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

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

Today, environmental challenges such as climate change, desertification, biodiversity loss and air pollution are driving countries around the world toward closer cooperation. Uzbekistan has likewise identified environmental protection and climate change adaptation as key priorities of its state policy. In this context, the development of international partnerships, particularly with the United States, is of special importance.

At present, experts and representatives from both countries actively engage on various international platforms. In particular, the National Committee on Ecology and Climate Change of the Republic of Uzbekistan regularly participates in meetings of the Environment and Energy Working Groups within the C5+1 framework. This dialogue platform enables the countries of Central Asia and the United States to exchange expertise on environmental issues and advance new initiatives.

In recent years, bilateral cooperation has gained significant momentum. Uzbek delegations have taken part in international forums, educational programs, and professional development initiatives hosted in the United States. Participation in sessions of the United Nations Forum on Forests, visits organized through cooperation with the United States Geological Survey (USGS) and educational exchanges on environmental topics under the U.S. Congress’s Open World Program have all contributed to strengthening professional expertise and promoting the exchange of knowledge and best practices.

In 2024, a meeting between Uzbekistan’s Minister of Ecology, Environmental Protection and Climate Change, Aziz Abdukhakimov, and U.S. Presidential Advisor Sara Minkara underscored the importance of integrating social considerations into the environmental agenda. The parties discussed the impact of climate change on persons with disabilities and reached an agreement to foster cooperation between higher education institutions in the two countries.

Significant progress is also being made in scientific collaboration.
A memorandum signed in 2025 between Green University in Tashkent and the Center for Sustainable Development at Columbia University is expected to elevate research in the fields of ecology and climate change to a new level. A practical outcome of this partnership was the visit to Uzbekistan by world-renowned economist and sustainable development expert Jeffrey Sachs.

Looking ahead, there are broad opportunities to further expand environmental cooperation between Uzbekistan and the United States. One particularly promising area is the study of U.S. experience in forest management. Approximately one-third of the United States is covered by forests and the country has developed advanced forest management and monitoring systems that may offer valuable insights for Uzbekistan.

Considerable potential also exists in the fields of biodiversity conservation and protected area management. In the United States, millions of hectares of land are managed for conservation purposes and this experience could contribute to the further development of Uzbekistan’s protected area system.

Particular attention should also be given to cooperation in education and science. Establishing partnerships between Green University and leading global institutions such as the University of California, Berkeley, Stanford University, Harvard University and Yale University would not only enhance the quality of scientific research but also help prepare a new generation of specialists in ecology and climate science.

In addition, the United States’ advanced experience in sustainable urban development and «green» infrastructure is of considerable interest for Uzbekistan’s cities. Cities such as Portland and Seattle have successfully implemented projects involving «green» streets, cycling infrastructure, modern waste management systems and air quality monitoring technologies. Studying these practices could support the advancement of green city initiatives across Uzbekistan.

The hosting of the Eighth Assembly of the Global Environment Facility (GEF) in Samarkand in 2026 further strengthened Uzbekistan’s international standing in the field of environmental cooperation. The participation of U.S. representatives in Eco Expo Central Asia 2026, organized as part of this landmark event, has the potential to elevate environmental partnership between the two countries to a qualitatively new level.

Today, environmental cooperation between Uzbekistan and the United States extends beyond individual projects and events, increasingly taking on the character of a long-term strategic partnership. At a time when climate change and environmental security are becoming ever more pressing global concerns, such cooperation will contribute to sustainable development not only in both countries, but across the wider region as well.

The Economic Agenda of New Uzbekistan Takes on a Regional Dimension

The strategic significance of the Turkic world is growing amid profound shifts in global logistics. The member states of the Organization of Turkic States (OTS) are forming one of Eurasia’s largest overland economic spaces, linking Central Asia, the Caucasus, Turkiye, and European markets.

The OTS region is home to more than 170 million people and possesses substantial economic potential. In 2025, the combined nominal GDP of OTS member states reached approximately $2.3 trillion, equivalent to around 2% of the global economy. In purchasing power parity terms, GDP exceeded $6.2 trillion, accounting for 3.4% of world GDP. The aggregate foreign trade turnover of OTS countries surpassed $1.2 trillion.

Proven natural gas reserves across OTS member states amount to approximately 19.9 trillion cubic meters, while proven oil reserves total 38.2 billion barrels, making the region one of Eurasia’s prominent energy centers.

The Turkic world is characterized by a high degree of economic complementarity. Turkiye and Hungary possess advanced industrial and engineering capabilities, while Kazakhstan, Azerbaijan, and Turkmenistan hold substantial energy resources. Uzbekistan and Kyrgyzstan are strengthening their positions in manufacturing and agro-industrial production.

Against this backdrop, Uzbekistan is emerging as one of the most dynamic economies in the region. Over the past five years, the country has risen by 28 positions in Harvard Growth Lab’s Atlas of Economic Complexity, reaching 70th place among 145 economies. Average annual export growth stood at 13.4%, while non-energy exports expanded by an average of 17% per year, outpacing both regional and global trends.

In this context, the OTS is acquiring increasing practical economic relevance, with trade, transport, industrial cooperation, investment, and digitalization forming the foundation of a new model of regional connectivity.

Trade and Industrial Cooperation

Today, Uzbekistan’s cooperation within the OTS spans more than 35 areas. At the same time, the economic dimension of this engagement continues to deepen. Over the past nine years, Uzbekistan’s trade turnover with OTS countries increased 2.7-fold, from $4 billion in 2017 to $10.8 billion in 2025. Exports rose from $1.2 billion to $3.8 billion, while imports expanded from $1.8 billion to $7 billion.

Kazakhstan and Turkiye remain Uzbekistan’s largest trading partners within the OTS. Kazakhstan accounts for 46% of total trade, or approximately $5 billion, while Turkiye’s share stands at 28%, or around $3 billion. Trade with Turkmenistan and Kyrgyzstan also reached significant levels, totaling about $1.2 billion with each country.

The structure of trade is evolving. In Uzbekistan’s exports to OTS countries, manufactured goods account for 28.2%, machinery and transport equipment for 19%, food products for 11.1%, chemical products for 10%, and services for 12.7%. This reflects a gradual transition toward a more sophisticated trade model, with growing exports of finished goods, services, and products created through industrial cooperation.

Imports from OTS countries are closely linked to the needs of Uzbekistan’s modernizing economy. Key import categories include food products, mineral fuels, manufactured goods, machinery, and equipment, indicating the expansion of production linkages across the region.

According to estimates by the Center for Economic Research and Reforms (CERR), Uzbekistan has the potential to increase its exports to OTS countries by an additional $2.7 billion. The largest unrealized export opportunity is in Turkiye, where additional export potential is estimated at $1.8 billion.

This export potential is based on Uzbekistan’s competitive advantages across a number of product categories, particularly agricultural products such as dried fruits, vegetables, and nuts. The combined agricultural market of OTS countries is estimated at approximately $72 billion, where Uzbek producers already hold solid positions.

Further export growth could be driven by increased shipments of textiles, electrical equipment, construction materials, food products, fertilizers, copper, ethylene polymers, and other higher value-added goods.

Investment and the Institutional Framework for Cooperation

Trade integration within the OTS is being accompanied by deeper investment and industrial cooperation. Between 2017 and 2025, total investments from OTS countries into Uzbekistan exceeded $11.5 billion, including $3.8 billion attracted in 2025 alone.

These investments have been directed primarily to manufacturing, energy, agriculture, construction, and logistics. As of April 2026, more than 4,500 enterprises with capital from OTS countries were operating in Uzbekistan. These include joint manufacturing ventures, logistics projects, and industrial partnerships serving both regional and external markets.

Turkiye remains the most active investor. In 2025, Turkish investments totaled $2.4 billion, while the number of enterprises with Turkish capital in Uzbekistan reached 2,140. Turkish businesses are playing a major role in industrial production, construction, textiles, and transport and logistics infrastructure.

Kazakhstan, as Uzbekistan’s largest trading partner among OTS countries, is also one of its most important investment partners. More than 1,200 enterprises with Kazakh capital are currently operating in the country.

The signing of the Treaty on Allied Relations between Uzbekistan and Azerbaijan in 2024 has provided a major impetus to bilateral cooperation. As a result, 367 enterprises with Azerbaijani capital are now active in Uzbekistan.

The Comprehensive Strategic Partnership with Kyrgyzstan has contributed to an increase in the number of joint ventures to 346.

Although the number of enterprises with Hungarian capital remains relatively modest, the projects being implemented are notable for their scale and technological sophistication. These include poultry clusters in the Syrdarya Region valued at $165 million and wastewater treatment facilities in New Tashkent worth $59 million.

An additional mechanism supporting joint projects is the Turkic Investment Fund. In 2025, its authorized capital was increased from $500 million to $600 million, with Uzbekistan contributing $100 million. Going forward, the Fund could become an important instrument for financing infrastructure, industrial, logistics, and digital projects across the OTS region.

For Uzbekistan, investment cooperation within the OTS facilitates capital inflows, export-oriented production, technology localization, broader industrial cooperation, and deeper integration into regional value chains.

Transport Integration

For a landlocked country such as Uzbekistan, transport connectivity is a critical prerequisite for expanding foreign trade and integrating into global production networks. Accordingly, transport has become one of the central pillars of economic cooperation within the OTS.

Growing trade among member states has been accompanied by a significant expansion in freight flows. Kazakhstan remains Uzbekistan’s most important transport partner, serving as the main land bridge to Russia, the Caucasus, and Europe. In 2025, freight volumes between the two countries exceeded 22.3 million tons, including 19.6 million tons transported by rail.

The Kyrgyz route is also demonstrating strong momentum. In 2025, cargo volumes between Uzbekistan and Kyrgyzstan increased by 22.4% to nearly 5.4 million tons, while export shipments by all modes of transport more than doubled.

Transport cooperation with Azerbaijan and Turkiye is also expanding steadily. In 2025, freight volumes between Uzbekistan and Azerbaijan increased by 28.3%. Regular air service between Tashkent and Baku currently operates 14 times per week. Air links with Turkiye are similarly intensive, with 97 scheduled flights per week on eight routes, including services to Istanbul and Ankara.

Turkmenistan remains another important element of the regional transport system. A practical step toward facilitating border trade was the launch of the joint trade zone “Shavat–Dashoguz.” In 2025, freight volumes between the two countries rose by 22.5% to approximately 1.8 million tons.

As trade within the OTS expands, the development of resilient multimodal connectivity is becoming increasingly important. This requires an integrated system of corridors linking rail, road, air, and maritime infrastructure.

In this context, the Trans-Caspian International Transport Route, widely known as the Middle Corridor, has gained particular significance. For Uzbekistan, this route is important not only as a transit corridor, but also as a strategic channel for expanding exports to Azerbaijan, Turkiye, Europe, and the Middle East.

The relevance of alternative Eurasian transport routes is increasing amid ongoing changes in global logistics. The restructuring of supply chains due to geopolitical instability has already raised transport costs for Central Asian countries by as much as 30% and extended delivery times by several weeks.

Against this backdrop, the China–Kyrgyzstan–Uzbekistan Railway is becoming strategically important as a new East-West transport link. Once operational, the railway is expected to reduce delivery times to 10 days and enable the transportation of up to 15 million tons of cargo annually.

In the longer term, integration of this route with the Middle Corridor and the Trans-Afghan corridor could reshape the transport geography of Eurasia. In such a system, Uzbekistan would be positioned not only as a transit country, but also as a full participant in regional value chains, supported by its own cargo base, logistics centers, transport companies, and industrial facilities.

At the same time, further progress in transport integration will require coordinated policies within the OTS. Key priorities include tariff harmonization, infrastructure development, capacity expansion, digital customs procedures, and the alignment of technical standards. These areas are gradually shaping the organization’s practical transport agenda.

The Digital Agenda as Trade Infrastructure

The theme of the current OTS Summit in Turkistan, focused on artificial intelligence and digital development, is directly linked to the broader economic agenda. In modern trade, competitiveness depends not only on product quality and proximity to markets, but increasingly on the speed of customs clearance, supply chain transparency, digital interoperability, and access to information.

For OTS member states, digital integration could become one of the most practical and impactful areas of cooperation. Harmonizing e-commerce standards, mutually recognizing digital documents, integrating customs information systems, and creating digital business registries could significantly reduce transaction costs and facilitate market access.

This is particularly important for small and medium-sized enterprises. Many firms face fewer tariff barriers than informational constraints related to partners, certification requirements, logistics, and payment mechanisms. A unified digital platform for businesses across OTS countries could serve as a practical tool for expanding trade, especially within border regions and regional supply chains.

Over recent years, Uzbekistan has accumulated substantial experience in the digitalization of public services and the business environment. This experience could prove highly valuable within the organization, particularly in areas such as e-government services, digital platforms, customs administration, and entrepreneurship support.

Conclusion

The OTS is gradually evolving toward a more practical model of economic cooperation. For Uzbekistan, this process coincides with the current stage of economic reforms aimed at expanding export capacity, developing industry, and strengthening connectivity with external markets.

As economic interaction within the OTS deepens, Uzbekistan’s role in shaping regional trade, transport, and production linkages continues to grow. In recent years, cooperation within the organization has already acquired a stable economic dimension encompassing trade, investment, industrial cooperation, transport infrastructure, and logistics.

In this context, the agenda of the informal OTS Summit in Turkistan places particular emphasis on the development and application of artificial intelligence and digital technologies. This reflects the growing interest among member states in modern forms of economic interaction, especially the digitalization of trade and logistics, the expansion of electronic services, the integration of infrastructure solutions, and the reduction of transaction costs across the region.

Against this backdrop, Uzbekistan’s participation in the informal OTS Summit is increasingly acquiring a practical economic focus. The expansion of trade, development of multimodal transport corridors, deepening industrial cooperation, growth in investment ties, and enhanced digital connectivity are creating a strong foundation for further integration into Eurasia’s regional production and logistics networks.

Ziyoda Rizaeva
Head of Public Relations and Media Sector
Center for Economic Research and Reforms

Today, one of the priority areas of state policy in Uzbekistan is focused on expanding forested areas, increasing green coverage, mitigating the negative impacts of climate change, and ensuring environmental sustainability. In order to achieve effective results in these areas, studying advanced foreign experience and adapting it to the country’s climatic conditions is of particular importance. In this context, the participation of a delegation of representatives of the Forestry Agency under the National Committee on Ecology and Climate Change of Uzbekistan in a training and practical seminar organized during their visit to the Republic of Turkey in October 2025 was of significant importance.

The seminar, organized in cooperation between the Forestry Agency and the Ministry of Agriculture and Forestry of the Republic of Turkey, enabled participants to familiarize themselves with Turkey’s experience in forest establishment, restoration, ecological classification, and sustainable forest management. In particular, on the first day of the seminar, Turkish specialist Ahmed Yalvach delivered a detailed presentation on modern approaches applied in the development of forestry.

Within the framework of the practical visit, Turkey’s advanced experience in establishing and managing nurseries, creating forests using the “terrace” method in mountainous areas, developing “green belts” around cities, and establishing green public parks in urban and district areas was studied.

In addition, members of the delegation closely examined the activities of nurseries operated by the Seydikemer and Gökova Forestry Departments located in Muğla Province. Notably, the Seydikemer nursery, established in 1983, covers an area of 144 hectares and has an annual production capacity of 1.5 million seedlings. The Gökova nursery, occupying more than 61 hectares, stands out with its capacity to produce up to 7 million seedlings per year.

It was emphasized that special attention to seed collection, storage, and laboratory analysis in these nurseries allows the production rate of high-quality seedlings and saplings to reach 90–95 percent. Participants studied the practical experience of Turkish specialists in establishing mother plantations, caring for seedlings and saplings, and grafting techniques.

The delegation members were also introduced to the use of greenhouses, in vitro laboratories, modern equipment, and mechanisms for managing seasonal work processes. The experience-sharing activities were conducted in an atmosphere of open dialogue and professional cooperation.

In conclusion, cooperation between Uzbekistan and Turkey in the forestry sector has acquired a practical dimension, contributing to the adoption of advanced practices, enhancement of specialists’ capacity, and the formation of a sustainable ecological environment in Uzbekistan. The knowledge and skills gained within the framework of this cooperation will play an important role in further improving the national forestry system.

Марказий Осиё сўнгги йилларда иқлим ўзгариши оқибатларига тобора кўпроқ дуч келаётган ва дунёда ундан энг кўп зарар кўриши мумкин бўлган минтақалридан бири. Сўнгги 70 йил ичида Марказий Осиёда ҳарорат Цельсий бўйича 1,5-2 даражага кўтарилди. Бу эса экологик муаммоларнинг кескинлашувига, музликларнинг эриши ва чўлланишнинг тезлашишига таъсир кўрсатмоқда. Ушбу жараёнларнинг барчаси бир-бири билан ўзаро боғлиқ бўлиб, минтақадаги экотизимлар, иқтисодиёт ва одамлар ҳаётига салбий таъсир кўрсатмоқда.

Глобал миқёсда иқлим ўзгариши туфайли музларнинг эриш тезлиги сўнгги йилларда 65 фоизга ошди: 90-йилларнинг бошида сайёрада йилига 0,8 триллион тонна, 2000-йилларга келиб эса 1,3 триллион тонна муз эриб кетган. Марказий Осиё минтақаси учун ҳам ушбу экологик муаммо бугунги куннинг энг муҳим иқлим муаммолари қаторига киради.

Марказий Осиёда сув ресурслари тақчиллиги ортиб бормоқда. Бугунги кунда 37 миллион нафардан ортиқ киши асосан сув таъминотининг пасайиши, шунингдек, тегишли инфратузилманинг етарли даражада ривожланмаганлиги билан боғлиқ бўлган сув ресурслари кескин етишмайдиган ҳудудларда яшайди.

Евроосиё тараққиёт банки ҳисоб-китобларига кўра, 2025-2030-йилларда минтақа мамлакатлари учун сув ва иқлим инфратузилмасига зарур бўлган инвестицияларнинг умумий ҳажми қарийб 29,2 миллиард долларни ташкил этади.

Оролбўйи минтақасининг ҳолати вазиятни қийинлаштирмоқда – шамоллар Оролнинг қуриган тубидан ҳар йили тахминан 15-75 миллион тонна қум, чанг ва тузни учириб кетади. Бу эса сезиларли масофаларда ҳавонинг сифатини ёмонлаштиради ва бевосита ижтимоий-иқтисодий йўқотишларга олиб келади.

Шу сабабдан ҳам сўнгги йилларда Марказий Осиёнинг минтақавий кун тартибида экологик масалалар тобора устувор аҳамият касб этмоқда. Сув ресурслари билан боғлиқ муаммолар, ерларнинг деградацияси, иқлим ўзгариши, Оролбўйининг ҳолати эндиликда минтақа мамлакатлари томонидан алоҳида эмас, балки минтақанинг умумий барқарор ижтимоий-иқтисодий ривожланиш масалалари контекстида кўрилмоқда.

Марказий Осиё мамлакатлари давлат раҳбарларининг сиёсий иродаси туфайли экология соҳасидаги кўп томонлама ҳамкорлик янада тизимли ва мазмунли бўлиб бормоқда.

Бунда минтақавий ҳамкорликнинг институционал асосларини мустаҳкамлаш алоҳида ўрин тутди. Оролни қутқариш халқаро жамғармаси ва унинг тузилмалари амалдаги механизмлари билан бир қаторда, экологик масалалар минтақа мамлакатлари давлат раҳбарларининг маслаҳат учрашувлари, шунингдек, соҳавий идоралараро ва экспертлар мулоқоти доирасида янада изчил мустаҳкамлана бошлади.

Минтақа мамлакатларининг иқлим билан боғлиқ халқаро тадбирларда фаоллашганини ҳам таъкидлаш жоиз. Хусусан, БМТнинг Иқлим ўзгариши тўғрисидаги доиравий конвенцияси конференцияларида Марказий Осиё мамлакатлари "5 мамлакат - 1 минтақа - 1 овоз" тамойили остида чиқиш қилиб, иқлим муаммолари бўйича миллий устувор масалалар ва умумий минтақавий ёндашувларни тақдим эта бошладилар.

Марказий Осиёнинг барча мамлакатлари Париж келишуви доирасида ўзларининг миллий миқёсда белгиланган ҳиссасини тақдим этди ва иссиқхона газларини камайтириш, "яшил" энергетика қувватини ошириш ва мослашувчанлик салоҳиятини мустаҳкамлаш бўйича ўз олдига юқори мақсадларни қўйди.

Шу билан бирга, Қозоғистон 2060-йилга бориб углерод нейтраллигига эришиш йўлини белгилаб олди, Ўзбекистон эса 2035-йилга бориб ялпи ички маҳсулот бирлигига тўғри келадиган иссиқхона газлари эмиссиясини 2010-йилдагига нисбатан 50 фоизга камайтириш бўйича мақсадли кўрсаткични оширди. Қирғизистон, Тожикистон ва Туркманистон ҳам глобал иқлим мақсадларига эришиш йўлидаги интилишларини тасдиқлаб, ўз ҳиссасини доимий равишда янгилаб, ошириб келмоқда.

Орол инқирози оқибатларига мослашиш масаласида ҳам сезиларли натижаларга эришилди. Хусусан, Орол денгизининг қуриган тубида Ўзбекистон томонида сўнгги 5 йил ичида 1,7 миллион гектар ўрмонзорлар барпо этилди, Қозоғистон томонида 1 миллион гектардан ортиқ майдонда ўрмон-мелиорация ишлари олиб борилди.

Минтақавий ҳамкорликнинг яна бир ёрқин натижаларидан бири Шимолий Оролдаги вазиятнинг яхшиланиши бўлди. Сирдарё бўйидаги   сув омборларининг иш тартибини мувофиқлаштириш ва давлатлараро келишувларни бажариш ҳисобига сўнгги уч йилда денгизга 6 миллиард куб метрдан ортиқ сув келиб тушди. Натижада Шимолий Оролнинг ҳажми 2022-йил охиридаги 18,9 миллиард куб метрдан 2025-йил охирида 23 миллиард куб метргача ошди.

Билим алмашинуви ва илмий экологик экспертиза соҳасида ҳам минтақавий ҳамкорлик кенгаймоқда. Ўзбекистонда атроф-муҳит ва иқлим ўзгаришини ўрганиш бўйича Марказий Осиё университетининг ташкил этилиши ушбу ҳамкорликнинг натижаси бўлиб, минтақада шу йўналишда кадрлар тайёрлаш ва қўшма тадқиқотларни ривожлантириш учун янги майдонга айланди.

Шундай қилиб, Марказий Осиёда ўзаро минтақавий экологик ҳамкорлик аста-секин амалий аҳамият касб этмоқда. Мамлакатлар умумий халқаро позицияни шакллантириш, мувофиқлаштириш механизмларини ривожлантириш, Оролбўйи экотизимларини тиклаш бўйича чора-тадбирларни амалга ошириш ва илмий-таълим базасини яратишда сезиларли натижаларга эришди.

Шу билан бирга, минтақадаги экологик муаммолар кўлами мувофиқлаштиришни кенгайтиришни тақозо қилмоқда. Трансчегаравий сув ресурсларини бошқаришда янада ўзаро мувофиқлаштирилган ёндашувларни ишлаб чиқиш, иқлим ўзгаришининг оқибатларига мослашиш чораларини кенгайтириш, сув ва экологик инфратузилмага узоқ муддатли инвестицияларни жалб этиш, шунингдек, умумий экспертлар базаси ва таҳлилий базани мустаҳкамлаш устувор вазифалар сифатида қолмоқда.

Кейинги йилларда Марказий Осиёнинг экологик кун тартиби самарадорлиги минтақа мамлакатлари сиёсий ҳамкорлик натижаларини барқарор қўшма механизмларга қанчалик изчил трансформация қила олишига боғлиқ бўлади.

Остона шаҳрида бўлиб ўтадиган Минтақавий экологик саммит иқлим масаласида умумий мақсадига эришиш йўлидаги яна бир қадам бўлади. Иқлим ва экологик муаммоларни бартараф этиш бўйича янги ва амалий ечимларни ишлаб чиқиш нафақат Марказий Осиё мамлакатларининг глобал иқлим кун тартибига қўшган ҳиссасини оширишга, балки экотизимлар барқарорлигини таъминлаш, ҳаво ифлосланишини камайтириш, табиий ресурсларни барқарор бошқариш ва устувор равишда сув ва энергетика ресурсларини бошқариш бўйича минтақавий вазифаларни ҳал этишга ҳам хизмат қилади.

Эльвира Бикеева,

МҲТИ лойиҳа раҳбари

Малика Сапармуҳаметова,
МҲТИ етакчи мутахассиси

President of Uzbekistan Shavkat Mirziyoyev has arrived in Washington on a working visit to participate in the “C5+1” summit of the leaders of Central Asian countries and the United States and to hold meetings with U.S. President Donald Trump, members of the Senate and the House of Representatives, as well as heads of U.S. government departments and agencies.

The C5+1 format, launched in November 2015 in Samarkand, has become an important mechanism for coordination and cooperation in areas such as regional development, economic resilience, environmental protection, energy, and security. Its primary goal is to establish a permanent platform for diplomatic dialogue, exchange views on pressing issues, and strengthen connectivity in the fields of transport, energy, trade, business, and humanitarian engagement. The Joint Declaration on Partnership and Cooperation, adopted at the first meeting, reaffirmed the United States’ commitment to supporting the sovereignty, independence, and territorial integrity of the Central Asian countries.

The first C5+1 leaders’ summit, held in New York in September 2023, gave a strong impetus to advancing the comprehensive agenda of the platform and marked the launch of new initiatives, including the B5+1 Private Sector Business Platform (Almaty, March 2024) and the Critical Minerals Dialogue (February 2024). Since its inception, the format has held 13 ministerial meetings and three high-level gatherings, as well as specialized forums on climate change, development, Afghanistan, and other priority areas.

Uzbekistan has taken an active and constructive role within the C5+1, consistently advocating for the institutionalization of cooperation, enhanced border-security coordination, intensified action on climate and environmental challenges, and the continuation of projects in trade, investment, transport, and energy. Tashkent also supports initiatives related to Afghanistan. Many Uzbek initiatives have been endorsed and implemented in practice, including the establishment of the Virtual C5+1 Secretariat (2021), the TIFA meetings (Samarkand, March 2023), and projects on artificial intelligence and educational cooperation under the C5+1 framework.

The impact of these multilateral initiatives is evident: strengthened regional cooperation has opened new export routes, enhanced investment attractiveness, and created expert-exchange platforms — all contributing to the overall resilience of Central Asia.

Uzbekistan’s active engagement in the C5+1 format is fully aligned with its broader policy of deepening bilateral cooperation with the United States, which continues to expand across all key areas - politics, security, the economy, science, and culture.

Since the establishment of diplomatic relations on February 19, 1992, Uzbekistan and the United States have made substantial progress. A milestone was President Mirziyoyev’s official visit to the United States on May 15–17, 2018, which laid the foundation for a new era of strategic partnership. The President has also met with U.S. leaders on various multilateral platforms — on the sidelines of the Riyadh Summit in May 2017 and during the UN General Assembly sessions in New York in September 2017 and 2025.

The bilateral political dialogue evolved in 2021 into the Uzbekistan–U.S. Strategic Partnership Dialogue, whose sessions are held alternately in the two capitals. The fourth meeting, held in Washington on November 13, 2024, concluded with an agreement to elevate its status to the Expanded Strategic Partnership Dialogue.

The regular visits of senior U.S. officials and special envoys to Uzbekistan further underscore the growing intensity of the partnership.

In 2025, Uzbekistan hosted several high-level American representatives, including Paolo Zampolli, the Special Representative of the U.S. President for Global Partnerships (August 28 – September 1, 2025), and Sergio Góvar, the Special Envoy for South and Central Asian Affairs, accompanied by First Deputy Secretary of State Christopher Landau (October 25–27, 2025).

A clear demonstration of the high level of bilateral relations was the official visit of Foreign Minister Bakhtiyor Saidov to Washington on April 8–10, 2025, during which he met with U.S. Secretary of State Marco Rubio and National Security Advisor Michael Waltz. The sides discussed a wide range of regional and international issues, paying particular attention to strengthening the strategic partnership between Uzbekistan and the United States. Special emphasis was placed on cooperation in security, economic development, regional connectivity, and sustainable growth in Central Asia.

Inter-parliamentary ties are also expanding dynamically. In 2018, the Uzbekistan Caucus was established in the U.S. House of Representatives, with participation from both parties. Regular visits of congressional delegations contribute to the strengthening of parliamentary diplomacy.

Economic and investment cooperation is developing at a robust pace. The bilateral trade turnover and the number of joint projects continue to grow annually. Major American companies such as Air Products, General Electric, General Motors, Boeing, Honeywell, The Coca-Cola Company, and John Deere are successfully operating in Uzbekistan.

During the IV Tashkent International Investment Forum on June 9, 2025, the U.S.–Uzbekistan Business Forum was held with the participation of around 100 U.S. companies. Memorandums of understanding were signed and negotiations held with Boeing, FLS, Visa, NASDAQ, Air Products, Franklin Templeton, Morgan Stanley, and others.

The United States supports Uzbekistan’s accession to the World Trade Organization (WTO). In December 2024, the parties signed a protocol concluding bilateral negotiations on accession — an important milestone in Uzbekistan’s integration into the global trading system.

The cultural and humanitarian sphere constitutes a significant dimension of bilateral cooperation. Sister-city relations have been established between Tashkent–Seattle, Bukhara–Santa Fe, and Zarafshan–Clinton. These municipal partnerships foster cultural and educational exchange, tourism, and business collaboration.

Educational cooperation is also advancing: the Tashkent branch of Webster University (opened in 2019) and the American University of Technology (AUT), established in partnership with Arizona State University, play a key role. On August 30, 2025, an American Corner — a cultural and educational hub promoting academic and scientific collaboration — was inaugurated at AUT.

In October 2023, Tashkent hosted the Education USA Regional Forum with the participation of 65 U.S. universities. The activities of American Councils for International Education (ACIE) have resumed, and work is underway to restore the Peace Corps presence in Uzbekistan.

Transport connectivity has also improved: since July 2017, direct Tashkent–New York–Tashkent flights operated by the national airline have resumed, facilitating business and humanitarian exchanges.

Furthermore, the United States continues to support Uzbekistan’s domestic reforms. Reports by the U.S. Department of State and the Department of Labor highlight progress in combating human trafficking and eradicating the worst forms of child labour. Uzbek cotton has been removed from the lists of goods produced with forced child labour; in December 2020, Uzbekistan was delisted from the “Countries of Particular Concern” regarding religious freedom; and in April 2024, the U.S. Trade Representative (USTR) removed Uzbekistan from the Special 301 Watch List on intellectual property protection.

In summary, President Shavkat Mirziyoyev’s current visit to the United States and participation in the C5+1 Summit will provide a new and powerful impetus for the practical implementation of initiatives on both the multilateral and bilateral agenda. The visit will undoubtedly strengthen political dialogue, accelerate the realization of investment agreements, expand educational and cultural exchanges, and give fresh momentum to joint projects in energy, transport, and digital technologies.

For Uzbekistan, this visit represents another opportunity to reaffirm its status as an active and reliable partner in Central Asia; for the United States, it serves as a platform to deepen engagement in a region of strategic importance for global stability and economic growth.

Dunyo IA

The forthcoming state visit of President of the Republic of Uzbekistan Shavkat Mirziyoyev to Kyrgyzstan on 30–31 July will mark a new milestone in the development of Uzbek–Kyrgyz relations, which have undergone a profound transformation in recent years—from overcoming accumulated disagreements to building a comprehensive model of strategic cooperation.

Today, relations between the two countries are experiencing one of the most substantive periods in their history. Only a few years ago, a significant part of the bilateral agenda concerned issues relating to the state border, the operation of border checkpoints, and the restoration of mutual trust. However, consistent political dialogue has made it possible to resolve the outstanding issues and create space for a new level of cooperation in industry, investment, energy, transport, cross-border development, and the humanitarian sphere.

At the heart of these changes lies the political will of the leaders of the two states. Reciprocal visits and a shared readiness to seek mutually acceptable solutions have created a new atmosphere of trust that now defines the nature of bilateral cooperation. The regular and trust-based dialogue between President of the Republic of Uzbekistan Shavkat Mirziyoyev and President of the Kyrgyz Republic Sadyr Japarov has brought bilateral relations to a fundamentally new level. The signing of the Declaration on Comprehensive Strategic Partnership in 2023 was a logical continuation of this course. The document became both a political symbol of rapprochement and an institutional foundation for long-term cooperation, formalizing the transition of relations to a qualitatively new stage.

The main achievement of recent years is that the border between Uzbekistan and Kyrgyzstan is no longer perceived solely as a dividing line. It is gradually becoming a space for economic growth, people-to-people contacts, and shared opportunities. This transformation has been one of the most significant accomplishments of the new era of Uzbek–Kyrgyz relations. The final settlement of state border issues was of particular historical importance.

The signing in Khujand on 31 March 2025 of the Treaty on the Junction Point of the State Borders of Uzbekistan, Kyrgyzstan, and Tajikistan demonstrated the ability of the region’s states to resolve the most complex issues independently, on the basis of mutual respect and due consideration of one another’s interests.

It is symbolic that the successful completion of the process of resolving border issues in Central Asia has also received international recognition. Adopted on 20 May 2026 at the initiative of the Kyrgyz Republic, the United Nations General Assembly resolution entitled “Peaceful Settlement of Border Disputes” established at the global level the principles of resolving territorial issues peacefully through dialogue, mutual trust, and consideration of the interests of all parties. For Central Asia, where historic progress has been achieved in recent years in the delimitation of state borders, the document represented important confirmation of the relevance of the region’s accumulated experience and recognition of the contribution made by Central Asian countries to international security.

The political and legal foundation that has been established is now undergoing further institutional development. The leaders’ declarations and agreements are supported by a comprehensive set of mechanisms, including the Supreme Interstate Council, the Intergovernmental Commission, the Interparliamentary Commission, the Business Council, and formats for interregional cooperation. Significantly, the twelfth meeting of the Joint Intergovernmental Commission was held in Cholpon-Ata in June this year, during which the parties agreed on further measures to expand trade, industrial cooperation, and transport and energy interaction.

The intensive political dialogue is naturally reflected in the economy, which today serves as one of the clearest indicators of the changes that have taken place. Over the past ten years, bilateral trade has increased more than sevenfold, from USD 167.5 million to USD 1.2 billion. Last year alone, growth of 40 percent was recorded.

At the same time, Uzbekistan has become one of Kyrgyzstan’s largest trading partners, accounting for approximately 7 percent of its foreign trade turnover. It is noteworthy that mutual trade has become considerably more diversified in recent years.

Whereas bilateral trade was previously based mainly on the exchange of agricultural products, it is now increasingly dominated by higher value-added goods and products from processing industries. In particular, more than 90 percent of Uzbek exports consist of processed products (40 percent), finished goods (45 percent), and services (6 percent).

A clear example of this progress is the growing number of enterprises involving capital from the two countries. More than 300 enterprises with Kyrgyz investment currently operate in Uzbekistan, while around 70 enterprises involving Uzbek businesses operate in Kyrgyzstan. This indicates that the business communities of the two countries increasingly regard each other not only as markets for their products, but also as partners in joint production and the development of long-term industrial ties.

The Uzbekistan–Kyrgyzstan Development Fund has become an important instrument in supporting this trend. The decision to increase its authorized capital to USD 200 million significantly expands opportunities to finance projects in industry, agriculture, logistics, energy, construction, tourism, and services. This is helping to create a more sustainable economic foundation for bilateral cooperation. In the future, joint ventures could become the core of cross-border production chains targeting third-country markets by combining Uzbekistan’s industrial capacity, Kyrgyzstan’s natural resource and energy potential, and the advantageous geographical position of both countries.

The dynamic growth of trade and industrial cooperation has naturally increased the importance of transport connectivity, which is becoming one of the key areas of the new stage of Uzbek–Kyrgyz cooperation. In recent years, cooperation has moved beyond the modernization of roads and border checkpoints toward the implementation of regional-scale infrastructure projects. Chief among them is the China–Kyrgyzstan–Uzbekistan railway, which opens a new chapter in the transport integration of Central Asia.

After almost three decades of discussion, the project has entered the implementation stage. With a total length of 538 kilometres, the railway will connect China’s western regions with Central Asia and provide the shortest overland route toward the Middle East and Europe.

The new railway is expected to shorten the freight route between China and Europe by approximately 900 kilometres, reduce delivery times by seven to eight days—almost one-third—and carry up to 15 million tonnes of cargo annually.

For Kyrgyzstan, the project means transforming from a landlocked country into an important Eurasian transit link. For Uzbekistan, it means diversifying export routes, strengthening ties with China, and improving the resilience of foreign trade. At the same time, the project’s significance extends far beyond the construction of a railway. Logistics centres, industrial zones, and new production facilities will emerge along the route. Combined with the development of the Trans-Afghan Transport Corridor, this will create the conditions for Central Asia to become one of Eurasia’s key transport and logistics hubs.

Energy cooperation occupies a special place in the Uzbek–Kyrgyz partnership. For many years, water and energy issues remained among the most sensitive aspects of relations between the countries of the region. Today, however, a fundamental shift is taking place: rather than focusing on differences, the parties are increasingly concentrating on joint solutions.

The most ambitious example of this approach is the construction of the Kambarata-1 Hydropower Plant, which Kyrgyzstan is implementing jointly with Uzbekistan and Kazakhstan. The project, valued at approximately USD 4 billion, envisages the construction of a hydropower facility with a capacity of 1,860 MW and annual electricity generation of 5.6 billion kWh, making it one of the largest energy facilities in Central Asia.

The project’s importance goes far beyond the energy sector. For the first time in the region’s history, three states are jointly implementing an infrastructure project of this scale, sharing investment, risks, and future benefits. Its implementation will strengthen regional energy security, enhance the sustainability of the water and energy balance, and expand opportunities for mutual electricity supplies.

At the same time, the sustainability of the strategic partnership is determined not only by large-scale infrastructure projects. The humanitarian dimension of cooperation, rooted in the historical closeness of the two peoples and intensive interpersonal contacts, plays an equally important role.

More than 300,000 ethnic Kyrgyz currently live in Uzbekistan, where six Kyrgyz cultural centres and more than 50 schools offering instruction in the Kyrgyz language operate. Kyrgyzstan, in turn, is home to a large Uzbek community that forms an integral part of the country’s social and cultural fabric. These humanitarian ties have become one of the most important sources of trust between the two states.

The most vivid practical manifestation of the level of trust achieved can be seen in the Fergana Valley, a region where the most complex issues of cross-border interaction had been concentrated for decades. In many ways, the valley serves as a reflection of the processes taking place across Central Asia. Today, it is gradually being transformed from an area of potential disagreement into a territory of cooperation, dialogue, and joint development.

An important symbol of this transformation was the first Fergana Peace Forum, held in the city of Fergana in October 2025 under the slogan “Fergana Valley: Joining Efforts for Peace and Progress.” For the first time, the Fergana Valley became a platform for developing joint solutions. Discussions focused on strengthening trust, advancing cross-border cooperation, unlocking the region’s economic potential, promoting cultural engagement, and enhancing the role of young people in ensuring sustainable peace.

A notable feature of the Fergana Forum was the holding of Yntymak Day, or “Day of Unity,” under its auspices. Since 2023, the event has been held in Kyrgyzstan as a platform for strengthening dialogue among government bodies, civil society institutions, and international organizations in support of peace and harmony in the region. In 2025, it was held in Uzbekistan for the first time.

The emerging atmosphere of cooperation is reflected not only in political initiatives but also in the growth of humanitarian contacts between the citizens of the two countries. Cooperation in tourism expanded considerably in 2025. Kyrgyzstan is among the largest sources of tourists visiting Uzbekistan. While approximately 652,000 Kyrgyz citizens visited the country in 2021, the figure reached 3.3 million in 2025. The growth in mutual travel demonstrates that open borders and improved transport links are already having a direct impact on everyday contacts between the people of the two countries.

Cultural exchange is also expanding. Days of Culture, joint festivals, educational programmes, and events dedicated to the legacy of prominent figures from both nations are strengthening Central Asia’s shared humanitarian space. The legacy of Chinghiz Aitmatov, whose works form part of the region’s common cultural heritage, carries particular symbolic importance.

Joint events marking anniversaries associated with his life and work demonstrate that culture is becoming an important means of strengthening mutual understanding between the two peoples.

Kyrgyzstan’s election as a non-permanent member of the United Nations Security Council for 2027–2028 adds an international dimension to the Uzbek–Kyrgyz partnership. This historic achievement not only reflects the high degree of confidence that the international community places in Kyrgyzstan’s foreign policy, but also opens new opportunities to promote Central Asian interests on the global stage.

For Uzbekistan, Kyrgyzstan’s membership of the Security Council offers an additional opportunity for closer coordination on regional security, sustainable development, the water and climate agenda, transport connectivity, and the strengthening of multilateral cooperation. It will enable the countries to advance Central Asia’s shared interests more consistently, building on the high level of trust and strategic partnership established between the two states.

Kyrgyzstan’s election can also be regarded as a shared achievement for the region, reflecting Central Asia’s growing international standing and recognition of the policy of good-neighbourliness and constructive cooperation pursued by the region’s states.

Against this background, the issue of further deepening the Uzbek–Kyrgyz strategic partnership is taking on particular significance. Whereas the previous stage of bilateral relations focused on restoring trust, resolving accumulated disagreements, and creating a solid political and legal foundation for cooperation, the success of the current stage will largely depend on the ability of the two states to make joint use of emerging opportunities and translate the level of political trust achieved into sustainable institutional mechanisms for long-term development.

This is especially relevant in the context of implementing major projects designed for decades to come, including the China–Kyrgyzstan–Uzbekistan railway, the Kambarata-1 Hydropower Plant, the expansion of industrial cooperation, and the formation of new transport, logistics, and production chains. Their effectiveness will depend not only on the volume of investment but also on the parties’ ability to ensure predictable conditions for cooperation, coordinated decision-making, and the long-term stability of the mechanisms they establish.

The development of cross-border cooperation remains one of the most promising areas. The final settlement of state border issues has created opportunities to transform border regions into spaces of shared economic growth. Further improvement of cooperation mechanisms between border regions, the implementation of joint infrastructure projects, and stronger interregional ties could make these areas one of the key drivers of bilateral cooperation.

At the same time, construction of the China–Kyrgyzstan–Uzbekistan railway is creating the conditions for the establishment of joint logistics and industrial zones along the route, the development of modern multimodal terminals, and the digitalization of customs and border procedures. This will make it possible to transform the new railway from merely a transport route into a fully fledged economic corridor that stimulates industrial development and attracts international investment.

The development of industrial cooperation offers equally important prospects. The next stage could involve the establishment of sustainable cross-border production chains, expanded cooperation between small and medium-sized enterprises, joint access to third-country markets, and the further removal of remaining administrative barriers to mutual trade and investment.

The strong complementarity of the two economies creates opportunities for deeper sectoral specialization, particularly in the agro-industrial sector. The establishment of joint clusters for the advanced processing of agricultural products would significantly increase added value, improve the competitiveness of producers, and expand export potential.

At the same time, climate change and the growing risks posed by transboundary natural hazards are objectively broadening the strategic partnership agenda. In these circumstances, strengthening mechanisms for the joint prevention of and response to emergencies, developing information-sharing and early-warning systems, and coordinating efforts to ensure the environmental security of border areas are becoming increasingly important.

The further development of water and energy cooperation remains another major priority. The Kambarata-1 Hydropower Plant project already demonstrates a transition toward a new model of regional cooperation based on joint investment, shared infrastructure management, and the distribution of benefits. In the future, the principles of mutual consideration of interests, equitable benefit-sharing, and collective responsibility for the rational use of water resources could form the basis of a modern system of regional water and energy partnership.

Thus, the further development of the Uzbek–Kyrgyz strategic partnership will be determined not only by maintaining a high level of political dialogue but also by consistently strengthening the institutional foundations of cooperation. This approach will ensure the sustainability of the progress achieved and create a solid basis for implementing joint projects in the interests of both states and Central Asia as a whole.

In conclusion, Uzbek–Kyrgyz relations are currently experiencing perhaps the most dynamic stage in the independent history of the two countries. The strategic partnership between Tashkent and Bishkek extends far beyond bilateral cooperation and is becoming an important factor in shaping a new architecture of interaction in Central Asia.

The joint settlement of border issues, implementation of major infrastructure projects, advancement of regional initiatives at the United Nations, and expansion of opportunities for coordinating international efforts demonstrate that Uzbekistan and Kyrgyzstan are moving from resolving accumulated problems to jointly shaping the future. This model of partnership is becoming one of the key sources of stability, connectivity, and international agency for Central Asia as a whole.

Azamat Sulimanov
Head of Department, Institute for Strategic and Regional Studies under the President of the Republic of Uzbekistan (ISRS)

Shakhlo Khamrakhodjaeva
Leading Research Fellow, Institute for Strategic and Regional Studies under the President of the Republic of Uzbekistan (ISRS)

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

The Center for Economic Research and Reforms (CERR) has prepared an infographic presenting key indicators of trade, economic and investment cooperation between Uzbekistan and Tajikistan over a nine-year period.

In recent years, economic cooperation between Uzbekistan and Tajikistan has been steadily expanding, now encompassing not only trade but also industrial cooperation across various sectors, particularly energy and agriculture.

A solid legal framework has been established to support bilateral cooperation across multiple areas. In 2018, the countries signed a Treaty on Strategic Partnership, followed by a Treaty on Allied Relations in 2024.

Tajikistan is among Uzbekistan’s key trade and economic partners, ranking 9th among importers of Uzbek goods and accounting for 2% of Uzbekistan’s total exports.

Bilateral trade between Uzbekistan and Tajikistan is conducted under a free trade regime, with total trade turnover approaching $1 bn.

Bilateral Trade Indicators

Trade turnover between Uzbekistan and Tajikistan increased 3.8 times over 2017–2025, from $237.9 mln to $912.4 mln. Exports grew 3.7 times, from $186.1 mln to $683.1 mln, while imports rose 4.4 times, from $51.8 mln to $229.3 mln. Uzbekistan’s positive trade balance expanded 3.4 times, from $134.3 mln to $453.8 mln.

In 2025, compared to 2024, trade turnover increased by 29.9%, exports by 24.1%, and imports by 13.8%.

The structure of Uzbekistan’s exports to Tajikistan in 2025 totaled $683.1 mln and included: industrial goods (various knitted and felt products, plastic products, rolled metal, etc.) – $222.7 mln (32.6%); machinery and transport equipment (including electrical goods) – $58.7 mln (8.6%); petroleum products (gasoline, gas oil, bitumen) – $53.1 mln (7.8%); chemical products (polymers, sulfates, silicates, fertilizers, paints) – $53 mln (7.8%); food products (animal feed, eggs, confectionery, processed meat products, etc.) – $48.2 mln (7.1%); miscellaneous manufactured goods (construction materials, ready-made garments, silk fabrics) – $21 mln (3.1%); non-food raw materials– $8.1 mln (1.2%); other goods (including goods traded by individuals) – $70.1 mln (10.3%); as well as services (mainly railway transport) – $147.4 mln (21.6%).

The structure of imports from Tajikistan in 2025 totaled $229.3 mln and included: metal ores and concentrates (zinc, copper and precious metals) – $108.9 mln (47.5%); coal – $22.3 mln (9.7%); aluminum – $25.4 mln (11%); electricity – $17.9 mln (7.8%); cotton fiber – $17.6 mln (7.8%); fruits – $7.4 mln (3.2%); ferrous metals – $5.1 mln (2.2%); poultry — $2.4 mln (1.1%); plastic waste – $1.8 mln (0.8%); sulfur, feldspar and others; as well as services (mainly railway transport) – $6.6 mln (2.9%).

Investment Cooperation

As of March 1, 2026, there are 420 enterprises in Uzbekistan with Tajik investment (2.2% of the total number of enterprises with foreign investment), including 110 joint ventures and 310 enterprises with 100% Tajik capital.

In 2025, compared to 2024, the volume of foreign direct investment (FDI) and loans attracted from Tajikistan tripled, increasing from $64 mln to $196 mln. Over 2017–2025, the total volume of attracted FDI and loans from Tajikistan amounted to $373 mln.

The main areas of activity of enterprises with Tajik capital include trade, construction materials production, food industry, transport and other services.

Enterprises with Uzbek investment are also successfully operating in Tajikistan. In particular, major joint projects are being implemented in the energy sector, including the construction of hydropower plants on the Zarafshan River. With the participation of private capital from Uzbekistan, the joint venture “Artel Avesto Electronics” was established in Tajikistan in 2019, producing more than 10 types of household appliances.

Prospects for Trade Expansion

Uzbekistan and Tajikistan share a common border and have well-developed transport infrastructure. Given the short delivery distances, transportation costs can be relatively low, which creates favorable conditions for expanding exports.

In this context, Tajikistan represents a promising market for increasing exports of finished products from Uzbekistan that are not produced domestically in Tajikistan and are imported. These include automobiles, household appliances—especially large-sized goods such as refrigerators, washing machines and air conditioners—as well as certain food products, textiles, chemical and other goods.

The President of Uzbekistan signed the Constitutional Law “On the Tashkent International Financial Center”.

In the legal hierarchy of the state, a Constitutional Law ranks immediately after the Constitution. This means that no agency, no instruction and no by-law may contradict its provisions. For an investor, especially an international one, this is the highest form of legal guarantee: capital flows to where it cannot be taken away tomorrow.

The signing of the Constitutional Law was accompanied by amendments to the Basic Law and dozens of legislative acts — the Criminal, Civil, Tax and Customs Codes, as well as laws on banks, securities, investment, auditing and many others.

Article 15 of the Constitution has been supplemented with a provision stating that a special legal regime may be established in special zones within the country's unified legal space. This legitimizes the existence of the TIFC as a jurisdiction with different rules within Uzbekistan, without contradicting the Basic Law.

Article 131 of the Constitution has been supplemented with a provision allowing for the establishment of specialized courts in zones with a special legal regime, which forms the constitutional basis for the Tashkent International Commercial Court.

The Tashkent International Financial Center is being established as an independent entity with clearly defined boundaries that cannot be arbitrarily reduced once it becomes operational.

The legal system of the TIFC is based on English law and the principles of equity of England and Wales. This is the very system under which the world’s largest financial centers operate. It is familiar and well understood by global banks, investment funds and multinational corporations. In other words, it is the language of international capital.

All decisions taken by the center's bodies are published in the official register in English, which is an important signal for foreign participants. The translation barrier, which often becomes a source of dispute, is eliminated here from the outset.

Particular attention should be paid to the establishment, within the TIFC, of the Tashkent International Commercial Court, which will become an institution of trust. The court enjoys full independence, and no agency or state body has the right to instruct it or interfere in its activities. Judges may be citizens of any state — specialists in international trade law, finance, technology and arbitration — which opens the way to attracting judges of international standing and reputation.

It is also important that the rulings of the Tashkent International Commercial Court are binding throughout the territory of Uzbekistan and cannot be reviewed by the country’s ordinary state courts, except in strictly defined cases. The court consists of a court of first instance and a court of appeal.

The law establishes a clear and exhaustive list of protective mechanisms for TIFC participants. First and foremost is the prohibition on confiscation, nationalization, expropriation and the freezing of assets other than by court order and strictly in accordance with the law.

Participants of the Tashkent International Financial Center are guaranteed freedom of capital movement and the right to conduct transactions in foreign currency and digital assets within the limits established by the Financial Services Authority together with the Central Bank of Uzbekistan. The right to freely repatriate capital is also provided for — that is, the ability to transfer profits abroad without administrative obstacles.

A separate set of provisions sets out the tax and customs regime. The TIFC's bodies and the structures under their control are exempt from corporate income tax and the social tax. This benefit is fixed until 1 January 2076 — that is, for 50 years. This is not a tactical incentive but a strategic guarantee designed to span a change of generations.

The list of services that participants may provide within the center covers the entire spectrum of the modern financial industry. These include banking and insurance activities, management of investment and pension funds, trust structures, leasing, crowdfunding, Islamic finance, work with digital assets, market-making, and transactions with securities of all classes — shares, bonds, sukuk and derivatives.

In addition to the financial sector, activity is permitted in auditing, consulting, legal and accounting services, corporate governance, and financial-technology (fintech) startups. Provision is also made for the establishment of holding companies, special-purpose vehicles and treasury companies.

The law also establishes a special visa regime for foreign nationals working at the Tashkent International Financial Center. An entry visa valid for up to five years can be obtained directly at Tashkent International Airport. Foreign specialists may be hired without obtaining work permits in Uzbekistan, which significantly simplifies the recruitment of global talent.

The Tashkent International Financial Center is governed through four bodies: the TIFC Council, the Administration, the Financial Services Authority, and the Tashkent International Commercial Court. Each operates within strictly defined powers and has no right to interfere in the sphere of competence of another.

The composition of the Council is approved by the President of Uzbekistan. At least one-third of the Council's members must be independent specialists in international finance and law who have never held positions within the government system of Uzbekistan. This serves as a safeguard against the governing body turning into just another administrative structure.

Council members (other than the chairperson) are appointed for a term of five years and may be removed early only on grounds provided for by law. The stability of the governing body's composition is another form of predictability for market participants.

Thus, the creation of the Tashkent International Financial Center is not merely another economic development project. It is a declaration of intent, enshrined at the highest legal level. Uzbekistan wants — and is ready — to become part of the global financial system as a fully-fledged platform operating under clear, internationally recognized standards.

Half a century of tax incentives, English law, an independent international court, constitutional guarantees for the protection of capital, and simplified visa procedures — each of these elements is, on its own, a competitive advantage. Together, they form a system capable of attracting long-term, institutional, smart capital.

Dildora Kamalova
Member of the Legislative Chamber of the Oliy Majlis of Uzbekistan

(Dunyo IA)