According to the CERR bank ranking results for 2025, the stable positions of most financial institutions indicate a higher competitiveness threshold across the sector. At the same time, a noticeable reshuffling has emerged within the mid-tier segment.

The Center for Economic Research and Reforms (CERR) presented an updated Bank Ranking based on the results of the Bank Activity Index for Q4 2025. The study covers 35 commercial banks of the republic, including 20 large financial institutions classified by scale and branch network, and 15 banks categorized as small. The methodology is based on the analysis of 27 indicators, benchmarked against national averages and international standards, including Basel Committee requirements. The ranking serves as an important tool for enhancing transparency and strengthening trust in the financial system. This approach is consistent with international practice and is used by leading financial institutions worldwide.

Financial results for Q4 2025

During the reporting period, total assets of the banking sector amounted to 892.9 trillion soums ($74.2 bn), while liabilities reached 759.8 trillion soums ($63.1 bn). Lending increased by 13%, while deposits grew by 31%. The share of foreign-currency transactions declined, indicating strengthening of the national currency. Net profit reached 13.5 trillion soums ($1.1 bn), which is 57.1% higher than a year earlier. Over the period under review, the share of non-performing loans decreased to 3.5% from 4.3% a year earlier, pointing to improved portfolio quality. At the same time, in some banks this indicator remains above the sector average. Capital adequacy ratios exceed minimum regulatory requirements by more than 1.4 times, confirming the resilience of the banking sector.

Activity ranking of large banks for Q4 2025

The results for Q4 2025 show that sector leaders have maintained stable positions, while reshuffling within the ranking remains limited. The most notable progress was demonstrated by SQB, which climbed three positions. Positive dynamics were also recorded by Davr Bank, Orient Finance Bank, Xalq Bank, and Ipoteka Bank, all of which improved their standings in the overall ranking. At the same time, only two large banks showed a decline in activity. Invest Finance Bank and Aloqa Bank fell by four and three positions in the overall ranking, respectively. Overall, 13 banks retained their positions in the activity ranking, which, amid intensifying competition, reflects the ability of institutions to maintain operational efficiency, adequate liquidity, asset quality, and financial stability.

Dynamics of key indicators

In financial intermediation, Tenge Bank and Ipak Yuli Bank showed a decline in efficiency in attracting and allocating resources, losing four and three positions, respectively. National Bank, Asia Alliance Bank, Anor Bank, BDB, and Mikrokreditbank also dropped by one position in this category. In terms of financial inclusion, a one-position decline was recorded for Orient Finance Bank, Xalq Bank, Agrobank, BDB, and Ipoteka Bank. Regarding asset quality, six large banks registered a decline. Agrobank lost three positions, while National Bank, Trast Bank, Anor Bank, Aloqa Bank, and Asaka Bank each lost two positions. Despite the overall positive profit dynamics in the sector, two banks posted a decline in profitability, namely National Bank and Anor Bank, which fell by two and one positions, respectively. In management efficiency, weaker positions were observed for Mikrokreditbank and Anor Bank, both down two positions. In terms of liquidity, almost one-third of all large banks in the country lost positions, with the sharpest decline recorded by Davr Bank, down six positions, while Agrobank closed the ranking, falling to the last position on this indicator.

Activity ranking of small banks for Q4 2025

In the group of small banks, relative stability persists. Leaders have retained their positions. The main changes in this category also occurred in the mid-tier segment, where several banks improved their standings due to growth in financial intermediation and higher profitability. In this group, six out of 15 financial institutions, including the ranking leader Universal Bank, retained their positions. At the same time, five banks recorded declines, with the largest drop observed at Ziraat Bank, which lost three positions, while Apex Bank rose by three positions in the overall ranking. AVO Bank and Madad Invest Bank each gained two positions, while Okto Bank gained one position and secured third place in the overall group ranking.

Jafar Khidirov,
Head of Banking and Financial Research Sector

President of Uzbekistan Shavkat Mirziyoyev arrived in the Azerbaijani city of Gabala to participate in the summit of the Organization of Turkic States (OTS).

Due to its geographical position, historical ties, and natural resources, the Organization of Turkic States is becoming an increasingly significant platform for cooperation at this new stage of development. At the same time, OTS serves as a cultural bridge, fostering closer ties between the peoples of its member countries.

The Organization is based on the principles of equality and mutual interest, non-interference in internal affairs, and respect for the sovereignty of states - principles widely recognized by the international community.

The OTS comprises five member states: Azerbaijan, Kazakhstan, Kyrgyzstan, Turkiye, and Uzbekistan. Hungary, Turkmenistan, and the Economic Cooperation Organization hold observer status.

The current name of the Organization was introduced on November 12, 2021, at the initiative of the President of Uzbekistan. Previously, it was known as the Cooperation Council of Turkic Speaking States.

The primary goal of the OTS is to strengthen trust and multifaceted ties among the brotherly nations, to promote cooperation in trade, economy, energy, transport, tourism, cultural and humanitarian spheres, and to coordinate efforts to ensure peace and security in the region.

The conceptual foundation for achieving these objectives is the “Turkic Vision – 2040” program, adopted following the Eighth Summit of Heads of State held in Istanbul in November 2021.

For Uzbekistan, which joined the Organization in 2019, participation has become an important step not only in strengthening economic and political ties but also in preserving and developing the shared cultural identity of the Turkic world.

Uzbekistan chaired the OTS in 2022–2023, beginning with the Samarkand Summit in November 2022 under the motto “A New Era of Turkic Civilization: Towards Common Development and Prosperity”.

During its chairmanship, more than 100 events were held, and new platforms for practical cooperation were created. Uzbekistan pursued an open, inclusive, and diverse model of interaction, embracing various regions and civilizations.

The adoption of the “OTS Strategy for 2022–2026” at the Samarkand Summit became a major milestone. This document marked the first roadmap for the implementation of the “Turkic Vision – 2040” concept.

President Shavkat Mirziyoyev has actively participated in OTS summits since Uzbekistan joined the Organization. In particular, he took part in the meetings of the Council of Heads of State on November 6, 2024, in Bishkek and May 21, 2025, in Budapest.

These meetings focused on the current state and future prospects of multilateral cooperation, as well as key issues of practical partnership.

In his address at the informal summit in Budapest, the President emphasized the complexity of today’s geopolitical and geo-economic situation, the intensification of regional conflicts, and the impact of climate change.

He stressed the importance of resolving international issues based on international law and the UN Charter, and the need for common positions and coordinated approaches among member states.

Speaking about the development of practical cooperation within the OTS, the President noted the enormous untapped potential and put forward several new initiatives.

Particular importance is attached to Uzbekistan’s proposal to sign a Treaty on Strategic Partnership, Eternal Friendship, and Brotherhood among the Turkic States, which would represent a significant step toward deeper unity and the creation of a long-term legal foundation for multilateral cooperation.

“Last year, we proposed developing a treaty on strategic partnership, eternal friendship, and brotherhood among the Turkic states. Today, the significance of this document is growing. Undoubtedly, it will promote further unity among our peoples and solidify the long-term legal framework for multilateral cooperation. I propose signing this document at the summit in Baku”, - the President stated.

Since 2019, President Shavkat Mirziyoyev has put forward 98 practical initiatives at OTS summits aimed at advancing multilateral cooperation. More than 70 have already been implemented, and about 30 are in the process of realization.

For Uzbekistan, the main priority within the OTS is the economy. The country is currently focused on boosting exports, attracting investment, creating jobs, addressing unemployment, and reducing poverty. All these goals are closely tied to global economic integration, where the OTS format can support further coordination and development of production chains.

The total area of the OTS member states is approximately 4.2 million square kilometers, with a combined population of over 170 million - representing vast opportunities and a substantial market.

Under existing agreements, the OTS is viewed as an effective mechanism for regional cooperation with great integrative potential. Trade and economic indicators between member states are growing every year.

Today, OTS countries collectively rank third - after China and Russia - among Uzbekistan’s external trade partners. In 2024, mutual trade volume reached nearly $10 billion, accounting for about 15% of the country's total foreign trade.

Trade relations with Kazakhstan - Uzbekistan’s largest trade partner within the OTS - and Turkiye - the second largest - are showing particularly strong growth. By the end of 2024, trade turnover with Kazakhstan reached $4.28 billion, and with Turkiye, $2.9 billion.

Trade with Azerbaijan also continues to show positive dynamics. Notably, mutual trade volumes with OTS partners are setting new records each year.

Uzbekistan’s key exports to OTS markets include textiles, electrical products, automobiles, fruits and vegetables, and non-ferrous metals. Imports from OTS countries consist of rolled metal, aluminum, mechanical tools, construction materials, petroleum products, and a significant portion of grain and other food items.

To maintain and accelerate this positive trend, it is crucial to implement President Shavkat Mirziyoyev’s initiatives, including the creation of the “TURK-TRADE” online platform to facilitate and speed up trade operations, and the adoption of a Program of Practical Measures to Expand Trade aimed at increasing mutual trade volumes.

Industrial cooperation is also a vital area. Uzbekistan is actively supporting the development of this sector and promoting the establishment of new enterprises with capital from OTS countries. This year, the number of such enterprises is expected to reach approximately 4 thousand, representing a 60% increase compared to 2019. Their share in the total number of foreign-capital enterprises in Uzbekistan is projected to reach approximately 20%.

Transport cooperation is receiving special attention. OTS countries are steadily increasing their role in global transit. In 2024, freight traffic through the Middle Corridor reached 4.5 million tons - almost six times more than in 2020. This growth underscores the strategic importance of infrastructure projects like the China–Kyrgyzstan–Uzbekistan railway.

Member countries are also working to ensure secure and reliable transport and energy corridors across the Caucasus and Central Asia. These efforts not only facilitate trade expansion but also contribute to economic independence and regional prosperity.

Uzbekistan is actively involved in cultural and historical heritage preservation and promotion. In education, the country supports student and scholar exchange programs, strengthens cooperation between universities and research centers of Turkic states, and promotes joint academic initiatives and knowledge-sharing platforms. Key areas of Uzbekistan’s proposals also include projects in energy and environmental protection.

In conclusion, President Shavkat Mirziyoyev's participation in the OTS summit in Azerbaijan will be another important step in advancing forward-looking initiatives for the development of the Turkic world and strengthening peace and stability in the region. This visit will also serve as a new impetus for the consolidation of unity and the enhancement of the well-being of the peoples of the Turkic states.

Comprehensive monitoring of key business activity indicators across the regions of Uzbekistan shows growth across all major metrics.

According to оперативные данные from the Tax and Customs Committees, the Central Bank, and the Uzbek Republican Commodity Exchange, the Center for Economic Research and Reforms conducts ongoing monitoring of regional business activity in the Republic of Uzbekistan.

As of January this year, tax revenues demonstrated stable positive dynamics, increasing by 39.2% compared to the same period last year.

The most notable increase in revenues was recorded in the Syrdarya, Navoi, Khorezm, and Kashkadarya regions, where growth rates averaged approximately 49%.

Personal income tax revenues increased by 15.1%, property tax revenues by 19.6%, and land tax revenues by 20.3%.

Customs payments grew by 19.8% year-on-year. The highest growth rates were observed in the Navoi, Jizzakh, and Namangan regions, averaging approximately 67%.

Stable positive dynamics were also recorded in the Samarkand region and the Republic of Karakalpakstan, where revenues increased on average by 31%.

According to the analysis of foreign economic indicators, exports of goods increased by 19.5%. The most significant growth in export deliveries was observed in the Tashkent and Navoi regions, increasing on average by 47%.

At the same time, a notable expansion in lending activity was recorded. During the reporting period, the volume of loans issued by commercial banks increased by 2.7%. The highest growth was observed in the Samarkand, Bukhara, and Khorezm regions, averaging approximately 58%.

The active development of the private sector is confirmed by a significant increase in the number of newly registered business entities. In January 2026, a total of 7,116 new enterprises were registered. The largest number of new business entities was recorded in the city of Tashkent (1,712). Among the regions, the leaders were Tashkent region (735), Samarkand region (610), and Khorezm region (550).

The volume of transactions on the Uzbek Republican Commodity Exchange increased 1.8 times. Growth in exchange activity was recorded in most regions of the country, particularly in the Syrdarya region, where activity increased 11.1 times. In addition, growth was observed in the Khorezm, Surkhandarya, Bukhara, Jizzakh, and Kashkadarya regions, averaging 6.5 times.

Sultonmurod Ozodov,

Center for Economic Research and Reforms

The 26th International Textile and Garment Industry Exhibition TextileExpo Uzbekistan 2026 will be held from May 13 to 15, 2026 at the Uzexpocentre National Exhibition Complex in Tashkent

TextileExpo Uzbekistan is the largest B2B platform for the textile and garment industry in Central Asia, bringing together manufacturers, suppliers, and professional buyers. Here, the buyers find reliable partners, current trends, and favourable terms of cooperation, while industry representatives find comprehensive solutions for production development and optimization. Visitors can compare offers, evaluate product quality, and negotiate directly with manufacturers.

Over 150 verified suppliers from 7 countries will participate, with strong representation from companies from China.

The exhibition will traditionally cover all production cycle phases from raw materials to finished products and accessories. Visitors will find yarn, fabrics, knitwear, fittings and accessories, finished garments, technical and home textiles, hosiery, as well as chemicals and dyes for the textile industry.

According to the organizers, the traditional Buyers’ Program is planned as a unique component of the TextileExpo Uzbekistan. It is a platform focused on achieving concrete business outcomes, including targeted B2B meetings, the establishment of long-term partnerships, and the conclusion of commercial contracts. For domestic companies, the program serves as an effective channel for entering international markets and scaling export deliveries. For buyers, exclusive participation conditions are provided, allowing them to make the most efficient use of their time at the exhibition and gain priority access to key suppliers.

Dunyo IA

On November 29, President Shavkat Mirziyoyev convened a meeting dedicated to identifying additional opportunities, increasing investments and jobs in Bukhara region.

Previously, the economy of this region was mainly linked to agriculture. However, over the past seven years, the region has attracted more than $4 billion investments, enabling development of such industries as energy, electrical engineering, chemicals, pharmaceuticals, textiles and leather. In the past period of the current year, 1.5 million foreign tourists visited Bukhara.

The visit of the Head of State to the region on May 31-June 1 gave a new impetus to its development. All the tasks outlined during the visit will be fully accomplished by the end of the year.

At the same time, it is important to ensure further growth of economic indicators in 2025, increase employment and well-being of the population. To this end, the working group studied additional opportunities of the region and factors hindering entrepreneurship development.

The critical meeting emphasized that the region's economic performance does not correspond to its potential. Work on investment absorption, poverty and unemployment reduction was recognized as unsatisfactory.

In this regard, the hokims, their deputies and sector heads will be put on emergency duty for a period of six months. The entire focus will be on improving these three areas. Special attention will be paid to implementing 70 driver projects based on the experience of Saikhunobad, Uychi, Zarbdar and Gijduvan. They will provide income to 150 thousand people and lift 40 thousand people out of poverty.

As it was mentioned, each district of the region can be specialized for a certain industry. For example, Peshku and Shafirkan - for production of construction materials and textiles, Kagan city, Alat and Jondor districts - for food industry, Gijduvan and Romitan - for chemical industry. This will make it possible to implement projects of entrepreneurs worth $150 million, create 411 small enterprises and provide 12 thousand jobs.

Four textile factories are planned to be built in Vabkent, Karakul, Jondor and Alat at a total cost of $320 million. This will double the volume of finished knitwear and textile products and create 5,000 jobs.

Next year, the number of foreign tourists is expected to reach 2.2 million and tourism exports are expected to reach $600 million. This will be supported by opening 69 new hotels and 2 thousand handicraft stores.

It is planned to develop additional 20 thousand hectares of land, which will allow to grow additional 100 thousand tons of agricultural products and provide employment for 2 thousand people. Trees and food crops will be planted on vacant homestead land, along canals and field edges.

Another opportunity is pastures. In Bukhara region their area exceeds 2 million hectares. As part of the decisions made at a recent meeting on horticultural development, it is planned to grow pistachios on unused pastures.

Hokim of Bukhara region presented plans to utilize these opportunities. In general, next year 106 projects will be implemented, 105 thousand permanent jobs will be created, exports will be increased by $350 million due to foreign investments worth $2 billion.

The Head of State pointed out the insufficiency of these plans and instructed to intensify efforts and improve results. He tasked to revise the proposals again and draft a relevant resolution.
 

The first quarter proved highly favorable for Uzbekistan’s economy. Economic growth reached 8.7%, inflation fell to its lowest level in recent years, investment hit a record high, and exports continued to expand steadily.

Economic Growth Dynamics

The pace of economic growth achieved by Uzbekistan in the first quarter exceeded the expectations of international institutions. The Asian Development Bank had projected 6.7% growth for the first quarter. The World Bank initially forecast 6.0%, but revised it upward to 6.4% in April. The IMF also raised its forecast in April from 6.2% to 6.8%.

In practice, Uzbekistan’s economy grew by 8.7%. GDP in current prices amounted to $36.9 bn. The forecast closest to the actual result came from the Center for Economic Research and Reforms (Uzbekistan), which projected first-quarter growth of up to 7% at the beginning of the year.

The strongest growth was recorded in construction, where gross value added increased by 15.0%. The services sector expanded by 8.8%, retaining its position as the largest segment of the economy. Industry grew by 8.0%, while agriculture increased by 5.1%.

Significant gains were also seen in oil refining, up 29.5%. In light industry, apparel and textile production rose by 15.3%, while knitwear output increased by 26.9%. In automotive manufacturing, production expanded by 12.5%, including buses by 64.7% and trucks by 46.6%. Within services, the highest growth rates were recorded in education, up 22.5%, and financial services, up 22.4%.

An important contribution to overall growth also came from measures aimed at reducing the shadow economy. Its share declined from 24.8% to 22.9%, while legalized business activity supported higher recorded growth figures.

Another major factor behind accelerated growth has been the country’s active market reforms, which were recognized this year in the Index of Economic Freedom, where Uzbekistan rose by 14 positions and entered the category of moderately free economies for the first time.

Overcoming Inflationary Challenges

External pressures continue to affect domestic price formation. Global oil prices have risen by 40% since the beginning of the year. Geopolitical tensions have disrupted logistics corridors, increasing transportation costs for trade flows by 25–30%. As a result of these disruptions, imports of cattle into Uzbekistan fell by half in the first quarter, creating risks for food security.

To stabilize food prices, the government introduced partial reimbursement of air freight costs for imports of breeding livestock and meat products. It also approved the import of 100,000 breeding sheep and goats from Mongolia with compensation of 50% of transport costs.

Since the beginning of the year, Uzbekistan has actively implemented a new system of inflation management and price stability. For all responsible officials and regional governors, the key task for 2026 has been defined as maintaining stable prices for essential food products and keeping annual inflation below 6.5%.

As a result of these measures, despite external pressures, the inflation environment improved significantly in the first quarter. Consumer prices rose by 1.93% in January–March. In March alone, monthly inflation stood at 0.6%, while annual inflation fell to 7.1% for the first time, compared with 10.34% a year earlier.

Budget Policy and Regional Development

Thanks to such dynamic economic growth, Uzbekistan’s State Budget revenues also increased steadily in the first quarter, rising by 35% year-on-year. Tax revenues grew by 24%, while customs revenues increased by 20% compared with the same period last year.

Funds retained by local budgets rose by 21%. In addition, land sales and privatization processes generated an extra $47.1 mn for local budgets. At the same time, $90.6 mn were transferred from the republican budget to local budgets to support the regions. As a result, district-level local budgets retained $115.3 mn, nearly 4.2 times more than the $28.5 mn recorded in the same period last year.

This demonstrates the continued and consistent policy course toward expanding the financial autonomy of the regions, helping unlock local potential and support dynamic regional development.

Investment Outlook

Investment activity in Uzbekistan reached a record level in the first quarter. Capital investment and development projects totaled $12.85 bn, up 41.5%. Foreign direct investment increased by 45.7% to $8.84 bn. During the quarter, 1,508 new projects worth $1.185 bn were launched, creating around 28,000 new jobs.

In the first quarter, investment volumes exceeded $50 mn in 50 cities and districts, while in 21 of them the figure surpassed $100 mn, indicating broader regional investment activity. By source of foreign investment, China ranked first with $6.4 bn, followed by Russia with $1.1 bn, Türkiye with $975 mn, the UAE with $824 mn, and Germany with $342 mn.

Overall, in 2026 Uzbekistan plans to implement 125 projects with the participation of international financial institutions and foreign state financial organizations, attracting $5.1 bn. In the first quarter alone, $947 mn in foreign loans had already been mobilized from these sources, exceeding forecast targets by 120%. These projects have already delivered tangible results in infrastructure development and improved living standards.

The next important step in attracting investment may be the listing of state assets on international markets. Speaking at the meeting, the President announced that 30% of state assets worth $2.4 bn would soon be placed on international stock exchanges for the first time. This is linked to the establishment of the National Investment Fund and the transfer of management of 13 strategic enterprises to Franklin Templeton.

The country’s overall target for this year is to attract $53 bn in foreign investment. Officials were also instructed to introduce an AI-based platform that would provide optimal project recommendations for specific regions. Investors and consulting companies will be granted access to the platform through a one-stop-shop mechanism.

Growing Export Potential

Total exports of goods and services maintained strong growth momentum in the first quarter, reaching $5.8 bn, up 26% year-on-year, or by $1.2 bn. Export growth was recorded in 147 districts and cities across the country. As a result, the total number of exporting enterprises reached 4,000.

In particular, exports of natural uranium amounted to $402.6 mn, up 95%. Exports of non-ferrous metals reached $248.7 mn, doubling year-on-year. Oil and gas exports totaled $160 mn, up 15%.

Positive dynamics were also observed in manufacturing. Textile exports reached $731 mn, up 18%. Exports of construction materials totaled $304 mn, rising by 75%. Jewelry exports reached $214 mn, up 54%.

Agricultural and food exports also posted solid growth. Fruit and vegetable exports reached $320 mn, up 12%. Food exports totaled $282 mn, surging by 120%. Strong momentum was also seen in services, where exports reached $2.2 bn, up 35% year-on-year, or by $573 mn.

The geography of exports continues to expand. In January–March, previously non-exported goods worth $162 mn across more than 140 product categories were supplied for the first time to 86 countries, including the United States, Austria, Belarus, Poland, South Korea, Iran, Kazakhstan, and Afghanistan.

Despite these achievements, external market challenges continue to affect exporters. The President noted that over the past six months, due to changing conditions among foreign partners, 908 entrepreneurs with signed contracts worth $3.6 bn had still been unable to begin exports.

Support for Entrepreneurship

Active support for small and medium-sized businesses continued in the first quarter. This year, $11.5 bn is being allocated through banks for this purpose. In the first quarter, entrepreneurs received $2.9 bn in credit resources, including $659 mn under state support programs. A total of 21,000 microprojects were implemented, helping raise incomes for 52,000 residents.

At the same time, certain shortcomings remain. Not all districts and cities are equally effective in converting loans into permanent jobs, and the differences are considerable. To address this issue, the President emphasized the need to use AI tools in credit allocation and instructed banks to launch an “AI Consultant” platform.

The meeting also discussed optimization of government administrations and the creation of new business spaces. Since many central and busy streets in district centers are occupied by state institutions, 19 districts and cities have already begun relocating government offices into unified administrative centers, with vacated premises transferred to businesses. Scaling up these measures nationwide would free up 5 mn m2 of space for business activity.

Social Policy

A strong social policy and active measures to reduce poverty and promote employment continued in the first quarter.

Permanent jobs were provided to 167,000 people, while 737,000 citizens received assistance in creating additional income sources and improving their living standards. An important contribution came from formalizing 241,000 previously informal workers, giving them access to social protection, financial services, and stable employment.

Special attention in social policy is being given to low-income families. A total of 105,000 support services were delivered to 86,000 vulnerable families, including employment assistance, training, business start-up support, and income generation. Under women’s support programs, 26,000 women were employed, while youth support programs benefited 58,000 young citizens.

To accelerate development in territories facing difficult socio-economic conditions, $297 mn were allocated from the republican budget. Additional support of $329 mn was also directed to areas granted the status of “New Image of Uzbekistan.”

These policies continue to contribute to lower poverty and higher living standards. Poverty fell to 5.0% in the first quarter, while unemployment stood at 4.7%. According to forecasts, both indicators may decline further to 4.3% by mid-year.

Significant attention is also being paid to social infrastructure and improving living conditions with the active participation of international financial institutions. In the first quarter, 89 km of drinking water networks, 8.2 km of sewerage networks, and 40 km of roads were built.

These measures are creating a sustainable foundation for further poverty reduction, stronger employment, higher welfare, and better living conditions across all regions of Uzbekistan.

Perspectives

It is useful to compare Uzbekistan’s first-quarter growth performance with the global economy and other countries.

In its April forecast, the IMF lowered projected global growth from 3.3% in January to 3.1% in April. Growth in advanced economies is expected at 1.5–1.6%, while developing economies are projected at above 4%. US growth is forecast at 2.0–2.1%, while Europe is expected to remain the weakest region, with UK growth revised downward to 0.8%.

The IMF identified India as the fastest-growing major economy, with projected growth of 7.3%. Yet Uzbekistan’s first-quarter growth exceeded even that figure, reaching 8.7%. This reflects the soundness and effectiveness of ongoing reforms, as well as strong and responsive economic management, where emerging challenges are addressed without delay.

Uzbekistan is expected to maintain high growth momentum in 2026. Real GDP growth is projected in the range of 8.3–8.7%, with services rising by 9.1%, industry by 8.7%, and construction by 11.5%.

At the same time, despite these positive results, the President noted that there is no room for complacency. Against the backdrop of intensifying global rivalry, the world economy will no longer be as stable as before. This requires special focus in the current year on sustaining growth, containing inflation, creating jobs, expanding exports, and improving the quality of investment.

Khurshed Asadov, Deputy Director of the Center for Economic Research and Reforms under the Administration of the President of the Republic of Uzbekistan

Хуршед Асадов, ЦЭИР

Samarkand Forum of the Asian Development Bank
In the Context of Contemporary Challenges and Historical Significance

In early May, Samarkand hosted the 59th Annual Meeting of the Board of Governors of the Asian Development Bank under the theme “Crossroads of Progress: Advancing the Region’s Connected Future.” The President of the Republic of Uzbekistan, Shavkat Mirziyoyev, outlined key priorities for further cooperation with the ADB.

The forum brought together more than 4,000 experts from over 100 countries, including representatives of foreign governments, international financial institutions, leading banks, and major corporations. The central topics of discussion included digital and green transformation, climate resilience, supply chain development, and food security.

Uzbekistan and the Asian Development Bank: Effective Partnership

Uzbekistan joined the ADB in 1995. Over the past 30 years, the Bank has become a reliable strategic partner for the country. The current portfolio of joint projects has reached nearly $16 billion. Uzbekistan has become the Bank’s largest partner in the region by operational volume and ranks among the top 10 countries globally in terms of ADB operations.

In August 2024, the ADB launched a new Country Partnership Strategy for Uzbekistan for 2024–2028. This five-year strategy focuses on supporting the transition to a green economy, enhancing private sector development and competitiveness, and stimulating investment in human capital, in line with the national development priorities outlined in the “Uzbekistan–2030” strategy.

ADB financing across sectors is distributed as follows: transport – $3.1 billion; energy – $2.9 billion; water supply, sanitation, and urban services – $1.4 billion; agriculture and water resources – $0.9 billion.

Through effective cooperation with the ADB, more than 1,400 km of railway lines and 1,700 km of roads have been modernized. Over 4,000 km of water supply networks have been completed, and around 750 educational institutions have been upgraded. In 2025, a record annual commitment volume exceeding $1.4 billion was achieved.

New Cooperation Program with Uzbekistan

During the Samarkand forum, a new partnership program between Uzbekistan and the ADB through 2030 was adopted. It envisages the implementation of projects totaling $12.5 billion, including infrastructure development, support for reforms, private sector growth, and public-private partnerships.

Key components include: infrastructure financing – $2.6 billion; results-based lending – $2.2 billion; budget support for reforms – $3.3 billion; multitranche financing facilities – $350 million; partial credit guarantees – $250 million; direct private sector financing – $2 billion; PPP projects – $1.7 billion.

Priority Areas Outlined by the President

In his address, the President of Uzbekistan emphasized the need to introduce new mechanisms and approaches for sustainable development amid global economic challenges and rapid technological change.

First, digital technologies and artificial intelligence are transforming virtually all sectors. By 2040, AI is expected to increase global trade volumes by an additional 40%. The adoption of open AI models is therefore essential in key sectors such as education, healthcare, water management, environmental protection, and food security. Uzbekistan proposed developing a dedicated ADB-led program to scale AI adoption in developing countries and announced its accession to the Bank’s “Digital Highway for Asia” initiative, including the establishment of a regional coordination center in Tashkent.

Second, the expansion of digital technologies and AI is driving a sharp increase in energy demand. By 2030, electricity consumption by data centers is projected to rise by 2–3 times compared to current levels. Only countries capable of providing affordable and reliable green energy will remain competitive globally. Uzbekistan identified green energy development as a strategic priority and acknowledged ADB support for the “Central Asia–Europe” green energy corridor aimed at expanding clean energy exports.

Third, ensuring the connectivity of transport systems and the stability of logistics corridors is becoming increasingly critical. Changes in global logistics routes have already led to transport cost increases of up to 30% for Central Asian countries, with delivery times extended by several weeks. In this context, the China–Kyrgyzstan–Uzbekistan railway project is of particular importance. Uzbekistan proposed establishing a “Digital Customs and Logistics Alliance” within the CAREC framework.

Fourth, according to international experts, demand for critical minerals will increase sixfold by 2040. Uzbekistan possesses significant reserves of copper, tungsten, molybdenum, magnesium, graphite, vanadium, titanium, and other resources. To ensure deep processing and production of high value-added goods, Uzbekistan proposed joining the ADB’s “From Critical Minerals to Production” program.

Fifth, climate change and desertification pose serious challenges to Central Asia. The ADB is implementing its Climate Action Plan through 2030, allocating at least 50% of its annual financing to climate-related projects. Uzbekistan proposed launching a regional “Green Belt of Central Asia” initiative to complement national afforestation efforts in the Aral Sea region.

Sixth, amid global instability, demand for safe travel destinations is growing. Central Asia has strong potential in pilgrimage, cultural, gastronomic, ethnographic, extreme, and medical tourism. Uzbekistan proposed creating a “Central Asia Tourist Ring” to integrate regional tourism offerings.

To advance these initiatives, Uzbekistan aims to fully utilize ADB financial instruments, including mobilizing private capital, and proposed establishing an Innovative Platform for Financing Regional Projects.

Transformation of ADB Operations

The implementation of these initiatives requires a transformation of the ADB’s institutional model. In response to global economic shifts, rapid technological change, and increasing interdependence, the Bank is shifting its focus toward sustainability, regional integration, and future-oriented infrastructure.

A key direction is the expansion of investments in next-generation infrastructure, including cross-border energy networks, electricity trade, and digital infrastructure such as internet connectivity and data transmission networks.

Another major shift is the transition from financing predominantly national projects to prioritizing regional systems. This includes integrating energy systems, developing regional electricity markets, and advancing digital integration across Asia.

These priorities are reflected in two major initiatives announced at the Samarkand forum, totaling $70 billion through 2035, aimed at energy system integration, cross-border electricity trade, digital corridors, data centers, and broadband expansion across Asia and the Pacific.

A significant announcement was also the launch of the “Critical Minerals-to-Manufacturing Financing Partnership Facility,” covering the full value chain from exploration and resource mapping to the production of final goods, including chemicals, batteries, renewable energy components, electronics, as well as recycling and reuse.

For Uzbekistan, this approach is particularly relevant, as the country is already developing value chains based on its mineral resources. The ADB program is expected to accelerate this process significantly.

Overall, the transformation of the ADB reflects a shift toward supporting systemic resilience and regional markets. This includes three key transitions: from individual projects to integrated economic systems; from national to regional focus; and from development support to long-term economic sustainability.

As a result, the ADB is evolving from a project financing institution into a coordinating platform for regional economic connectivity, strengthening its role in Asia’s integration amid the formation of competing global economic blocs.

Conclusion

The 59th Annual Meeting of the ADB Board of Governors in Samarkand was of significant importance not only for Uzbekistan due to its international prestige and the adoption of a new cooperation program, but also for the entire Asia-Pacific region.

The forum marked the launch of two major initiatives and the new “From Critical Minerals to Production” program, reflecting the Bank’s updated strategy aimed at enhancing economic stability and regional consolidation in Asia.

Holding the forum in Samarkand is symbolic. Historically a crossroads of trade and culture between East and West, the city once again serves as a focal point for shaping the region’s future.

It was here that initiatives and decisions were announced that may influence the development trajectory of all Asia, reinforcing Samarkand’s role as a platform for dialogue and strategic vision.

Viktor Abaturov,
Center for Economic Research and Reforms

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.

TASHKENT, September 24. /Dunyo IA/. The Minister of Foreign Affairs of Uzbekistan Bakhtiyor Saidov held negotiations in New York City with the Minister of Foreign Affairs of Latvia Baiba Braže, reports Dunyo IA correspondent.
"Had a productive meeting with H.E. Baiba Braže, Foreign Minister of Latvia, – the head of the Ministry of Foreign Affairs of Uzbekistan wrote in his telegram channel. – We highly value the opening of the office of the Investment and Development Agency of Latvia in Tashkent. Transport connectivity and logistics, IT and digital technologies, trade and investments were on the focus of our meeting".

The text of the article is in Uzbek!

Just a few years ago, the concept of the “smart city” was largely seen as a futuristic idea associated with digital control panels, autonomous transport, widespread sensor networks, and automated urban services.

Today, the smart city has become a practical tool for addressing modern urban challenges. This trend can be seen across countries facing rapid population growth, increasing migration to major metropolitan areas, overstretched infrastructure, and mounting climate risks.

In this context, smart technologies are no longer viewed as an end in themselves. Instead, they are increasingly used to improve the resilience and efficiency of key urban systems, including transport, energy, public utilities, waste management, and environmental monitoring. This allows cities to adapt more effectively to emerging challenges, reduce pressure on infrastructure, and improve the overall quality of urban life.

At the same time, smart city development is gaining strategic economic importance by creating long-term drivers of growth. Such projects attract substantial investment by combining digital infrastructure, innovative services, and principles of sustainable development.

The growth of smart urban areas also contributes to job creation in high-tech sectors ranging from IT and telecommunications to engineering and urban data analytics. In parallel, the modernization of urban infrastructure improves resource management and raises overall living standards.

Against this backdrop, the approaches taken by Uzbekistan and Azerbaijan deserve particular attention. Rather than simply following a global trend, both countries are developing their own models of smart urbanization — ones in which technology serves people and supports the creation of more comfortable, sustainable, and future-oriented cities.

In this regard, Uzbekistan offers a particularly notable example, as urbanization is becoming an increasingly pressing issue amid steady demographic growth. The country’s population is growing by approximately 1.8–2% annually, placing additional pressure on transport systems, housing, infrastructure, and social services.

Under these conditions, the government is focusing not on limited modernization of the existing urban environment, but on the creation of new growth centers. The Smart City concept adopted in 2019, followed by the Digital Uzbekistan – 2030 strategy, established the institutional foundation for the large-scale digital transformation of urban infrastructure and public services.

One of the most visible outcomes of this strategy is the New Tashkent project, whose significance extends far beyond that of a traditional urban development initiative.

In essence, the project aims to create a new economic, administrative, and investment hub capable of easing pressure on the existing capital while introducing a fundamentally new model of urban organization based on smart city principles and sustainable development.

In this case, the concept of the “15-minute city,” green infrastructure, digital governance, public transport prioritization, and energy efficiency are not treated as separate elements, but as components of a broader strategy aimed at expanding economic space and improving the quality of the urban environment.

Against this backdrop, New Tashkent illustrates how urbanization can serve not only as a response to infrastructure pressures, but also as a tool for creating new centers of economic growth capable of redistributing business activity and shaping the long-term development of the urban agglomeration.

This is also why the project has a distinctly international dimension. Its implementation involves Singapore’s Meinhardt Group, the UK-based Foster + Partners and Cross Works, the Dutch firm OMA, Japan’s Sojitz Corporation, South Korea’s Incheon International Airport Corporation, and other international partners. This reflects Uzbekistan’s efforts to integrate global expertise into its national development model.

Azerbaijan, in turn, has chosen a different approach to the development of smart urban spaces. Rather than building entirely new cities from scratch, the focus has been placed on the restoration and comprehensive modernization of recently reintegrated territories alongside the introduction of modern urban planning solutions and Smart City technologies.

This approach goes beyond the physical reconstruction of infrastructure and involves rethinking urban development through digital technologies, sustainable planning, and green standards.

Following the reintegration of Karabakh and Eastern Zangezur, Azerbaijan faced not only the challenge of rebuilding damaged territories, but also the task of their socio-economic reintegration into the country’s broader development framework. In this context, the concepts of Smart City and Smart Village have gained particular strategic importance, serving as the foundation for a new model of territorial planning and governance.

Within this model, technology is no longer viewed solely as a modernization tool, but as an instrument for comprehensive territorial development. It supports the rapid restoration of basic services, creates conditions for the return of displaced populations, stimulates economic activity, and enables more effective management of spatial development.

One of the clearest examples is Aghali — Azerbaijan’s first “smart village.” The project demonstrates how digital infrastructure, renewable energy, smart agriculture, and modern public services can become part of a new model of post-conflict reconstruction.

The village covers around 119 hectares and includes more than 200 modern eco-friendly homes equipped with smart systems, as well as social and public infrastructure facilities, including a school, kindergarten, medical center, ASAN xidmət and DOST service centers, small business facilities, and administrative buildings.

A similar development model can also be seen in Fizuli, Aghdam, Shusha, Khojaly, and several other settlements, where new infrastructure systems are being developed based on environmental sustainability, transport accessibility, and digital management of urban and rural services.

Like Uzbekistan, Azerbaijan also relies heavily on international cooperation as a key driver of modernization. Huawei is involved in implementing digital solutions, the World Bank provides analytical and advisory support, while Japan is expanding cooperation in smart infrastructure and green energy, contributing to the adoption of advanced technological practices.

Uzbekistan is building a new urban environment from the ground up, while Azerbaijan is developing its model against the backdrop of a complex historical and territorial transformation. At first glance, these are very different starting points. Yet this is precisely what makes the similarities in their approaches particularly notable. In both cases, digital infrastructure is not treated as an additional layer built onto the city, but as a core element shaping its future development from the outset.

At the same time, neither country is pursuing a model based on copying existing examples. The experiences of Singapore, Dubai, and Qatar are being studied, but not replicated. Instead, both states are developing their own models tailored to local demographic, geographic, historical, and social realities. This reflects not a limitation of choice, but the maturity of their strategic approach.

Against the backdrop of accelerating urbanization across Central Asia and the South Caucasus, the experiences of Uzbekistan and Azerbaijan are increasingly emerging as a kind of laboratory for new development models. While their strategies differ in tools and priorities, both are driven by the same objective: building a new generation of cities that combine technology, sustainability, adaptability, and a people-centered approach.

Abbosbek Mashrapov

Senior Research Fellow, International Institute for Central Asia

On August 13, President Shavkat Mirziyoyev familiarized himself with a presentation on measures to develop artificial intelligence technologies and IT startups.

Information technologies are developing rapidly in our country and are being introduced into all spheres. As a result, the volume of digital services exceeded 21 trillion soums only in the past period of this year, and by the end of the year it is expected to reach 43 trillion soums. Export of services of the sphere amounted to 367 million dollars. The number of IT park residents increased by 577 and exceeded 2 thousand. The number of young people working in them reached 32 thousand.

This year, more than 100 digitalization projects are being implemented in health care, energy, transport, education, agriculture, water management, construction and others.

Times are changing rapidly. Artificial intelligence and digital technologies are penetrating into all spheres. A number of projects have also been launched in this direction in our country.

For example, “My ID” and “UzFace” solutions have been implemented in more than 70 organizations, banks, marketplaces and payment systems, and the possibility of remote biometric identification of 10 million users has been created. “Uzbekcosmos” with the help of artificial intelligence identified about 43 thousand cases of illegal use of subsoil and unauthorized construction.

The presentation considered measures to develop artificial intelligence technologies in such areas as health care, agriculture, banking, tax, customs.

It was noted that first of all it is necessary to create a legislative base for artificial intelligence. The task was set to develop a strategy for the introduction of artificial intelligence and a two-year program of projects. The Center for Artificial Intelligence Technologies was assigned to be created.

In particular, the need to expand the application of artificial intelligence in banking and finance, training of specialized personnel and professional development of employees was emphasized.

At present, the personnel on artificial intelligence is trained in 4 universities. There is a need for 600 specialists in big data processing and language models. This number will increase many times in the coming years. Taking this into account, the importance of training specialists corresponding to the needs in terms of industries was emphasized.

All leading IT companies of the world started their activities from a startup. We are also taking the first steps in this direction. Last year, the volume of venture investments attracted in such projects amounted to 134 million dollars.

The head of state emphasized that it is time to create broad conditions for venture investments to finance startup projects. In this regard, instructions have been given to develop the startup ecosystem and introduce venture capital financing mechanisms.

May 13. /Dunyo IA/. Uzbekistan has nominated its candidacy for the Chair of the UN Tourism Comission for Europe (CEU) for the 2025–2027 term.

This marks the first time in its history that Uzbekistan has put forward a candidate for this prestigious position, underscoring the country’s growing engagement in global tourism affairs and the high level of trust it has earned within international tourism bodies.

The UN Tourism Comission for Europe consists of 41 member countries from Europe as well as Central and Western Asia. It plays a pivotal role in shaping tourism policy across the region, promoting regional cooperation, and advancing sustainable and inclusive tourism development.

The 71st meeting of the Commission will be held on June 4–6, 2025, in Baku, Azerbaijan. During this session, elections are scheduled to take place for the Chair of the CEU for the 2025–2027 term.

Uzbekistan’s nomination for this position is viewed as recognition of the country’s consistent reforms in the tourism sector, its practical efforts to strengthen regional cooperation, and its contribution to the development of sustainable and inclusive tourism.

If elected, Uzbekistan intends to promote new initiatives aimed at positioning Central Asia as a unified tourism destination, developing cross-border routes, widely implementing digital solutions, and enhancing regional dialogue within the framework of the United Nations World Tourism Organization.