential into actual exports requires addressing product standards, certification, logistics costs, financing and market access at the level of specific product categories.

Likewise, the economic efficiency of transport corridors should be assessed not by their length or the number of participating countries, but by indicators such as cargo delivery times, transport costs per tonne and waiting times at border crossings.

In investment cooperation, the volume of capital attracted should be considered alongside localization levels, the participation of domestic companies in supply chains, job creation and export revenues.

Ahead of the Ankara Summit

As of September 2026, preparations are under way for the 13th OTS Summit in Ankara. On 8 September, OTS Secretary General Kubanychbek Omuraliev and Turkish Foreign Minister Hakan Fidan discussed the organizational and substantive aspects of the summit as well as its expected outcomes.

The discussions also covered another important document — the OTS Strategy for 2027–2031, which is expected to define the organization’s strategic framework and priority areas for the coming period.

In this context, the Ankara Summit may become an important milestone for the next stage of economic cooperation within the OTS.

The trend of recent years is increasingly clear. While the initial emphasis was largely on expanding trade volumes, economic relations are now becoming more closely linked to investment, transport infrastructure, financial institutions and digital technologies.

For Uzbekistan, the next task is to translate the existing $2.7 billion in additional export potential into actual trade, expand joint production chains with OTS countries, reduce transport costs and use new financial mechanisms to support private-sector projects.

Accordingly, the criteria for assessing economic integration within the OTS are also evolving. Trade turnover and investment volumes remain important indicators, but they are increasingly complemented by delivery times, logistics costs, industrial cooperation, joint projects, digital services and mobilized private capital.

It is this transition — from trade in goods toward an interconnected system of production, transport, finance and digital infrastructure — that increasingly defines the new economic substance of cooperation among the Turkic states.

Latofat Burieva

Center for Economic Research and Reforms

Business Climate Improved Across All Key Sectors of the Economy – CERR Survey
Business Climate Improved Across All Key Sectors of the Economy – CERR Survey

According to the survey results, entrepreneurs are increasingly reporting higher demand, employment growth, and an overall improvement in business conditions.

The Center for Economic Research and Reforms (CERR) presented the results of its business climate analysis based on monthly surveys of entrepreneurs across the country.

Based on the collected data, a composite Business Climate Index has been developed, reflecting both current business conditions and expectations for the next three months.

Business Climate Dynamics in Uzbekistan

As of February 2026, the composite Business Climate Index reached 65 points (on a scale from −100 to +100), which is 11 points higher than in the same period last year.

The improvement in the business climate was primarily driven by rising business expectations, which increased by 13 points to 81. Additional support came from improved assessments of current business conditions, which rose by 10 points to 51.

The survey indicates positive trends across key business activity indicators. The share of entrepreneurs assessing the current business situation as “good” increased to 44%, compared to 38% in February of the previous year.

The proportion of enterprises that increased their workforce rose to 19%, up from 12% a year earlier. Meanwhile, 34% of respondents reported an improvement in business conditions over the past three months, compared to 28% last year.

In addition, 39% of respondents reported increased demand for their products, up from 22% in the same period last year.

Sectoral Dynamics of the Business Climate Index

In a sectoral breakdown, improvements in the business climate were observed across all major sectors of the economy compared to the previous year.

The most significant improvement was recorded in agriculture, where the index increased by 29 points to reach 73. This growth was driven by both improved current conditions and a substantial rise in expectations.

The share of entrepreneurs assessing conditions as “good” rose to 56%, compared to 41% a year earlier. Meanwhile, 52% reported increased demand (35% previously), and 49% noted an improvement in the business environment over the past three months (32% previously).

In the services sector, the business climate index increased by 8 points to 61. While assessments of current conditions remained relatively stable, expectations improved.

Entrepreneurs maintain strong expectations regarding demand in the coming three months, with 72% reporting anticipated growth, close to last year’s level (71%). At the same time, employment has been gradually increasing, with the share of firms expanding their workforce rising to 16%, compared to 12% previously.

In the construction sector, the business climate index rose by 8 points to 69. Improvements were observed in both current assessments and expectations. Entrepreneurs are increasingly reporting higher employment and demand, reflecting stable sectoral dynamics.

The share of respondents reporting improved business conditions over the past three months increased to 34%, compared to 26% a year earlier. Meanwhile, 27% reported workforce expansion (15% previously), and 80% expect demand to increase in the next three months, up from 77% last year.

In industry, business climate growth was more moderate, increasing by 2 points to 67. At the same time, business expectations remain high, with continued growth in demand and gradual employment expansion.

Over the past three months, 32% of entrepreneurs reported increased demand, compared to 29% a year earlier. Workforce expansion was noted by 22% (13% previously), while 77% expect further demand growth in the next three months, also exceeding last year’s level.

Barriers to Business Activity

According to the survey, 61% of entrepreneurs reported no constraints in their operations, up from 57% in the previous month, indicating an overall improvement in the business environment.

Compared to the previous month, the share of respondents reporting difficulties related to access to credit, electricity supply, transport, and logistics has declined. At the same time, there has been a moderate increase in concerns related to access to land resources, utility costs, and tax rates.

CERR Sector for Competitiveness and Investment Activity Analysis

Tel: (78) 150 02 02 (441)

CERR Public Relations and Media Sector

Tel: (78) 150 02 02 (417)

Uzbekistan Opens a Balkan Gateway to Europe
Uzbekistan Opens a Balkan Gateway to Europe

The Center for Economic Research and Reforms (CERR) examines the prospects for expanding trade, economic and investment cooperation between Uzbekistan and Serbia.

As Uzbekistan broadens its economic engagement with Europe, new avenues for cooperation are emerging. Serbia is becoming one of these promising directions, with its strategic location offering Uzbek businesses additional opportunities to access markets across Central and Southeastern Europe.

For Serbia, closer cooperation with Uzbekistan provides access to Central Asia’s growing market as well as new manufacturing and investment opportunities. This complementarity creates considerable scope for taking bilateral economic relations well beyond their current level.

A New Stage in Economic Relations

Economic ties between Uzbekistan and Serbia have gained significant momentum in recent years. In April 2023, Serbia’s First Deputy Prime Minister and Minister of Foreign Affairs Ivica Dacic paid an official visit to Uzbekistan.

A major milestone came with the first official visit of Serbian President Aleksandar Vucic to Uzbekistan on October 28–31, 2025. Following talks in Tashkent, the two countries signed an Agreement on the Reciprocal Promotion and Protection of Investments and an Agreement on Economic Cooperation.

These agreements established a stronger institutional framework for investment projects and more systematic cooperation between businesses in the two countries.

In May 2026, during a visit by Serbian Foreign Minister Marko Duric, the two sides continued discussions on expanding trade and industrial cooperation. Mechanical engineering, pharmaceuticals, the chemical industry, agriculture and a number of other sectors were identified among the most promising areas.

The economic rationale for closer cooperation is closely linked to the geographical positions of the two countries and their ability to provide access to broader regional markets.

Serbia lies at the heart of the Balkans, connecting the markets of Central and Southeastern Europe. Uzbekistan, meanwhile, has the largest consumer market in Central Asia and a rapidly expanding industrial base.

This economic complementarity creates opportunities that extend well beyond bilateral trade. For Uzbek businesses, Serbia can serve as a gateway to European markets through the Balkans. For Serbian companies, Uzbekistan offers a platform for expanding their presence across Central Asia.

Trade Is Gaining Momentum

Trade between Uzbekistan and Serbia has expanded rapidly in recent years. Between 2016 and 2025, bilateral trade increased almost ninefold, from $1.4 million to $12 million.

In 2025, Uzbekistan exported $0.9 million worth of goods and services to Serbia, while imports from Serbia exceeded $11 million.

The composition of trade highlights the different nature of the two countries’ supplies.

Food products accounted for the largest share of Uzbekistan’s exports to Serbia at 47%, followed by manufactured goods at 23.8%, services at 20.8%, chemical products at 4.8%, crude materials excluding food at 2.4%, and mineral fuels and lubricants at 1%.

Serbian exports to Uzbekistan, by contrast, are predominantly industrial in nature. Machinery and transport equipment accounted for 50% of imports, followed by chemical products at 20.1% and manufactured goods at 16.8%. Food products represented 4.8%, miscellaneous manufactured articles 4.2%, services 2.6%, and crude materials excluding food 1.5%.

Together, machinery and transport equipment, chemical products and manufactured goods account for 87% of Serbian supplies to Uzbekistan. This predominantly industrial structure creates a solid foundation for developing deeper production cooperation between companies in the two countries.

In 2026, nine enterprises with Serbian capital were operating in Uzbekistan. The cumulative volume of foreign direct investment and loans attracted from Serbia between 2016 and 2025 amounted to $2.2 million.

The next stage of bilateral cooperation could therefore involve a transition toward more sophisticated forms of economic engagement, including contract manufacturing, localization and joint investment projects.

From Trade to Industrial Cooperation

The greatest potential for further cooperation lies in expanding production and investment links between companies in the two countries.

Particularly promising areas include light industry, pharmaceuticals, mechanical engineering, electrical engineering, the chemical industry and energy. Opportunities in these sectors include placing manufacturing orders with Uzbek enterprises, localizing production, producing components and implementing joint projects.

Infrastructure represents another promising area. Uzbekistan’s potential participation in railway projects in Serbia is currently being explored. Such cooperation could enable Uzbek companies to expand exports of engineering and construction services and gain experience in implementing projects in European markets.

Serbian companies, in turn, could broaden their participation in infrastructure and industrial projects in Uzbekistan.

Stronger production linkages between enterprises could also increase the involvement of local suppliers from both countries in international value chains.

The new institutional framework, together with investment initiatives and growing industrial cooperation, creates the conditions for bilateral economic relations to move toward a broader and more diversified model.

The Balkan direction could thus become an important route for expanding the presence of Uzbek businesses in Europe, while Uzbekistan could serve as a platform for Serbian companies seeking to establish a long-term presence in Central Asia.

As production ties deepen, companies from Uzbekistan and Serbia may also gain new opportunities to jointly enter third-country markets.

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

The Fergana Valley — A Space of Shared Values and Cultural Convergence
The Fergana Valley — A Space of Shared Values and Cultural Convergence

On October 15–16, 2025, the city of Fergana will host the inaugural session of the Fergana Peace Forum under the theme: “The Fergana Valley: Uniting Efforts for Peace and Progress.”

Organized by the Institute for Strategic and Regional Studies (ISRS) under the President of the Republic of Uzbekistan, in partnership with colleagues from Kyrgyzstan and Tajikistan, and supported by national and international organizations, this unique large-scale event will bring together leading experts, researchers, public figures, and representatives of international organizations. Their goal is to discuss the prospects for the development of one of Central Asia’s most densely populated and culturally rich regions — the Fergana Valley.

Experts from prominent think tanks across the CIS, Asia, Europe, and the Americas, alongside academics, business leaders, civil society representatives, and youth leaders from the region, will convene in one place. High-level delegates from international bodies such as the United Nations, the Shanghai Cooperation Organization (SCO), the Commonwealth of Independent States (CIS), the Conference on Interaction and Confidence-Building Measures in Asia (CICA), the European Union, and the Organization for Security and Co-operation in Europe (OSCE) are also expected to participate. Renowned peacebuilding organizations including the Berghof Foundation (Germany), the Martti Ahtisaari Peace Foundation (Finland), PeaceNexus (Switzerland), and the Stockholm International Peace Research Institute (SIPRI) will be among the invited guests.

More than 300 participants will attend the Forum, including around 150 from Central Asia and over 50 from the CIS, Asia, Europe, and the Americas.

Experts believe the Forum will reinforce the vision expressed by Uzbekistan’s President Shavkat Mirziyoyev at the 80th session of the UN General Assembly — the transformation of Central Asia into a space of peace, good neighborliness, and partnership.

         As President Mirziyoyev has noted, the region is entering the era of New Central Asia. The days of closed borders, unresolved disputes, and conflicts are becoming a thing of the past. Thanks to growing cohesion, stability, and an emerging shared identity, Central Asia is increasingly recognized as an independent and influential actor on the global stage.

         The choice of the Fergana Valley as the Forum’s venue is symbolic. This unique region is where the lifelines of Uzbekistan, Kyrgyzstan, and Tajikistan intersect. The established atmosphere of trust, dialogue, and cooperation between these countries exemplifies the good-neighborly policy championed by President Mirziyoyev.

Historical records mention the ancient Fergana state of Davan, especially the cities of Aksikent and Mingtepa, which were famed for their fertile lands, strong defenses, and prized horses. These are documented in Chinese chronicles from the late 2nd century BCE. By medieval times, the valley was one of the leading regions of Mawarannahr (Transoxiana). Archaeological remains from the Bronze Age, Early Iron Age, and medieval periods testify to the valley’s role as a cradle of multiple civilizations.

The Han dynasty historian Sima Qian wrote: “The people live on the land, tilling fields and growing rice and wheat. They live in houses and fortified cities; there are about seventy or more cities of various sizes in this region.” Medieval Arab geographers described Fergana as a land dotted with many cities and villages, surrounded by steppes and mountains, where both urban life and pastoralism thrived.

Cities such as Kokand, Khujand, Osh, and Margilan were centuries-old centers of craftsmanship, trade, and learning. Caravans of the Great Silk Road passed through here; some of the earliest madrasahs were established in the valley. The region became a crossroads for ideas from Persia, China, India, and the Arab world.

         Situated at the intersection of Hellenistic, Bactrian, Parthian, Chinese, and Islamic civilizations, the Fergana Valley is a unique hub of cultural exchange — a legacy evident today in its languages, traditions, cuisine, and architecture.

Experts agree that the peoples of the Fergana Valley form a unified historical and civilizational community — a reality forged over centuries of political, economic, and humanitarian interaction.

The Fergana Valley is living proof that the coexistence of diverse cultures is not only possible but also fruitful. Here, traditions are preserved while new forms of cooperation continuously emerge, from joint celebrations to cross-border initiatives. The region has effectively become a laboratory for cultural convergence, where the ideals of inter-civilizational dialogue are actively realized.

With its rich heritage, dense population, and vast economic potential, the Fergana Valley requires special attention to sustainable development, environmental security, and cross-border cooperation.

Coordinated action and open dialogue are essential here — to foster peace, mutual trust, and progress. The Forum’s agenda addresses a wide range of issues:

  • Strengthening regional dialogue and trust;
  • Jointly ensuring stability and sustainable development;
  • Unlocking the valley’s economic and investment potential;
  • Promoting cultural and humanitarian ties;
  • Increasing the involvement of civil society, youth, and the private sector in transformation processes.

Special focus will be placed on turning challenges into opportunities and establishing regional cooperation as a firm foundation for peace and prosperity.

The maturity of the Fergana Valley is reflected in its shared historical and cultural foundation, which allows the countries in the region to build dialogue on existing trust rather than starting from zero.

Today, the Fergana Valley is more than a historical symbol — it is a strategic region for sustainable development and economic cooperation. Joint transport and energy projects, cross-border markets, and digital initiatives are driving dynamic growth.

The Fergana Peace Forum is poised to become not just a discussion platform but an ongoing mechanism for generating ideas, uniting efforts, and advancing projects for the benefit of the entire region.

Organizers highlight that the example of the Fergana Valley could serve as a model for post-conflict regions worldwide, where political stabilization must be accompanied by deep cultural and humanitarian work. Real mechanisms of cooperation are being forged here, grounded in a shared historical and cultural legacy that supports peace and development.

Among the anticipated outcomes of the Forum is the adoption of a Communiqué calling for the establishment of a unified space of friendship, good neighborliness, and sustainable development in the Fergana Valley.

Preparatory discussions have already confirmed that the Fergana Valley is a place where the past inspires, the present unites, and the future is built on values of peace and cooperation.

In a world where conflict has become commonplace and the international community searches for new models of sustainable coexistence, the Fergana Peace Forum offers one clear answer: peace begins with trust, and trust begins with open dialogue.

Fergana is not just a point on the map — it is a space where respect becomes the language of communication, friendship forms the foundation of neighborliness, and cultural diversity is a source of unity.

 

Dr. Alisher Sabirov, Doctor of Historical Sciences,
Professor, Nizami National Pedagogical University, Uzbekistan;
Adjunct Associate Professor, Shaanxi Normal University, People’s Republic of China

Infographics: Trade, Economic and Investment Cooperation between Uzbekistan and the USA
Infographics: Trade, Economic and Investment Cooperation between Uzbekistan and the USA

At the invitation of the President of the United States, Donald Trump, the President of Uzbekistan, Shavkat Mirziyoyev, will pay a working visit to Washington, D.C. on February 17–19 of this year to participate in the inaugural meeting of the Peace Council. The Center for Economic Research and Reforms (CERR) has prepared an infographic presenting key indicators of trade, economic and investment cooperation between Uzbekistan and the United States over the past 9 years.

History of visits

The President of the Republic of Uzbekistan has visited the United States several times on working visits aimed at expanding bilateral Uzbek-American cooperation, as well as participating in events organized by the United Nations. The first official visit of the Head of our State to the United States took place on May 15–17, 2018 at the invitation of the U.S. President. During the visit, negotiations were held at the White House, the U.S. Congress and the Pentagon, and agreements were signed that marked the beginning of a new stage in the development of Uzbek-American relations.

In subsequent years, dialogue between the two countries developed through bilateral meetings and regional initiatives, including the C5+1 platform.

On September 20–24, 2025, a historic visit of the President of our country to New York took place to participate in events of the юбилейной 80th session of the UN General Assembly. The central event of the visit was the meeting between the Head of our State and U.S. President Donald Trump. The leaders of the two countries agreed to further strengthen Uzbek-American strategic partnership relations and expand practical cooperation.

During his stay in the US, the President of Uzbekistan also held a roundtable with representatives of the U.S. business community, as well as negotiations with executives of a number of leading multinational companies, corporations, investment funds and financial institutions, and took part in a ceremony for the exchange of signed bilateral trade contracts and investment agreements, including in the fields of critical minerals, civil aviation, chemical industry, energy and other priority sectors.

In order to create favorable conditions for the further development of bilateral interstate relations in trade, economic and tourism spheres, by Presidential Decree dated November 3, 2025, a visa-free regime for U.S. citizens entering Uzbekistan was introduced effective January 1, 2026.

Mutual trade indicators

The two countries operate under a Most Favored Nation trade regime.

Over the period 2017–2025, trade turnover between Uzbekistan and the United States increased 4.7-fold, from $215 mln to $1 bn. Exports grew 9.1-fold, from $32.1 mln to $291.7 mln, while imports increased 3.9-fold, from $182.9 mln to $712.3 mln.

The share of the United States in Uzbekistan’s foreign trade over this period rose as follows: in total trade turnover from 0.8% to 1.2%, in exports from 0.3% to 0.9%, and in imports from 1.3% to 1.5%.

In the structure of exports to the United States, the main share is accounted for by services — 81% (programming, financial, information and transport services), as well as petroleum products — 8.6% (aviation kerosene and others). These are followed by machinery and equipment — 3.7%; food products — 3.5% (dried fruits and vegetables, spices, rice and others); industrial goods — 3.3% (aluminum bars and profiles, rhenium metal and others); miscellaneous manufactured articles — 0.9%; chemicals — 0.4%; beverages and tobacco — 0.2%; and non-food raw materials — 0.1%.

In imports from the United States, machinery and equipment dominate — 59% (aircraft, automobiles and their parts, computer units, engines, pumps, machine tools and industrial installations). A significant share is also accounted for by services — 20.5% (financial, licensing, leasing and transport services). These are followed by chemicals — 9.7% (pharmaceuticals, binding agents and cosmetic substances); industrial goods — 3.8% (plastic and ferrous metal products and others); food products — 3.2% (poultry meat and by-products); miscellaneous manufactured articles — 2.2% (devices, instruments, paper products); non-food raw materials — 1.1% (cellulose and others); as well as beverages and tobacco — 0.5%.

Investment cooperation

As of February 1, 2026, there are 346 enterprises with U.S. capital operating in Uzbekistan, which accounts for about 2% of the total number of enterprises with foreign investment. Of these, 146 are joint ventures and 200 are foreign companies with U.S. capital participation.

The volume of foreign direct investment and loans from the United States over the past nine years has increased nearly 64-fold — from $8.6 mln in 2017 to $383.2 mln in 2025.

Overall, in 2017–2025 the cumulative volume of attracted U.S. FDI and loans into Uzbekistan’s economy exceeded $2.9 bn.

Investments were directed primarily into manufacturing industries (metallurgy, production of motor vehicles, beverages and textile products), mining industry, construction, services (real estate operations, education), as well as agriculture.

 

CERR Public relations and media sector

The Termez Dialogue: From Connectivity to Shared Climate Resilience  Dinara Ravilevna Ziganshina, SIC ICWC
The Termez Dialogue: From Connectivity to Shared Climate Resilience Dinara Ravilevna Ziganshina, SIC ICWC

Central and South Asia are increasingly facing the same reality: climate risks are no longer a distant forecast. Droughts, water scarcity, heatwaves, land degradation, dust storms, floods, and pressure on water, food and energy security are already affecting economies, public health, infrastructure, and the resilience of entire regions.

This is why the second meeting of the Termez Dialogue on Connectivity between Central and South Asia is of particular significance. The second meeting is organized by the Institute for Strategic and Regional Studies under the President of the Republic of Uzbekistan and the Ministry of Foreign Affairs of the Republic of Uzbekistan, in partnership with the Conference on Interaction and Confidence Building Measures in Asia. This format reflects Uzbekistan’s consistent foreign policy direction aimed at strengthening trust, open dialogue, and sustainable connectivity between the regions.

While the first meeting introduced the Termez Dialogue as a platform for bringing the two regions closer together, the new agenda takes the next step: moving from a discussion of connectivity to practical mechanisms for joint climate adaptation and stronger environmental resilience. Its task is to move from conceptual discussions to concrete priorities and practical mechanisms, with joint adaptation to climate change identified among the key areas of cooperation.

Climate as a New Test of Connectivity

Climate change shows how closely water, food, energy, transport, health, and ecosystems are linked. When water availability declines, the impact is not limited to agriculture. It also affects hydropower, food prices, migration, employment, soil conditions, and even regional stability. As extreme heat becomes more frequent, cities, transport systems, healthcare systems, and labour productivity all come under pressure.

The Synthesis Report of the Intergovernmental Panel on Climate Change (IPCC), prepared as part of the Sixth Assessment Cycle, emphasizes that adaptation is already taking place in all regions of the world, but the gap between what is needed and what is being done remains and will continue to grow at the current pace of action. The IPCC also underlines that the most effective responses are not isolated measures, but integrated solutions that connect water management, agriculture, infrastructure, social protection, ecosystems, and population needs.

This is particularly important for Central and South Asia. Both regions depend on mountain watersheds, irrigated agriculture, the resilience of rural areas, as well as stable and secure energy supply and the cross-border movement of goods and people. Climate adaptation, therefore, cannot remain solely a matter of national policy. It must become part of interregional cooperation.

Uzbekistan: The Data Confirm the Urgency of Action

Uzbekistan’s Fourth National Communication under the UNFCCC identifies the country as among the most vulnerable to the impacts of climate change in Central Asia and Eurasia. This vulnerability is linked to accelerated temperature rise, growing water scarcity, glacier retreat, and the increasing frequency of extreme hydrometeorological events.

Water remains an especially sensitive factor. Uzbekistan’s water resources belong to the Aral Sea basin, while the main surface runoff of the Amu Darya and Syr Darya rivers is formed outside the country. This means that Uzbekistan’s climate resilience is directly linked to the quality of regional and interregional cooperation. Water, data, forecasts, infrastructure, and trust become part of one security system.

Cities as a New Frontline of Climate Adaptation

The climate agenda is also becoming increasingly connected with the future of cities. Speaking at the Leaders’ Summit of the 13th session of the World Urban Forum in Baku, President of Uzbekistan Shavkat Mirziyoyev noted that, over the next 15 years, the country’s population is expected to grow from 38 to 50 million people, while the urbanization rate is projected to rise from 51% to 65%.

For Uzbekistan, this is not only a demographic trend but also a climate challenge. Urban growth increases pressure on water, energy, transport, housing, air quality, and green spaces. Therefore, plans for sustainable urbanization — including the development of “green”, “smart”, “safe”, and “15-minute” cities, the expansion of urban greenery, and the introduction of green city principles — are directly linked to climate adaptation.

In this context, the Termez Dialogue can become a platform for exchanging experience not only on water and agriculture, but also on climate-resilient urban development: from reducing the urban heat island effect and saving water to clean transport, digital air quality monitoring, and designing new districts with climate risks in mind.

A New Emphasis: Adaptation as a Practical Development Agenda

The Termez Dialogue can offer an important new approach: to view adaptation not as a response to crises, but as an investment in sustainable development. This changes the very language of climate policy.

Adaptation is not only about building protective infrastructure or responding to emergencies. It is about more accurate forecasting of droughts and floods and data exchange between countries. It is about water-saving agriculture, the modernization of canals, pumping stations, and urban infrastructure. It is about restoring degraded lands and ecosystems. It is about preparing farmers, engineers, hydrologists, energy specialists, and local authorities to operate under new climate conditions.

This is why the Concept of the second meeting of the Termez Dialogue emphasizes the consolidation of efforts by states and partners to develop coordinated and mutually reinforcing approaches to climate adaptation and to reducing the socio-economic consequences of climate and environmental risks.

Why Central and South Asia Must Adapt Together

Climate risks do not recognize borders. Drought in one part of the region can affect food markets in another. Glacier retreat changes river regimes far beyond mountain areas. Dust storms, heatwaves, and extreme rainfall can affect several countries at once. Joint adaptation is therefore a practical necessity.

The IPCC stresses that around 3.3 to 3.6 billion people worldwide live in conditions of high vulnerability to climate change. It also emphasizes that the vulnerability of people and ecosystems is interconnected: the degradation of ecosystems increases risks for people, while social vulnerability reduces societies’ ability to adapt.

For Central and South Asia, this means that resilience must be built across several dimensions at once: water, food, energy, environment, and society. Food and environmental security cannot be strengthened without water. Infrastructure cannot be modernized without climate forecasts. Risks cannot be reduced without trust and information exchange.

Termez as a Place for Climate Partnership

The choice of Termez has both historical and practical significance. Termez is Uzbekistan’s southern gateway and a natural bridge between Central and South Asia. In today’s conditions, this role acquires new meaning: the city is becoming a symbol not only of transport and trade connectivity, but also of climate partnership.

Afghanistan has a particularly important role. The idea of the Termez Dialogue implies the need for the gradual integration of Afghanistan into regional economic, transport, humanitarian, and climate processes with the support of the international community. In the climate agenda, this is especially meaningful: without Afghanistan’s participation, it is impossible to build genuinely sustainable connectivity between Central and South Asia.

What the Termez Dialogue Can Deliver

The Termez Dialogue can become a platform for launching several practical areas of cooperation.

First, the exchange of climate and hydrological data, including forecasts of droughts, floods, glacier changes, and dust storms.

Second, the joint promotion of early warning systems, so that countries can prepare in advance for extreme weather events.

Third, the development of climate-resilient agriculture: water-saving technologies, drought-resistant crops, digital services for farmers, and the restoration of pastures and soils.

Fourth, ecosystem-based adaptation — the restoration of forests, wetlands, mountain and desert ecosystems that themselves serve as natural protection against climate risks.

Fifth, climate-resilient infrastructure — from transport corridors and logistics centres to energy facilities and rapidly growing cities.

From a Common Challenge to Shared Resilience

The main value of the Termez Dialogue is that it allows the climate agenda to be discussed not in the language of alarm, but in the language of joint solutions. Central and South Asia can not only exchange risk assessments, but also create common adaptation mechanisms: from scientific networks and pilot projects to investment programmes and regional standards for resilient infrastructure.

The new climate agenda of the Termez Dialogue is part of the larger idea of connectivity. Genuine connectivity is not only about roads, trade, and energy corridors. It is also about the capacity of countries to jointly protect ecosystems, human health, and the future of coming generations. The Termez Dialogue can become the space where Central and South Asia move from recognizing their shared vulnerability to building shared resilience.

 

A New Chapter in Uzbekistan–EU Relations: Why the EPCA Matters
A New Chapter in Uzbekistan–EU Relations: Why the EPCA Matters

On 24 October 2025, Uzbekistan and the European Union signed the Enhanced Partnership and Cooperation Agreement (EPCA) — a comprehensive framework that culminates negotiations launched in February 2019 and initialled in July 2022. More than a ceremonial milestone, the EPCA codifies a strategic upgrade in our relationship with the EU. It is broad in scope — nine titles, 356 articles, and 14 annexes — and practical in ambition: to align our cooperation with the realities of a rapidly changing world economy while reinforcing the rule-of-law foundations of sustainable development at home.

The agreement’s timing is revealing. Uzbekistan’s recent balanced, multi-vector foreign policy and people-centred reforms — strengthening the rule of law, expanding public administration openness, and advancing market reforms — have laid the necessary groundwork. These steps in human rights and governance have increased international confidence, enabling a rules-based partnership with Europe. The EPCA is both a vote of confidence in Uzbekistan’s reform trajectory and a tangible roadmap to deliver measurable outcomes.

Economically, the EPCA offers a clear pathway for integration and growth. It promotes approximation to EU norms on technical regulations, product safety, and sanitary and phytosanitary measures. The agreement is designed to reduce non-tariff barriers, simplify border procedures, and make our exporters more competitive in the EU market. It encourages joint ventures and industrial clustering, extends agro-processing and manufacturing value chains, and supports energy efficiency and industrial modernisation. In short: more trade, more investment, and more quality jobs at home.

Human capital is an equally central pillar. The EPCA expands cooperation across education, science, skills development, and public health. It encourages joint university programmes, faculty and student exchanges, and research grants — mechanisms that accelerate knowledge transfer and help align our skills base with the demands of a digital and green economy. The spillovers are immediate and tangible: better public services, higher productivity, and new career pathways for our young people.

The rule-of-law dimension is another strategic gain. Deeper cooperation on judicial reform, anti-corruption, data protection, and cybersecurity increases predictability for investors and protections for citizens. The agreement’s chapter on foreign and security policy expands dialogue on conflict prevention, crisis management, non-proliferation, and export controls. This cooperation supports regional stability, which is essential for long-term growth.

Connectivity is the backbone that makes these ambitions feasible. Through synergies with the EU’s Global Gateway initiative and the Trans-Caspian Transport Corridor, the EPCA supports logistics hubs, border modernisation, and greener infrastructure. Better connectivity means lower trade costs, faster delivery times, and diversified export routes — practical levers for competitiveness. It also enables cooperation on water management, climate adaptation, and resilient energy systems — strategic priorities for a land-linked Central Asian economy.

Critically, the EPCA opens structured avenues for collaboration on critical raw materials needed for the green and digital transitions. This builds on the EU-Uzbekistan memorandum of understanding signed in 2024. It creates opportunities to upgrade domestic standards, attract responsible investment, and join higher segments of global value chains, while maintaining environmental and social safeguards.

Beyond the text, the joint statement issued at the signing underscores a shared commitment to the UN Charter and to the principles of independence, sovereignty, and territorial integrity — principles that guide our positions in international fora. It also welcomes the outcomes of the EU–Central Asia Summit, including plans for a Central Asia–EU Economic Forum and a Trans-Caspian Connectivity Investors Forum in Tashkent in 2025. In short, the EPCA is embedded in a wider, forward-looking regional agenda.

In practical terms, success requires implementation of three clear priorities: coordinated institution building, enhanced business support, and transparent, data-driven tracking. These will ensure commitments translate to outcomes.

First, institutional coordination. Translating commitments into outcomes requires a whole-of-government mechanism with clear mandates, timelines, and dashboards. A national EPCA coordination council, supported by technical working groups, should steer approximation to EU standards, monitor progress, and troubleshoot bottlenecks.

Second, business enablement. Firms need guidance to navigate new standards and opportunities. An 'EU Helpdesk' for exporters and investors would offer practical advice on certification, rules of origin, and compliance. This would turn legal text into business practice. Expanding the capacity of testing, inspection, and certification bodies will further reduce transaction costs and speed market entry.

Third, open, data-driven delivery. Customs and trade facilitation should be fully digitised through single-window systems and interoperable data exchange. Regular public reporting on milestones — such as education partnerships, financed projects, and adopted standards — will sustain credibility and invite feedback from business and civil society.

The EPCA also aligns with Uzbekistan’s WTO accession path by encouraging market-based reforms and transparent, rules-based trade. As reforms deepen, our economy will see more diversified exports, stronger investor protections, and a more competitive domestic market. These outcomes raise household incomes and expand opportunity.

This agreement is ambitious by design. Ambition alone is empty; execution alone is stagnant. The EPCA combines both — setting a high bar and supplying the means to reach it. By acting decisively, we turn this framework into a catalyst for inclusive growth, institutional maturity, and global credibility.

Ultimately, the EPCA is more than a diplomatic success; it is the engine for Uzbekistan’s reform agenda. By linking citizen welfare, business competitiveness, and international engagement, the EPCA puts us on a path to fundamental transformation. The critical task ahead is to deliver on this promise and make the Uzbekistan-EU partnership impactful and enduring.

By Eldor Tulyakov,

Executive Director, Development Strategy Centre, Uzbekistan

Uzbekistan–2030: Why the National Development Strategy Is Being Updated
Uzbekistan–2030: Why the National Development Strategy Is Being Updated

Uzbekistan’s 2030 Strategy is the country’s principal framework for medium- and long-term development. It provides strategic direction for public policy, institutional reform, and socio-economic transformation, while embedding principles of continuity, predictability, and long-term planning at the core of state governance. Since its adoption, the strategy has served as a foundational reference point for the reform agenda, shaping what is often referred to as “New Uzbekistan.”

Over recent years, Uzbekistan has made tangible progress across a wide range of areas, including economic modernisation, public administration reform, judicial reform, the expansion of civic space, and the protection of human rights. These reforms have produced measurable results and have contributed to greater openness and institutional capacity. At the same time, the pace of change—both domestically and globally—has continued to accelerate.

Societal expectations are evolving, economic conditions are becoming more complex, technological change is reshaping governance models, and global geopolitical and economic dynamics are introducing new risks and opportunities. Against this backdrop, updating the Uzbekistan–2030 Strategy is a logical and necessary step to ensure that policy planning remains relevant, responsive, and effective.

At the heart of the revised strategy lies a fundamental principle articulated by the President of Uzbekistan: the state must serve the people, not the other way around. In its updated form, the strategy seeks to translate this principle into practical governance outcomes by reinforcing a development model that is results-oriented, accountable, and centred on human well-being.

Every policy decision and reform priority is assessed through the lens of its impact on citizens’ quality of life, social inclusion, and long-term prosperity. This marks a shift away from abstract targets toward a more outcome-driven approach to public policy.

A key element of the strategy’s refinement is a comprehensive review of progress achieved to date. This includes an honest assessment of remaining challenges and structural bottlenecks, as well as recalibrating performance indicators to enable more precise measurement and evaluation. Each strategic objective is linked to clearly designated responsible institutions, while required financial resources are explicitly identified. This strengthens institutional accountability and moves the strategy from a broad vision to an operational roadmap.

Another defining feature of the updated Uzbekistan–2030 Strategy is its emphasis on clarity and relevance for ordinary citizens. The strategy is being shaped so that people can readily understand how national reforms affect their daily lives—how they improve access to services, create economic opportunities, and enhance prospects for future generations. In this sense, the strategy is intended not as a set of slogans, but as a framework for tangible, lived improvements.

The revised strategy also reflects the need for adaptability. Performance benchmarks are being updated to align with new economic realities, social priorities, technological innovation, and international developments. This ensures that public policy remains flexible and able to respond to change, rather than being constrained by static assumptions.

Digitalisation plays a central role in this process. The monitoring and evaluation of strategy implementation are being fully digitised, enabling greater transparency, evidence-based decision-making, and enhanced public oversight. This approach strengthens trust in public institutions and supports more informed policy adjustments.

Equally important is policy coherence. All sectoral, regional, and thematic development plans are being aligned with the Uzbekistan–2030 Strategy to ensure consistency across government actions. This integrated approach reduces fragmentation and enhances the overall effectiveness of state policy.

Public participation is another core principle. The updated strategy is being developed through broad public consultation, incorporating input from citizens, civil society organisations, experts, and the wider public. This reflects the understanding that reforms are most sustainable and credible when they are shaped with society, rather than imposed upon it.

In conclusion, the ongoing refinement of the Uzbekistan–2030 Strategy represents a structured, transparent, and responsible effort to deepen reforms and adapt them to contemporary realities. Above all, it reaffirms a clear priority: national development is not an end in itself, but a means to improve people's lives and well-being. In this sense, Uzbekistan–2030 is being shaped as a genuinely people-centred roadmap for inclusive and sustainable progress.

 

Eldor Tulyakov,

Executive Director, Development Strategy Centre

UN Secretary-General to visit Uzbekistan
UN Secretary-General to visit Uzbekistan

At the invitation of President of the Republic of Uzbekistan Shavkat Mirziyoyev, United Nations Secretary-General António Guterres will pay an official visit to our country from June 30 to July 1.

The program of the high-ranking guest's stay in Tashkent envisages talks at the highest level.

The agenda includes issues of further expansion and strengthening of Uzbekistan's multifaceted cooperation with the UN and its institutions, as well as topical aspects of global policy and regional interaction. Special attention will be paid to supporting measures to achieve the Sustainable Development Goals in our country.

During the visit, the UN Secretary-General will also visit a number of industrial and social sites, hold bilateral meetings and events.

Translated with DeepL.com (free version)

SCO AND WATER DIPLOMACY: IN PURSUIT OF COMMON INTERESTS
SCO AND WATER DIPLOMACY: IN PURSUIT OF COMMON INTERESTS

Transforming water from an object of competition into a factor of cooperation is a vital condition for regional stability.

 

Water is a precious resource and a source of life. It is not merely a natural resource but also a strategic factor that determines a country's food and energy security, economic development, environmental stability, and the well-being of its people.

Against this backdrop, there is a growing need for political dialogue and practical cooperation aimed at the rational, equitable, and mutually beneficial use of transboundary rivers and shared water resources. In other words, water diplomacy is needed to turn water into a tool of cooperation that brings states together rather than a source of conflict.

The founding documents of the Shanghai Cooperation Organization list the rational use of natural resources, including water, environmental protection, and the implementation of joint ecological programs as main areas of cooperation. Therefore, the issue of water is not a topic that was later added to the SCO agenda, but one of the organization's initial priorities.

In recent years, the political and legal foundations of this area have been further strengthened. The SCO's Dushanbe and Samarkand Declarations identified access to safe drinking water and the integrated, rational management of water resources as important conditions for sustainable development.

At the seventh meeting of the heads of ministries and agencies of SCO member states responsible for environmental protection, held in Bishkek on April 3, 2026, issues of climate change adaptation, glacier preservation, and water resource management were discussed. This indicates that the topic of water is taking on an increasingly important role in the organization's practical agenda.

At the same time, representatives of the SCO member states are seeking practical solutions to water-related issues through meetings, consultations, and negotiations in various formats. On August 7, 2026, the 94th meeting of the Interstate Commission for Water Coordination (ICWC) was held in the city of Turkestan, Republic of Kazakhstan.

The water management ministers and officials from Kazakhstan, Tajikistan, Turkmenistan, and Uzbekistan reviewed proposals for water limits and operating regimes for reservoirs in the Syr Darya and Amu Darya basins for the 2026 growing season, as well as a plan to introduce an automated water accounting system in the Syr Darya basin. The development of the document was approved, and special working group is expected to be established by September of this year.

Furthermore, the parties discussed the implementation of the $20 million Regional Cooperation for Improving the Efficiency of Water Resources Use in Central Asian Countries (CAWEC) grant project, in partnership with the World Bank, as well as the execution of tasks stemming from the decisions of the Council of Heads of the Founding States of the International Fund for Saving the Aral Sea.

With the support of the German Agency for International Cooperation (GIZ), measures are being taken to implement a pilot project to automate the water resources monitoring and accounting system at transboundary water facilities between Kazakhstan and Uzbekistan.

From August 10-12, 2026, a three-day regional training was held in Tashkent on the topic "Introduction of Water-Saving Irrigation Technologies and Digital Solutions in the Water Management Sector of Central Asia under Climate Change."

The training was organized at the initiative of the Ministry of Water Resources of the Republic of Uzbekistan, within the framework of the National Water Resources Management Project in Uzbekistan and the Blue Peace Central Asia (BPCA) project, with the participation of the "Suvchilar maktabi" (School of Water Professionals).

Water management specialists from Kazakhstan, the Kyrgyz Republic, Tajikistan, Turkmenistan, and Uzbekistan participated in the event.

The primary objective of the event was to enhance the professional capacity of water management specialists from Central Asian countries, expand the mutual exchange of experience, and strengthen practical cooperation in the efficient use of water resources, the introduction of modern irrigation technologies, and the digitalization of the sector, as well as to familiarize them with the advanced solutions being implemented in Uzbekistan.

It is important to emphasize that Uzbekistan views water diplomacy not only as an instrument of foreign policy but also as a logical continuation of the large-scale reforms being implemented domestically. Indeed, to promote the idea of efficient water use in regional dialogue, each state must first reduce water waste within its own territory and establish a modern management system.

In his Address to the Oliy Majlis and the people of Uzbekistan, President Shavkat Mirziyoyev noted that water scarcity is becoming an increasingly urgent global issue; for this reason, the rational use of water was elevated to the level of state policy from the very first days of the reforms.

The results achieved in the sector in recent years are reflected in the figures . In 2025, construction and reconstruction work was carried out at 258 irrigation and melioration facilities, and 723 kilometers of canals were lined with concrete. Additionally, 158 kilometers of irrigation and 303 kilometers of collector-drainage networks were built or reconstructed. As a result, the water supply for 364,000 hectares of land was improved, and the loss of more than 500 million cubic meters of water was prevented.

In 2026, a total of 2 trillion 199 billion soums were allocated from the state budget for construction and reconstruction work under 308 irrigation and melioration projects.

As of August 1 of the current year, construction work worth 1.3 trillion soums has been completed, which constitutes 59% of the established annual plan. Specifically, 637 kilometers of canals were lined with concrete and reconstructed. Furthermore, 52 kilometers of irrigation networks—flumes and pipes—and 27 hydraulic structures were built and reconstructed. To increase the energy efficiency of water management facilities and ensure uninterrupted water supply, pumping stations with a capacity of 13 m3/sec, 31 irrigation wells, 33 kilometers of pressure pipelines for pumping stations, and 268 kilometers of collector-drainage networks were built and reconstructed.

Significant progress is also being made in the introduction of water-saving technologies. By the end of 2025, the coverage of such technologies reached 2.6 million hectares, or 61% of irrigated areas. Of this, drip irrigation technology was introduced on 664,000 hectares. Thanks to these technologies, 3 billion cubic meters of water were saved. By the end of 2026, the goal is to increase the coverage of water-saving technologies to 3.1 million hectares and save 5 billion cubic meters of water. To date, water-saving technologies have been implemented on a total of 638,000 hectares across the republic.

These figures are significant not only for the national economy but also for the regional water balance. Every cubic meter of water saved in one country reduces the pressure on the entire basin. In this sense, lining irrigation canals with concrete and implementing water-saving technologies are not only national-level initiatives but also diplomatic contributions that strengthen regional trust.

To manage water effectively, it must be accurately measured. Where there is no accounting, it is difficult to assess savings, identify losses, and ensure fair distribution.

From this perspective, the digitalization efforts underway in Uzbekistan's water management sector not only increase the efficiency of domestic management but also create a technological foundation for the reliable exchange of transboundary water data in the future.

In 2025, the Center for Digitalization and Monitoring of Water Management was established, and a modern Situational Center was launched to consolidate industry data at a single point. Ten information systems were introduced. The "State Water Cadastre" and "Melioration" information systems were enhanced with the capability to analyze data, generate forecasts, and develop recommendations using artificial intelligence.

Forty-four sensors were installed in reservoirs, enabling remote monitoring of water levels and volumes. A design organization is conducting nationwide studies for the installation of 272 devices to measure water intake across the state border in real time, as well as for the installation of specialized equipment at 1,895 points for the online management and monitoring of inter-district water resources.

The significance of such projects goes beyond technical convenience. Reliable real-time data increases transparency in water distribution, reduces the human factor, and prevents contentious situations.

In the future, it may be possible to coordinate the national information systems of the SCO member states. This does not mean transferring all data to a single center. On the contrary, it envisions the formation of a mechanism for exchanging necessary hydrological indicators in an agreed-upon format, while respecting the sovereignty and national legislation of each state.

The water-energy-food nexus is a prerequisite for sustainable development. Within the framework of the SCO, it is advisable to form a permanent mechanism that integrates cooperation between water, energy, and agriculture agencies. Such a mechanism would enable the joint analysis of seasonal reservoir operation, electricity exchange, irrigation needs, and ecological flows.

The SCO region has accumulated extensive experience in using drip and sprinkler irrigation, canal lining, closed pipeline networks, smart water meters, energy-efficient pumps, and forecasting systems based on artificial intelligence.

By consolidating this experience, it is possible to implement model projects adapted to various climatic conditions. For example, within the SCO, it would be beneficial to establish pilot zones to demonstrate water-saving technologies, train specialists and farmers, and evaluate the results based on a unified methodology.

Sound decisions on water issues must be based on scientific research. Therefore, it is important to implement joint scientific programs among the research institutes, universities, and water management organizations of the SCO countries.

When managing water resources, considering only today's needs is insufficient. The impact of every decision on future generations, natural ecosystems, and the interests of neighboring states must also be thoroughly assessed.

Today, it is not enough to view water diplomacy solely as a means of preventing conflict. It must also stimulate economic development, attract investment, accelerate the exchange of technologies, and strengthen food and energy security.

The SCO is a major regional structure capable of uniting these opportunities. Cooperation within the Organization must transition from negotiations over water distribution to the stage of creating common economic benefits and ensuring sustainable development through water.

Indeed, water does not recognize state borders. Its flow interconnects the destinies, well-being, and futures of peoples.

The rational use of water is economic development, its just management is good neighborliness, and conserving every drop is our shared responsibility for the future.

 

Zokir Ishpulatov,

First Deputy Minister of Water Management of the

Republic of Uzbekistan

INFORMATION NOTE ON COOPERATION WITH SERBIA
INFORMATION NOTE ON COOPERATION WITH SERBIA

On 19 February of this year, a meeting was held between J. Kuchkarov, Deputy Prime Minister and Minister of Economy and Finance of the Republic of Uzbekistan, and A. Mesarović, Deputy Prime Minister and Minister of Economy of the Republic of Serbia. During the talks, the parties discussed the current state of and prospects for bilateral trade, economic and investment cooperation.

At the beginning of the meeting, the Deputy Prime Minister of Serbia conveyed sincere greetings and best wishes from President of Serbia A. Vučić to President of the Republic of Uzbekistan Sh. Mirziyoyev. She also expressed gratitude for Uzbekistan’s principled position in support of Serbia’s territorial integrity.

The Serbian side noted that, in recent years, Serbia has become one of Europe’s leading countries in attracting investment. It was emphasized that new technologies, robotics, the automotive industry and high-tech manufacturing are developing rapidly.

The Uzbek side, in turn, provided information on Uzbekistan’s stable macroeconomic growth, the high rate of GDP growth, declining inflation and the ongoing reforms aimed at improving the investment climate.

During the meeting, the Serbian side raised the issue of facilitating a reduction in customs duties on Serbian-made Stellantis electric vehicles exported to Uzbekistan.

In response, the Uzbek side noted that electric vehicle manufacturers were already operating in Uzbekistan and had assumed certain obligations. At the same time, the Uzbek side stated that the matter would be considered in accordance with the established procedure.

The Serbian side also stated that, within one month, it would submit an official document outlining priority areas relating to investment, preferential trade and the expansion of cooperation. The Uzbek side expressed its readiness to consider these proposals, within the scope of its authority and in accordance with the established procedure. The Serbian side was also informed that the Ministry of Investment, Industry and Trade is the competent regulatory authority in the fields of investment and trade.

In addition, the Uzbek side expressed interest in Serbia’s defence industry capabilities and proposed implementing joint projects in this area.

The Accreditation of Media representatives has begun to cover the 43rd Session of the UNESCO General Conference in Samarkand
The Accreditation of Media representatives has begun to cover the 43rd Session of the UNESCO General Conference in Samarkand

The Ministry of Foreign Affairs of the Republic of Uzbekistan announces the commencement of accreditation for representatives of mass media to cover the 43rd Session of the UNESCO General Conference in Samarkand.

Journalists wishing to participate in the coverage of the conference are required to complete registration on the United Nations “INDICO” platform and obtain accreditation.

The online registration form is available at the following link: https://indico.un.org/event/1017853/registrations/21114/.

Applications from representatives of media will be accepted until October 10, 2025.

Applications submitted after the deadline, or without the required documents and a completed application form, will not be considered.

Please note that submission of an application does not constitute a basis for entry into the Republic of Uzbekistan or for engaging in journalistic activities of foreign media representatives without official confirmation of accreditation issued by the Ministry of Foreign Affairs of the Republic of Uzbekistan.

For additional inquiries, please contact the Press Service of the Ministry of Foreign Affairs at press@mfa.uz.