From the INMerge Innovation Summit to Regional Hubs: How Uzbekistan, Kazakhstan, and Azerbaijan Are Building a Unified Startup Ecosystem

📅 18.05.2026

Over the past few years, Central Asia and the Caucasus have emerged as some of the fastest-growing regions in technology and innovation. Uzbekistan, Kazakhstan, and Azerbaijan are increasingly strengthening their positions on the global startup map, attracting international investors, technology companies, and entrepreneurs. One of the key platforms bringing together the region’s innovation ecosystem has become the international INMerge summit.

What is INMerge?

INMerge is an international innovation summit that brings together startups, investors, corporations, government representatives, and technology communities from across Central Eurasia. Over the past five years, the project has evolved from a relatively small corporate gathering into one of the region’s leading technology forums.

Today, INMerge hosts participants from Azerbaijan, Uzbekistan, Kazakhstan, Georgia, Türkiye, and other countries. Discussions focus on investment, artificial intelligence, startup development, digital infrastructure, and cross-border collaboration. Most importantly, however, the forum helps transform networking opportunities and ideas into real partnerships, projects, and investment deals.

In 2026, INMerge expanded beyond a single-city format by launching a regional Roadshow initiative. Ahead of the main summit, the team is organizing a series of events across key locations in the region. One of the central stops became Tashkent — a city that clearly demonstrated how rapidly Central Asia’s role in the global technology landscape is evolving.

Today, the three countries are shaping a new regional ecosystem, where each contributes its own strategic strengths.

Uzbekistan is now considered one of the fastest-growing tech markets in the region. Over the past year, venture investment volumes increased more than fivefold, the number of startups doubled to over 950, and Tashkent entered the world’s top 100 startup ecosystems for the first time. The country is actively opening up to international investors and steadily becoming a new destination for technology-driven businesses. Uzbekistan is already home to two unicorns.

Kazakhstan continues to focus on infrastructure development and a systematic approach to building its startup ecosystem. The country is developing a large-scale $1 billion fund of funds and has spent several years consistently creating conditions that allow startups to scale not only domestically, but internationally as well. Kazakhstan has also produced two unicorns.

In 2024, IT Park Uzbekistan and Astana Hub took another important step toward regional integration by launching the Central Asian Innovation Hubs initiative. The platform opened access for Central Asian startups to joint programs, international venues, and global accelerators. Today, Azerbaijan is increasingly exploring participation in this ecosystem, gradually contributing to the formation of a unified technological space connecting Central Asia and the Caucasus.

Azerbaijan, in turn, is becoming a platform that connects different markets and innovation communities. Baku was recently named Startup City of the Year, while INMerge Ventures became one of the country’s first locally registered venture capital funds. The city is now emerging as a hub for dialogue between corporations, investors, and technology teams from across the broader region.

At INMerge, this evolving dynamic is described as an “innovation corridor.” It is not simply about neighboring countries collaborating — it is about creating a shared ecosystem where ideas, technologies, investments, and talent can move freely across borders.

From Local Startups to the Global Stage

For startups today, building a product is no longer enough. Founders also need access to investors, strategic networks, and international markets. This is why platforms like INMerge are becoming increasingly important across the region.

One of the clearest examples is the startup competition held in Tashkent. Winners receive not only visibility and recognition, but also the opportunity to present their projects at the final summit in Baku before international investors and major corporations. This model helps connect local ecosystems into a larger regional network, giving young startups a real opportunity for international growth.

The final stage of INMerge will take place on October 8–9 in Baku, bringing together startup founders, investors, corporate leaders, and government officials who are actively shaping the future of Central Eurasia’s innovation economy.

A region that until recently remained outside the global technology spotlight is steadily becoming a new center of growth. And today, INMerge is playing a key role in accelerating that transformation.

President of Mongolia to pay state visit to Uzbekistan

📅 22.06.2024

At the invitation of President of the Republic of Uzbekistan Shavkat Mirziyoyev, President of Mongolia Ukhnaagiin Khurelsukh will pay a state visit to our country on June 23-26.

In accordance with the program of the high-ranking guest's stay, it is envisaged to hold high-level talks in Tashkent, during which issues of further expansion and strengthening of Uzbek-Mongolian relations of friendship and multifaceted cooperation will be considered.

In particular, the agenda includes plans to develop constructive political dialogue and inter-parliamentary contacts, increase bilateral trade turnover, implement cooperation projects in mining, agriculture, livestock, light industry, healthcare, transport, logistics and other areas. Joint measures aimed at boosting cultural, humanitarian and tourist ties will also be discussed. There will be an exchange of views on international issues.

A package of intergovernmental and interdepartmental documents will be signed following the results of the summit.

As part of the program of the state visit, the leaders of the two countries will meet with representatives of leading companies and business circles, and a number of other bilateral events will be held.

Mongolian President Ukhnaagiin Khurelsukh will also visit Khiva, where he will familiarize himself with the rich cultural and historical heritage of our people.

ORGANIZATION OF TURKIC STATES: DYNAMICS OF DEVELOPMENT, ECONOMIC POTENTIAL AND STRATEGIC OPPORTUNITIES

📅 27.05.2026

Over the past five years, the Organization of Turkic States (OTS) has undergone a qualitative transformation, evolving into an effective mechanism for interregional cooperation.

The stability and effectiveness of this format are largely determined by the degree of development of its institutional architecture. Within the OTS, this architecture features a multi-tiered structure, comprising the Council of Heads of State, the Council of Ministers of Foreign Affairs, the Committee of Senior Officials, the Council of Elders and the Secretariat of the organization.

A powerful impetus to the development of the association was provided by the adoption in 2021 of the “Turkic Vision – 2040” strategy, which became the conceptual foundation for the formulation of sectoral roadmaps, action plans, and a system of long-term milestones. The implementation of this strategy has manifested most visibly in the areas of transport digitalization, customs procedures, investment cooperation, and educational exchange.

Special attention should be paid to the activities of the Parliamentary Assembly of Turkic States (TURKPA), within the framework of which efforts have intensified to harmonize legislative approaches in the fields of trade, transport regulation and humanitarian cooperation.

A significant impetus to the development of the OTS was provided by the active engagement of Uzbekistan in the organization's work. In the subsequent period, Tashkent became one of the key drivers in modernizing the OTS agenda. At the initiative of the President of the Republic of Uzbekistan, Shavkat Mirziyoyev, the promotion of projects in transport connectivity, industrial cooperation, digital transformation, and investment collaboration intensified. It is with the invigoration of Uzbek participation that many experts associate the organization's transition from a declarative stage to a phase of practical institutionalization.

The 2022 Samarkand Summit provided an additional symbolic and political impetus, during which decisions were made to establish the Turkic Investment Fund and institutionally expand the economic agenda. This stage solidified the evolution of the OTS toward forming a fully-fledged geo-economic space while preserving its cultural and historical foundation.

Concurrently, economic cooperation is steadily establishing itself as a key pillar of the OTS development. The combined demographic potential of the organization is estimated at approximately 178 million people, a significant portion of whom comprise a young, able-bodied population. The nominal GDP of the member states exceeds USD 1.8–1.9 trillion, while their total foreign trade turnover surpasses USD 1.1 trillion.

In recent years, interregional trade has demonstrated steady positive dynamics. According to estimates by the OTS Secretariat, mutual trade turnover among member states reached USD 22–23 billion, nearly doubling compared to the figures at the beginning of the decade.

Uzbekistan plays a notable role in this process. By the end of 2025, the Republic's trade volume with OTS countries exceeded USD 9 billion, whereas in 2019, this figure stood at approximately USD 4.2 billion. Thus, over a six-year period, the trade turnover has practically doubled.

A prime example is the Uzbek-Turkish industrial cooperation. The number of enterprises with Turkish capital participation in Uzbekistan has surpassed 2,000, while the total volume of joint investment projects is estimated at over USD 5 billion. A significant share of these projects is concentrated in the textile industry, building materials manufacturing, electrical engineering, and the food industry.

The specific significance of this interstate association is driven by its geo-economic location. The member states of the organization are situated at the strategic intersection of transport arteries linking East Asia, the South Caucasus, the Middle East and Europe.

Its central element is the Middle Corridor, which connects China, Central Asia, the Caspian region, the South Caucasus, Türkiye and onwards to European markets. Over the past three years, the route has demonstrated steady cargo traffic growth. By the end of 2025, shipment volumes along the corridor exceeded 4.5 million tons, whereas in 2021, they stood at less than 1 million tons.

A key driver of this growth has been the comprehensive modernization of port infrastructure. For instance, following its reconstruction, the Baku International Sea Trade Port now possesses the capacity to handle up to 15 million tons of cargo annually, including up to 100,000 containers, with future expansion potential reaching 25 million tons.

The acceleration of delivery timelines is of equally vital importance. While cargo transportation from China to Europe along this route previously required 40–50 days, the digitalization of document flows (e-CMR), the unification of pre-arrival customs declaration procedures, and infrastructure modernization have successfully reduced this timeframe to 18–23 days.

The creation of a trans-regional "green energy corridor" is emerging as a highly promising avenue of cooperation, envisaging the export of electricity generated from renewable sources in Central Asia and the South Caucasus toward Europe. Azerbaijan, Kazakhstan and Uzbekistan have intensified their coordination regarding the synchronization and construction of the necessary power transmission infrastructure.

At the same time, in the context of accelerating global digitalization, technological development is acquiring not only economic but also strategic importance, forming the foundation for enhancing the efficiency of interstate cooperation, modernizing industry, and strengthening infrastructural connectivity.

The combined volume of the digital economy of the member states already exceeds $110 billion, while the average annual growth rate of the sector in a number of countries stands at 12–18%, which is significantly higher than the global growth rates of traditional industry.

The strengthening of the OTS digital development track was reflected in the agenda of the informal summit held on May 15, 2026, in Turkistan, where artificial intelligence and digital development served as the central theme. This highlighted the organization's transition toward treating technological transformation as a high-priority area of strategic cooperation.

Uzbekistan is likewise demonstrating accelerated digital modernization. By the end of 2025, the country's export of IT services exceeded $1 billion, representing a nearly fivefold increase compared to 2020. Hundreds of companies operate through a network of specialized IT Parks, serving external markets, including the OTS member states. Within the framework of regional cooperation, the Republic actively promotes initiatives for the unification of digital services and the development of joint educational programs in high technology.

However, the effectiveness of these processes is largely determined not only by economic but also by humanitarian factors. In this regard, the OTS possesses a unique advantage, as it is built upon a deep historical and cultural commonality, linguistic proximity, and a shared civilizational heritage among the member states.

A pivotal role in this process is played by a network of specialized institutions, among which the International Turkic Academy, TURKSOY, TURKPA, and the Turkic Universities Union hold particular significance, ensuring the comprehensive development of humanitarian, scientific and educational cooperation.

These structures provide coordination for scientific research, the development of joint educational initiatives, the promotion of cultural heritage, and the expansion of inter-societal engagement.

Special attention is dedicated to the development of academic integration. Since 2025, dozens of academic exchange programs, including joint master's and doctoral tracks, have been implemented within the framework of inter-university cooperation among the OTS states. The number of students participating in educational mobility between the countries of the organization increases annually by an average of 18–22%.

A notable contribution to this process is made by leading universities, such as the Al-Farabi Kazakh National University, Ankara University, Samarkand State University, and the Kyrgyz-Turkish Manas University, which serve as key centers for personnel training and scientific support for integration processes.

Separate attention of the member states is directed toward expanding tourism potential. The cumulative tourism flow among the OTS states has increased by more than 35% over the past five years. A significant impact was delivered by the development of joint tourist routes, including pilgrimage, historical-cultural, and ethnographic programs.

In this context, "Cultural Capital of the Turkic World" program and the granting of this status to cities such as Khiva, Aktau, Turkmenbashi, and Shusha have contributed to a significant intensification of tourism exchange within the format.

Another factor driving tourism development has been the formulation of a unified tourism product, "Tabarruk Ziyorat," aimed at developing religious and educational tourism among Uzbekistan, Kazakhstan, Kyrgyzstan and Türkiye.

Looking ahead, the OTS possesses significant potential for further strengthening as a space for practical cooperation.

Crucial importance in this context will be attached to the deepening of economic cooperation by reducing non-tariff barriers and digitalizing trade and customs procedures, the further development of transport and logistics connectivity - primarily within the framework of the Middle Corridor - the expansion of technological collaboration focused on the development of the digital economy and joint innovation platforms, as well as the strengthening of expert-analytical, academic and educational interaction.

On the whole, deepening cooperation across key areas will serve to strengthen the role of the OTS as one of the most promising frameworks ensuring the development and resilience of Central Asian nations.

In this context, the informal OTS summit held in Turkistan stands as a crucial milestone in advancing this agenda, reaffirming the commitment of the member states to expanding practical cooperation and defining new benchmarks for joint development, primarily in digital transformation and technological collaboration.

Proposals to improve the quality of education considered

📅 19.06.2024

President Shavkat Mirziyoyev familiarized himself with the proposals on improving the quality of pre-school and school education and the system of professional development of teachers.

Students' interest in subjects and their academic performance largely depend on the knowledge and skill of teachers. Therefore, necessary conditions are being created for teachers' professional development and the system of knowledge assessment is being improved.

The responsible persons reported on the developed proposals in this sphere.

It was noted that a new certification system based on advanced technologies has been introduced. More than 190 thousand teachers took part in it, 51 thousand teachers were promoted to the new category based on the results.

It was emphasized that it is necessary to constantly stimulate the increase in the number of professional and self-educated teachers in schools.

It was proposed to increase the salaries of teachers with the highest and first qualification category from September 2025.

It was instructed to develop and implement a separate professional development program for teachers who have not been certified and do not have sufficient experience.

In this process, it is necessary to make full use of the possibilities of professional development centers and teacher training colleges. To this end, based on the experience of the Presidential Schools, a system of professional development for the heads and teachers of kindergartens and schools will be organized at the Abdullah Avloni National Research Institute with a frequency of every 5 years.

A task has been set to transfer 11 pedagogical colleges in the regions under the authority of the Centers of Professional Development and attract trainers from abroad.

It was informed that kindergartens and schools, technical schools and "Barkamol Avlod" school will be established on the basis of teacher training colleges with low workload.

In order to disseminate best practices, the evaluation system of Presidential Schools was introduced in 500 schools last year. As a result, student achievement in these schools increased from 53 percent to 59 percent. A bonus of up to 40 percent has been set for school leaders and teachers of high-performing schools.

In this regard, starting from the new school year, this evaluation system will be applied in another 1,000 schools. They will be assigned to 182 specialized schools and 500 schools that have tested the system.

Also 270 schools will be equipped with interactive whiteboards, 365 schools will be provided with computer classes.

The presentation also considered a proposal to establish the National Institute of Pedagogy of Education on the basis of the Research Institute of Pedagogical Sciences of Uzbekistan named after Kary-Niyazi. The new institute will be entrusted with the tasks of strengthening makhalla-parents-school cooperation, creating educational literature for parents and children, and scientific research of didactic views of the Jadids. Activity of the Academic Council on 5 specialties will be organized, as well as training of personnel in master's and doctoral studies.

In addition, the issues of introducing international methods in the schools of sportsmanship of Bakhodir Jalolov and Oksana Chusovitina, improving the quality of education and training were touched upon.

The head of state gave instructions on improving the quality of teachers' training, organizing a fair system of evaluation and incentives.

The first meeting of the Termez Dialogue on Connectivity between Central and South Asia to take place in Termez from May 19 to 21

📅 16.05.2025

The first meeting of the Termez Dialogue on Connectivity between Central and South Asia, dedicated to the theme "Building a Common Space for Peace, Friendship, and Prosperity," will be held in Termez on May 19-21, 2025. This meeting is expected to be attended by representatives of the foreign policy agencies of Central and South Asian countries, which are becoming the focus of world politics, as well as representatives of specialized UN organizations, international and regional organizations such as the CIS, the SCO, the CICA, and leading specialists and experts in relevant fields.

Central and South Asia have long been connected by reliable trade routes and have served as a bridge between the countries of the Middle East, Europe, and China. The peoples of this region share historical and civilizational commonalities, having repeatedly existed within common state associations in the past, as well as within a single political, economic, and humanitarian space. Over many centuries, relations between the two regions have been strengthened by numerous migration flows, intensive trade exchanges, rapid dissemination of scientific ideas, and cultural cross-pollination.

As a result of the spread of Zoroastrianism, Hinduism, Buddhism, and Islam in these regions, unique ethnocultural associations formed, which left a deep mark on human history.

The incorporation of the peoples of this region into such states as the Bactrian and Kushan kingdoms, the Turkic Khaganate, Khorasan and Transoxiana, the Ghaznavid, Timurid, and Mughal empires had a great influence on their historical, cultural, and political development. Common customs, traditions, lifestyles, and holidays were formed; spiritual values were created in Persian, Turkish, and Arabic. Medieval cities such as Bukhara, Samarkand, Termez, Balkh, Herat, Ghazni, Agra, and Delhi were shared centers of science.

The mutual competition of colonial powers negatively affected the traditional ties, trade, and cultural exchange of the peoples of Central and South Asia. Trade and economic relations in South Asia changed, and local supply systems, main industries, and economies became dependent on supplies from outside the region. This development weakened the traditional cultural ties between South Asia and Central Asia.

Today, jointly addressing existing problems that threaten peace and stability in the region is one of the important factors in the social, cultural, and economic development of these countries. Therefore, the renewal of their close historical ties is becoming increasingly relevant. Taking the above into account, the Termez Dialogue on the Connectivity between Central and South Asia is being organized.

The location chosen for the dialogue is connected to the geostrategic position of this city, situated at the crossroads of Central and South Asia, or at the intersection of interregional connectivity routes. Termez has long been a center of trade, economy, and crafts, serving as a link between the vast regions of Central and South Asia. Therefore, from a geopolitical perspective, the city can be considered a "natural bridge" connecting Central and South Asia, the most suitable place for bringing the peoples of the region closer together through its historical location and cultural heritage.

Currently, the countries of Central and South Asia represent a territory of global significance, with a population of more than 2 billion people and great educational potential. The region is experiencing high demographic growth, with the majority of the population consisting of young people, and there are enormous opportunities for realizing intellectual potential. While the population of South Asian countries is about 2 billion people, the number of people living in Central Asia is about 82 million, and the population of Central Asian states is growing year by year. The countries exhibit a "disparity in literacy levels." For example, among the leading countries of Central Asia, the average adult literacy rate is 99 percent, while in South Asia it is 74 percent.

One of the pressing problems is the uneven quality of education, insufficient coverage of preschool and higher education, especially among girls and residents of remote areas. In South Asia, youth unemployment remains high, and in some countries, this figure exceeds 40 percent. At the same time, the employment rate of women is one of the lowest in the world. In addition, the infrastructure of educational systems is not sufficiently developed, and the shortage of specialists and teacher qualifications also creates a number of problems.

In this context, cooperation in the field of science and education is becoming increasingly relevant. Scientific cooperation in the context of digitalization and geopolitical instability will allow for maintaining dialogue between academic circles. At the same time, limited academic mobility and weak coordination between scientific communities significantly hinder the development of states' potential in science, innovation, and technology.

In this regard, it is necessary to encourage joint research and innovation work, the organization of scientific and educational internships, experience exchange programs, the development of startups, and the holding of competitions.

The adoption of a joint program of academic and research exchanges under the auspices of UNESCO is becoming relevant. It is also necessary to launch an online platform between universities and research structures of the countries of Central and South Asia.

This will contribute to the creation of a sustainable regional network of scientific diplomacy, the formation of a common agenda in the field of education and technology, and the emergence of a unified scientific space.

The above-mentioned steps will serve as a powerful tool for the development of scientific diplomacy, which will facilitate interaction between the countries of the two regions.

From this point of view, the integration of intellectual resources in Central and South Asia, strengthening cooperation in the field of education, and developing cooperation platforms to improve the quality of education are important for the future of the region. The transformation of demographic potential into human capital is the main condition for sustainable development, economic growth, and a worthy place in global competition for both regions. In this regard, the development of education as one of the priority areas of regional cooperation, the development of partnerships for the exchange of experience and training of personnel in various countries is most relevant.

The countries of the region, in particular India and other South Asian countries, have in recent decades been occupying an increasingly prominent place in the world community in the field of science, technology, and innovation. Information technology, aeronautics, pharmaceutical production, and artificial intelligence are rapidly developing in India. For example, in 2014, the Indian Space Research Organisation (ISRO) made history as the first Asian country to launch an artificial satellite into Mars orbit. In 2023, as part of the "Chandrayaan-3" project, a successful landing on the Moon's surface was achieved. These results demonstrate the country's independent and innovative capabilities in the scientific field.

In the field of information technology, India has become one of the world's largest IT outsourcing centers. Cities such as Bangalore, Hyderabad, Pune, and Chennai have become major hubs for Google, Microsoft, Amazon, IBM, Oracle, and many other multinational corporations. Every year, millions of specialists in technical and technological fields are trained in the country. Among India's higher education institutions are prestigious scientific centers like the Indian Institutes of Technology (IITs) and Indian Institutes of Science (IISc), which also rank highly in global ratings. It's worth noting that scientific research in artificial intelligence, bioengineering, quantum computing, and cybersecurity is widespread in the country.

Pakistan is also making progress in science, especially in nuclear energy and military technologies. Centers such as COMSATS University and the Pakistan Institute of Engineering and Applied Sciences (PIEAS) play a crucial role in the country's scientific development. In particular, government programs are being implemented to strengthen international cooperation in IT and cybersecurity.

In Bangladesh, alongside the textile and light industry, information technology is developing rapidly. Based on the "Digital Bangladesh" strategy, the country has widely implemented e-government, digital, and distance learning services. In 2021, over 120 IT parks were established in Bangladesh, demonstrating the country's commitment to digitalizing its economy.

Afghanistan's scientific and technological potential remains limited, and issues related to political stability are hindering its development. Nevertheless, some universities and educational institutions in the country, particularly Kabul University, participate in scientific projects with the support of various international educational organizations.

In this context, developing a joint strategy for digital connectivity between Central and South Asia is crucial. Adopting such a document will create significant opportunities for stimulating trade and investment, improving access to education and healthcare, strengthening regional cooperation, and increasing competitiveness on the global stage.

Coordinating efforts of Central and South Asian countries to widely implement the digital economy will contribute to improving digitalization processes in all spheres of life. Moreover, this will advance the implementation of the SDG initiative to ensure safe Internet access for the population and will open up great opportunities for education and medical services.

Overall, deepening digital connectivity between Central and South Asia will bring significant economic and social benefits to both regions, create a solid foundation for expanding trade, economic, energy, and transport links, and enhance the competitiveness of the region's states on the global arena.

In general, the Termez Dialogue is an important initiative that contributes to elevating the interaction between Central and South Asian states to a new level in the process of today's geopolitical and civilizational transformations. This dialogue, particularly in the fields of education, science, and new technologies, will stimulate, consolidate, and expand the intellectual potential of the two regions. This is because in both regions, the majority of the population consists of young people who show high interest in education, are capable of scientific research, and quickly adapt to digital technologies.

Today, countries such as India, Pakistan, and Bangladesh have achieved world-class successes in information technology, biotechnology, nuclear physics, medicine, and artificial intelligence, while Uzbekistan, Kazakhstan, and other Central Asian countries are also taking active measures to update scientific infrastructure, expand international cooperation, and implement modern educational projects. The Termez Dialogue is a unique opportunity to combine this experience and achievements, establish student and scholar exchanges, create joint research centers, and develop startups and innovative platforms in IT and STEM.

This dialogue has great historical significance in ensuring regional stability, creating a foundation for peace, progress, and intellectual development through science and education. The states of Central and South Asia have the potential to become the leading intellectual center in the entire Eurasian space based on the principle of mutual trust and shared future, integration in the spheres of education and science.

Uzbekistan and the Republic of Korea in the Emerging Framework for Cooperation with Central Asia

📅 12.09.2026

Three decades of dialogue between Uzbekistan and the Republic of Korea have built a strong foundation of trust, supported by cooperation ranging from major industrial facilities and modern healthcare to education programs and digital government. Today, this partnership is moving to the next level.

The Central Asia–Republic of Korea format offers an opportunity to combine bilateral achievements with the scale of the five countries’ collective market, moving from individual projects toward integrated technology value chains, joint raw material processing, and workforce development for the new economy.

A Partnership That Has Stood the Test of Time

Uzbekistan and the Republic of Korea established diplomatic relations in January 1992. From the outset, ties developed through regular political dialogue at the highest level. A series of reciprocal presidential visits in the 1990s and 2000s established the legal framework for cooperation, opened the door to Korean investment, and strengthened cultural and people-to-people ties. Relations were elevated to a strategic partnership in 2006, and in 2014 the two countries reaffirmed their commitment to further developing and deepening that partnership.

This foundation gave rise to projects that became symbols of bilateral cooperation. One of the most prominent is the Ustyurt Gas Chemical Complex, an approximately $4 billion facility commissioned in 2016. It demonstrated the ability of Uzbekistan and Korean companies to jointly deliver capital-intensive, technologically complex projects, extending cooperation beyond equipment supplies and trade in finished goods.

A new phase began with President Shavkat Mirziyoyev’s state visit to Seoul in November 2017. The visit resulted in a Joint Declaration on the Comprehensive Deepening of the Strategic Partnership and more than 60 documents. The agenda covered e-commerce, support for Uzbekistan’s accession to the World Trade Organization, a knowledge-sharing program, financing from the Export-Import Bank of Korea, and cooperation with Uzbekistan’s Fund for Reconstruction and Development.

The President of Uzbekistan proposed establishing a Korean Business Center as a permanent platform to support businesses and investment projects. Even then, it was clear that relations needed to rest not only on government contacts but also on lasting institutional support for business cooperation.

President Moon Jae-in’s reciprocal state visit to Tashkent in April 2019 marked a major step forward, as the two countries announced a special strategic partnership. The package of agreements and projects exceeded $12 billion, covering investment protection, science and innovation, the peaceful use of outer space, healthcare, energy, mechanical engineering, textiles, and pharmaceuticals.

During President Shavkat Mirziyoyev’s next state visit to the Republic of Korea in December 2021, the agenda centered on three priorities: green development, digitalization, and stronger social protection. His initiatives included establishing an Uzbek–Korean semiconductor and electronics cluster in Tashkent Region that would combine manufacturing, research, and specialist training; creating a regular dialogue between universities and a forum of rectors; and expanding programs run by the Korea International Cooperation Agency (KOICA).

The lending ceiling under the Economic Development Cooperation Fund (EDCF) was increased to $1 billion for the period through 2023.

The state visit of President Yoon Suk Yeol of the Republic of Korea in June 2024 brought the partnership’s technological focus into sharper relief. The two sides agreed to develop strategic cooperation in critical minerals, renewable energy, transport, agriculture, healthcare, pharmaceuticals, and education. A new package of investment agreements worth $9.6 billion was assembled, while the EDCF lending ceiling for 2024–2027 was raised to $2 billion.

At their meeting in New York in September 2025, President Shavkat Mirziyoyev and President Lee Jae Myung of the Republic of Korea agreed to prepare a long-term program for technological and industrial partnership. Building on earlier cooperation, the proposed program would cover advanced processing of critical raw materials, chemicals, mechanical engineering, agriculture, transport, aviation, and biotechnology.

The Evolution of the Central Asia Plus Format

Today’s challenges increasingly require solutions that extend beyond national borders. Transport corridors do not end at border checkpoints, resilient supply chains depend on multiple interconnected links, and major investors need market scale and compatible regulatory frameworks. The Central Asia Plus format is therefore becoming an increasingly practical tool for development.

This trend has already taken shape as an established framework for cooperation. The C5+1 dialogue between the United States and the five Central Asian countries has operated since 2015 and reached the leaders’ level for the first time in September 2023. In April 2025, Samarkand hosted the first Central Asia–European Union summit, where relations were elevated to a strategic partnership and a €12 billion Global Gateway investment package was announced.

In December 2025, Tokyo hosted the first Central Asia Plus Japan leaders’ summit, although the dialogue itself dates back to 2004. The Republic of Korea has engaged with the region through a multilateral format since 2007. This mechanism is now also being elevated to the highest political level.

The first Central Asia–Republic of Korea summit is scheduled for September 16, 2026, in Seoul. The five countries of the region offer an interconnected market, shared transport routes, and complementary industrial capabilities. Four areas are of particular interest for bilateral discussions: transport and logistics; water, energy, and climate; critical minerals; and digital standards, education, and the mobility of skilled professionals.

The forthcoming summit’s agenda already reflects this logic. Discussions are being prepared on industrial cooperation, critical minerals, artificial intelligence, digital manufacturing, energy, and supply chain resilience. The Republic of Korea has also proposed regular C5+Korea meetings of industry ministers and a business summit.

Central Asia’s Trade with the Republic of Korea

The economic foundations for taking trade to the next level are already in place. According to calculations by the Center for Economic Research and Reforms (CERR), trade between Central Asian countries and the Republic of Korea grew by a factor of 1.7 between 2017 and 2025, reaching $5.7 billion. The region’s exports totaled approximately $1 billion, while imports amounted to $4.7 billion.

Trade has expanded considerably but remains uneven. Central Asia mainly purchases Korean machinery, equipment, vehicles, electronics, chemicals, and pharmaceuticals, while its own presence in the Korean market remains limited.

Kazakhstan accounted for $3.2 billion, or approximately 56% of the region’s trade with Korea, and Uzbekistan for $1.7 billion, or just over 30%. Together, the two countries represented approximately 87% of Central Asia’s trade with Korea. Trade with Kyrgyzstan, Tajikistan, and Turkmenistan amounted to $508 million, $196 million, and $45.2 million, respectively.

Investment flows also point to the availability of capital for the next stage of cooperation. In 2025, total direct investment and loans from the Republic of Korea to the region exceeded $1.5 billion. Kazakhstan received approximately $1 billion and Uzbekistan $474.5 million. More than 1,700 enterprises with Korean capital operate across Central Asia.

Uzbekistan’s Trade with the Republic of Korea

In 2025, trade between Uzbekistan and the Republic of Korea totaled $1.7 billion. Korea ranked fifth among Uzbekistan’s trading partners in both total trade and imports. Since 2017, bilateral trade has increased by 25.2%, or $350.2 million.

Exports and imports, however, moved in opposite directions. Uzbekistan’s exports declined from $143.3 million to $61.7 million, while imports from Korea rose from $1.2 billion to $1.68 billion. This gap largely reflects the investment-driven nature of the relationship: Uzbekistan imports equipment and production lines to modernize its industries. In 2025, machinery and transport equipment accounted for 60.7% of imports from Korea, chemicals for 12.8%, and manufactured goods and finished products for more than 16%. In other words, a substantial share of the trade deficit is associated with upgrading production capacity rather than importing consumer goods.

Services accounted for 67.6% of Uzbekistan’s exports to Korea in 2025, followed by raw materials at 13.6%, food products at 5.3%, and finished goods, including textiles, at 3.7%.

Meanwhile, preliminary figures for the first half of 2026 show that bilateral trade increased by 11.5% to $940 million. Exports rose by 21.6% to $33.3 million, while imports grew by 11.2% to $906.8 million.

The potential to expand exports is substantial. The Republic of Korea imports hundreds of billions of dollars’ worth of goods each year, including clothing, cables and wires, footwear, jewelry, polymers, plastics, fertilizers, cotton fabrics, copper pipes, home textiles, nuts, and fresh fruit. Uzbekistan already has an established production base in many of these categories. The constraints often lie in meeting quality certification requirements, order volumes, packaging standards, and delivery schedules. These factors need to be taken into account when developing future export strategies.

Investment with Room to Grow

As of August 1, 2026, Uzbekistan was home to 730 enterprises with Korean capital, including 186 joint ventures and 544 wholly Korean-owned companies. Between 2016 and 2025, direct investment and loans from Korea approached $2 billion, with $474.5 million received in 2025 alone.

Korean investors are active in oil and gas, chemicals, automotive manufacturing, textiles, pharmaceuticals, agriculture, energy, healthcare, transport, construction, and services.

The next phase of investment could build on this foundation by expanding local production, training engineers, and developing industrial clusters. Korean expertise can help establish standards, while the regional market provides the scale needed to launch major new industrial projects and joint production initiatives.

Artificial intelligence could play a particularly important role. Joint pilot projects between Korean technology companies and Uzbek enterprises could quickly demonstrate measurable economic benefits and subsequently be scaled up across other Central Asian countries.

The same logic applies to critical minerals. Central Asia needs to move beyond raw material supplies by developing geological exploration, mineral processing, and the production of high-purity materials and components. Joint projects could combine Korean technology and financing with the region’s resource base.

Bilateral and regional cooperation should be deliberately developed as complementary tracks. The Uzbekistan–Republic of Korea format is well suited to launching targeted local projects, while the Central Asia–Republic of Korea format offers a more effective platform for coordinating transport corridors, supply chains, cross-border standards, and projects that require access to all five markets.

Success at either level reinforces the other: strong national projects can serve as models for the wider region, while regional scale enhances their commercial appeal.

Conclusion

Relations between Uzbekistan and the Republic of Korea are entering a phase in which accumulated trust must translate into a more technologically advanced and diversified economy. Over three decades, the two countries have progressed from establishing diplomatic relations to building a special strategic partnership, delivering major industrial and social infrastructure projects and fostering trust at the highest political level.

The forthcoming Central Asia–Republic of Korea summit could bring regional scale to this progress. It offers an opportunity to turn natural resources into advanced materials, a strategic transit location into efficient logistics services, and a young population into a strong base of human capital. With the region’s most extensive history of cooperation with Korea, Uzbekistan can both benefit from the new format and help shape its agenda and serve as a major center for its implementation.

Developing transport services, industrial zones, and export infrastructure will enable Korean companies to operate across several countries in the region, while helping Uzbek enterprises join international supply chains and enter new markets.

Edvard Romanov
Center for Economic Research and Reforms

Proposals for the development of environmental protection and tourism were considered

📅 20.09.2024

Prezident Shavkat Mirziyoyev 19-sentabr kuni atrof-muhitni muhofaza qilish va turizm sohalaridagi takliflar taqdimoti bilan tanishdi.

Hozirgi kunda havoni musaffo saqlash, ekologik hodisalarning ta'sirini kamaytirish tobora dolzarb bo'lib bormoqda. Shu bois bu borada ikkita dastur ishlab chiqildi.

Birinchisi - Chang bo'ronlariga qarshi kurashish va ularning oqibatlarini yumshatish bo'yicha 2024-2030-yillarga mo'ljallangan milliy dasturdir. Bu hujjatda “Yevro-4” standartidan past toifadagi yoqilg'ini sotish va undan foydalanishni bosqichma-bosqich to'liq taqiqlash nazarda tutiladi. Buning uchun Buxoro va Farg'ona neftni qayta ishlash zavodlari yuqori sifatli yoqilg'i ishlab chiqarish bo'yicha modernizatsiya qilinadi.

Ikkinchisi - Toshkent shahrida atmosfera havosi sifatini yaxshilashga qaratilgan chora-tadbirlar dasturi bo'lib, unga ko'ra, kelgusi 5 yilda poytaxtimiz va unga tutash Toshkent viloyati tumanlarida 441 gektar “yashil belbog'” va bog'lar tashkil qilinadi.

Sanitar tozalash ishlarini tartibga solish maqsadida mavjud markaz negizida Chiqindilarni boshqarish va sirkulyar iqtisodiyotni rivojlantirish agentligini tuzish taklif etilmoqda. Sanitar tozalash korxonalarining samaradorlik ko'rsatkichlariga qarab, uchta toifaga ajratgan holda reyting tizimi joriy qilinadi.

Yangi quriladigan, balandligi 12 metrdan yoki umumiy maydoni 500 kvadrat metrdan ortiq bo'lgan binolarni loyihalashtirishda unga tutash hududlarning kamida 25 foizini ko'kalamzorlashtirish talabi qo'yiladi. Shuningdek, atrof-muhitga zarari ko'p sanoat korxonalari ham “yashil belbog'”lar barpo etish majburiyatini oladi.

Ekologik huquqqbuzarliklarning oldini olish, bu borada jamoatchilik nazoratini kuchaytirish masalalariga ham e'tibor qaratildi. Faol va jonkuyar insonlarni rag'batlantirish maqsadida “O'zbekiston Respublikasida xizmat ko'rsatgan ekolog” faxriy unvonini ta'sis etish taklifi bildirildi.

Atrof-muhit bilan bog'liq bo'lgan masalalar bo'yicha qarorlar qabul qilish jarayonida jamoatchilikning axborot olish imkoniyati, ishtiroki va odil sudlovga erishishish imkoniyati to'g'risidagi Orxus konvensiyasiga qo'shilish masalasi ko'rib chiqildi.

Ma'muriy javobgarlik to'g'risidagi kodeksga qurilish maydonlarida atmosfera havosini muhofaza qilish talablariga rioya qilmaslik bo'yicha modda kiritish maqsadga muvofiqligi aytildi. Shuningdek, daraxtlarni kesish va qasddan quritish, daryo o'zanlaridan noqonuniy qum-shag'al qazib olish, chiqindilarni belgilanmagan joylarga tashlash kabilar uchun jarimalarni oshirish va qat'iylashtirish choralari ko'riladi.

Vazirlar Mahkamasining 2019-yil 27-maydagi qarori bilan respublikada ekologik markirovkalash tizimi joriy etilgan. Endi ISO 14024 xalqaro standartiga muvofiq, “Yashil belgi” nomi ostida mahsulot va xizmatlarni ixtiyoriy ekologik markirovkalash yo'lga qo'yiladi. 2 ming 336 ta xo'jalik yurituvchi subyektlarda avtomatik monitoring stansiyalari, chang-gaz tozalash uskunalari va suv tozalash inshootlarini o'rnatish bo'yicha tarmoq jadvallari tasdiqlanadi.

Ekologiya vazirligi huzurida jamoatchilik nazorati ostida boshqariladigan va yuridik shaxs maqomiga ega bo'lmagan “Yashil xayriya jamg'armasi” tashkil etiladi. Elektron xarid ilovalarida “Yashil to'lov” ixtiyoriy ustama turi ochiladi.

Sohadagi yana bir muammo yovvoyi hayvonlarni asrash bilan bog'liq. Ularni xonadonlarda boqish huquqiy jihatdan tartibga solinmagan. Shu bois endi yovvoyi hayvonlarni uy sharoitida, sirk va shapitolarda saqlash hamda tomoshalarda foydalanish taqiqlanadi. Jismoniy shaxslar ixtiyoridagi hamda sirklarda saqlanuvchi bunday jonzotlar hayvonot bog'laridagi reabilitatsiya markazlariga, okeanariumlar, pitomnik va ilmiy-tadqiqot muassasalariga topshirilishi belgilanmoqda.

Taqdimotda tibbiy turizmni rivojlantirish chora-tadbirlari ham muhokama qilindi.

Shu maqsadda O'zbekiston bu yo'nalishda Markaziy Osiyoning “chorlovchi nuqtasi” sifatida targ'ib qilinadi. “Tibbiy xizmatlar mehmondo'stligi” dasturi amalga oshiriladi. Tibbiy va sog'lomlashtirish muassasalari faoliyati rag'batlantirilib, ularning yagona reyestri ishga tushiriladi. Mehmonxonalar kabi yulduzli sanatoriylar faoliyati yo'lga qo'yiladi.

Davlatimiz rahbari bular bo'yicha hujjat loyihalarini puxta ishlab chiqish va ijrosini samarali tashkil etish bo'yicha ko'rsatmalar berdi.

ON THE STATUS OF THE HOST COUNTRY AND A NEW PHASE OF INTERNATIONAL CULTURAL COOPERATION

📅 12.08.2026

Sport represents one of the most effective instruments for enhancing a nation’s image and visibility on the global stage. A country that consistently prioritizes the development of this sector achieves sustainable and measurable results over time. Such achievements are reflected through the dedication, professionalism, and patriotism of its citizens. At the same time, success in this field requires not only talent and perseverance, but also comprehensive state support and an enabling institutional environment. Under these conditions, the younger generation is empowered to pursue its goals with confidence and determination.

Occasions when the national flag is raised and the national anthem is performed at international arenas serve as profound expressions of national pride and dignity. In this context, sport constitutes an important unifying factor that embodies shared values and collective aspirations.

The World Nomad Games represent a unique international sports and cultural initiative that reflects these principles. Since their inception in 2014 in the Kyrgyz Republic, the Games have steadily evolved into a significant international platform. Subsequent editions held in 2016 and 2018 in Kyrgyzstan, as well as in 2022 in the Republic of Türkiye, have demonstrated consistent growth in both scale and international recognition.

The forthcoming hosting of the VI World Nomad Games in the Republic of Uzbekistan constitutes a major milestone. This event not only represents an important development in the field of sport, but also serves as a clear indication of the country’s growing international standing and engagement.

It should be emphasized that the World Nomad Games extend beyond the framework of sporting competition. They represent an integrated platform combining sport, culture, and knowledge. In this regard, Uzbekistan’s role as the host country provides an opportunity to present its rich historical heritage and cultural identity to the international community in a contemporary and compelling manner. The territory of Uzbekistan has historically been a crossroads of civilizations, where diverse cultures, traditions, and peoples have interacted for centuries.

Ancient caravan routes, equestrian traditions, national wrestling, and elements of oral heritage constitute an integral part of this legacy. The World Nomad Games contribute to the preservation and revitalization of these traditions.

At the same time, this initiative serves as an important platform for strengthening international cultural cooperation. In particular, during the 23rd Meeting of Ministers of Culture of the Shanghai Cooperation Organization member states, held in July 2026 in Cholpon-Ata (Kyrgyz Republic), key issues related to the development of cultural and humanitarian cooperation were thoroughly discussed. A number of initiatives were advanced to expand collaboration in the fields of theatre, cinema, music, museum studies, and the safeguarding of intangible cultural heritage.

Such multilateral dialogue and coordinated initiatives significantly enhance the substance and long-term impact of major international projects such as the World Nomad Games. These initiatives function not only as sporting events, but also as platforms for intercultural dialogue and mutual understanding among nations.

The project also possesses considerable economic and tourism potential. The participation of international athletes, experts, and visitors contributes to raising global awareness of Uzbekistan’s cultural heritage and contemporary development. This, in turn, supports the promotion of national tourism, traditional crafts, and creative industries.

Moreover, the World Nomad Games provide an important opportunity to further showcase Uzbekistan’s cultural heritage on the international stage. Hosting such a large-scale event underscores the country’s cultural capacity and its commitment to preserving and promoting its historical legacy within the global cultural landscape.

In conclusion, the Republic of Uzbekistan continues to demonstrate an active and constructive role not only in the field of sport, but also in the sphere of cultural diplomacy. The upcoming World Nomad Games are expected to serve as a significant affirmation of these efforts and to further strengthen international cultural cooperation.

Preliminary results of parliamentary elections in Uzbekistan announced

📅 28.10.2024

The text of the article is in Uzbek!

The President of Uzbekistan noted the importance of adopting a long-term program of strategic partnership with FAO

📅 06.09.2024

President of the Republic of Uzbekistan Shavkat Mirziyoyev met with Director General of the Food and Agriculture Organization of the United Nations (FAO) Qiu Dongyu on September 5.

The head of the authoritative branch structure of the United Nations system is in Tashkent within the framework of the ongoing International Forum on Food Security and Sustainable Development Goals for Landlocked Countries.

At the beginning of the meeting, the UN High Representative expressed his deep gratitude to the head of our state for supporting the successful holding of the forum, which is attended by representative delegations from more than 30 countries of the world.

In the course of the conversation, the sides considered issues of further expanding the strategic partnership between Uzbekistan and FAO in effectively responding to contemporary challenges and threats.

The sides noted with satisfaction the fruitful results of practical interaction achieved in recent years. Thus, the qualitative indicators of implementation of the country cooperation program for the period until 2025 have doubled.

There are 34 projects in the active phase of implementation. Over the last year, 7 new projects were launched, including in the field of agriculture, school feeding, veterinary medicine, agrochemistry and other spheres.

The importance of preparation and adoption of a new five-year partnership program was emphasized.

Special attention was paid to promising joint projects and activities in the field of digitalization of the agro-industrial complex, exchange of advanced knowledge and experience, attraction of innovations and investments in improving the fertility of the land fund, cultivation and processing of organic agricultural products, modernization of irrigation systems, creation of modern clusters and logistics centers, research and development.

There was also an exchange of views on the global and regional situation related to food security.

Central Asia and Azerbaijan: Strategic Partners Building a Green Energy Hub Together

📅 21.07.2026

In recent years, cooperation between Central Asia and Azerbaijan in the energy sector has entered an entirely new phase. This progress is primarily the result of the wise policies pursued by the countries’ leaders, based on mutual trust, friendship, and good-neighborly relations. Thanks to this strong political will, major energy initiatives that were once viewed only as future prospects have now moved into the implementation stage, becoming important projects serving Central Asia’s sustainable development and contributing to the global green transformation.

Today, Central Asia is no longer a field of competition in the energy sector; rather, it is increasingly becoming a space for cooperation based on mutual trust, shared interests, and the principles of sustainable development. This process is gaining practical significance thanks to the forward-looking policies, open dialogue, and constructive approach of the countries’ leaders.

Energy security, the rational use of water and energy resources, coordination of electricity systems, and the rapid development of renewable energy sources have become key priorities of regional cooperation. The emerging regional architecture is creating new opportunities not only for meeting domestic demand but also for participation in international energy markets.

The countries of Central Asia have established mechanisms for continuous dialogue in the fields of energy and water management. Regular working meetings among the ministries of energy and water resources of Uzbekistan, Kazakhstan, Kyrgyzstan, and Tajikistan play an important role in ensuring the stable operation of electricity systems, the efficient use of water resources, the coordination of seasonal loads, and the uninterrupted supply of energy to households and industry.

Within this framework, the strategic partnership between Uzbekistan and Kazakhstan occupies a special place. The national energy systems of the two countries are closely interconnected, and practical cooperation in coordinating electricity flows, maintaining capacity balances, and ensuring the reliable operation of the unified energy system continues to develop steadily. Regular dialogue at the level of heads of state has further strengthened this cooperation and transformed it into an important integration factor for the entire region.

The countries’ goals in the field of renewable energy are also closely aligned. In recent years, Uzbekistan has accelerated the development of green energy, implementing large-scale programs to build solar and wind power plants, energy storage systems, and modern electricity networks. Kazakhstan is likewise consistently advancing reforms aimed at developing a green economy and reducing carbon emissions. Kyrgyzstan and Tajikistan, with their substantial hydropower potential, make a significant contribution to regional energy security. Meanwhile, Turkmenistan is implementing important initiatives to modernize its energy infrastructure and expand electricity exports.

Today, the common objective of the Central Asian countries extends beyond the development of their national energy systems. The primary task is to establish a single regional energy space that is interconnected, competitive, environmentally sustainable, and open to external markets. In this context, Azerbaijan’s participation broadens the geographic scope of cooperation and creates a strategic corridor linking Central Asia with Europe.

 

The Green Corridor: A Strategic Bridge Linking
Central  Asia and Europe

The high level of political trust achieved among the Central Asian countries is now being translated into practice through major transnational energy projects. Among the most significant is the Green Corridor initiative, being implemented by Uzbekistan, Kazakhstan, and Azerbaijan.

This project will elevate regional energy cooperation to an entirely new level by connecting Central Asia to the European energy system through the Caspian Sea. It will create opportunities to export environmentally friendly electricity generated in the region to international markets.

The strategic partnership agreement signed in Baku during COP29 in November 2024 provided a solid legal foundation for this initiative. Subsequently, cooperation among national electricity grid operators was established, and the Green Corridor Alliance LLC was created. Currently, the Italian company CESI is conducting the project’s feasibility study.

The Green Corridor is not merely an export route; it is a strategic platform for creating an integrated electricity market in Central Asia. The project will strengthen interconnections among national power systems, facilitate more efficient use of renewable energy resources, and create new opportunities for attracting investment.

This initiative is a practical expression of the strategic partnership between Uzbekistan, Kazakhstan, and Azerbaijan and will help transform Central Asia into an important link in the global green energy value chain.

 

Kambarata HPP-1: A Project for Regional Energy Security

Another important example of energy integration in Central Asia is the construction of Kambarata HPP-1.

Thanks to the political support of the Presidents of Uzbekistan, Kazakhstan, and Kyrgyzstan, as well as the coordinated efforts of the governments of the three countries, this project has finally moved from decades of discussion to practical implementation.

With a planned capacity of 1,880 MW, the hydropower plant is not merely a major energy facility. It will contribute to maintaining the water-energy balance in Central Asia, improving the reliability of electricity supply, managing seasonal demand more effectively, and ensuring the rational use of water resources in the context of climate change.

The project will also bring new investment, modern infrastructure, and thousands of jobs to the economies of the three participating countries. The involvement of the World Bank further confirms the project’s international significance and economic viability.

 

Central Asia: A New Global Hub for Green Energy

Today, the countries of Central Asia are demonstrating an entirely new model of development in the energy sector. Competition is being replaced by trusted cooperation, while rivalry over resources is giving way to integration based on shared interests.

Regular dialogue among Uzbekistan, Kazakhstan, Kyrgyzstan, Tajikistan, and Turkmenistan is helping to ensure the stable functioning of the unified energy system, coordinate water and energy resources, and improve mechanisms for mutual support in emergency situations.

At the same time, the large-scale reforms being implemented by Uzbekistan in the development of renewable energy have become an important driver of the region’s transition to a green economy. The rapid construction of solar and wind power plants, energy storage facilities, and modern electricity grids is significantly increasing Central Asia’s overall energy potential.

Today, the countries of the region are pursuing a long-term strategy aimed not only at meeting domestic energy demand but also at supplying environmentally friendly electricity to Europe and other international markets.

In conclusion, the strategic partnership in the energy sector between Central Asia and Azerbaijan is a practical result of the policies pursued by the countries’ leaders, which are based on mutual trust, friendship, and good-neighborly relations.

Major initiatives such as the Green Corridor and Kambarata HPP-1 clearly demonstrate that the countries of the region are capable of jointly addressing complex challenges. This cooperation not only strengthens energy security but also lays a solid foundation for transforming Central Asia into a strategic green energy hub connecting Europe and Asia.

THE SCO’S NEW FINANCIAL ARCHITECTURE: FROM COORDINATION TO PRACTICAL DEVELOPMENT MECHANISMS

📅 24.08.2026

At present, geopolitical tensions, the fragmentation of trade and investment flows, disruptions to global supply chains and the high cost of financial resources are creating new challenges for countries across the global economy. Under these conditions, establishing sustainable financial mechanisms for regional cooperation is becoming an important factor not only in promoting economic growth, but also in ensuring long-term stability.

From this perspective, taking financial cooperation within the Shanghai Cooperation Organization to a new level is of particular importance. The SCO region accounts for more than 40 per cent of the world’s population and over a quarter of global gross domestic product. Such vast economic potential provides a solid foundation for developing a modern financial architecture capable of supporting trade, investment and industrial cooperation within the Organization.

The expanding scope of economic cooperation has also increased the importance of its financial support. In this regard, developments observed within the SCO in recent years indicate that the Organization’s distinctive new financial infrastructure is gradually taking shape.

New Economic Realities — New Financial Needs

The expansion of the SCO’s financial infrastructure is primarily driven by the economic changes taking place within the Organization itself.

The first factor is the expanding scale of economic cooperation. Alongside trade and investment, the development of industrial cooperation, energy, digitalization and technological collaboration across the SCO region has increased demand for long-term financial resources.

The second factor is the growing number and scale of cross-border projects. The implementation of transport corridors, power grids, logistics centres and other infrastructure facilities spanning several countries generally requires large-scale, long-term investment.

The third factor is the expansion of the SCO’s membership and the diversity of its economies. The Organization includes both economies with large capital markets and landlocked countries with significant infrastructure investment needs. This has generated demand for multilateral financial mechanisms capable of accommodating the interests of diverse economies.

The fourth factor is the transformation of the global financial environment. Volatility in the cost of international capital, external shocks and currency risks have increased the importance of diversifying regional sources of financing. In this context, expanding settlements in national currencies has also become a distinct area of the SCO’s financial agenda. In 2022, the Samarkand Summit approved a roadmap for gradually increasing the share of national currencies in mutual settlements.

Thus, the need for new financial institutions has emerged not as a stand-alone initiative, but as an objective process resulting from the growing scale of trade, investment and cross-border economic relations within the SCO region.

A New Stage — New Financial Mechanisms

At the SCO Summit held in Astana in 2024, President of the Republic of Uzbekistan Shavkat Mirziyoyev emphasized the importance of promoting mutual investment, primarily in infrastructure, high technologies and services, introducing mechanisms for the financial support of such projects, and revisiting the issue of establishing the SCO Development Fund and Development Bank.

One year later, on 1 September 2025, at the 25th meeting of the SCO Council of Heads of State in Tianjin, the interested Member States reached a political consensus on establishing the SCO Development Bank.

The establishment of the Development Bank is expected to provide impetus for the SCO’s financial infrastructure to enter a new stage of development.

At the same time, the expansion of settlements in national currencies and the development of interbank cooperation, co-financing instruments and collaboration in the digitalization of public finance demonstrate that the SCO’s financial infrastructure is not limited to a single institution.

The SCO’s new financial architecture should not be confined solely to establishing one bank. Rather, it should integrate mutually complementary financial institutions and instruments into a unified system.

In this regard, it is important to establish effective cooperation mechanisms among the SCO Development Bank, the SCO Interbank Consortium, the national development institutions of Member States, commercial banks and investment funds. Opportunities for co-financing may also be pursued in cooperation with existing multilateral institutions such as the Asian Infrastructure Investment Bank, the New Development Bank, the Asian Development Bank, the Islamic Development Bank and the Eurasian Development Bank.

New Opportunities for Uzbekistan

The development of the SCO’s financial infrastructure offers a number of objective economic benefits for Uzbekistan.

First and foremost, Uzbekistan’s geographical location gives this process particular significance. Situated at the heart of Central Asia, the country serves as an important link in transport routes connecting the SCO region’s major economies with the markets of South and Central Asia. The construction of the China–Kyrgyzstan–Uzbekistan railway is one of the most prominent examples.

Therefore, expanding opportunities to finance cross-border projects within the SCO would also enable Uzbekistan to attract additional long-term resources for its transport, energy and logistics infrastructure.

Second, the new financial mechanisms would broaden the financial base for industrial cooperation. Uzbekistan’s efforts to modernize industry, manufacture high-value-added products and develop joint production chains are becoming increasingly connected with the SCO’s major markets. From this perspective, expanding the range of instruments available for financing regional projects would help diversify the sources of finance for joint investment projects.

Third, the development of the SCO’s financial infrastructure would provide greater opportunities to diversify sources of financing. For Uzbekistan, this means complementing its existing cooperation with international financial institutions and bilateral creditors with new regional financial mechanisms.

A New Stage of Financial Cooperation

The SCO is entering a new stage of its development. While security and political dialogue occupied a central place during the Organization’s initial period, today there is a growing need to support economic cooperation through concrete projects and effective financial instruments.

Therefore, the principal criterion for developing a new financial architecture within the SCO should not be the number of new institutions, but their practical effectiveness. Every new mechanism should contribute to increasing trade and investment, strengthening infrastructure connectivity, promoting industrial cooperation and mobilizing private capital.

Most importantly, effective financial mechanisms must be created that are capable of transforming the SCO’s vast economic potential into tangible investment projects. This would elevate cooperation within the Organization from coordination and dialogue to a level of practical partnership that delivers real investment, new production capacities, modern infrastructure and shared economic development.