Digital cooperation between Uzbekistan and South Korea already runs through telecommunications manufacturing, e-government data centers, healthcare digitization, artificial intelligence, and education — infrastructure the Central Asia–Korea Summit puts a spotlight on, not one it creates

For Uzbekistan, digital transformation is not a single initiative but a declared national priority, and South Korea has become one of its most consistent partners in pursuing it. As Uzbekistan diversifies its economy and builds out its technology sector, cooperation with Korea reaches into nearly every layer of that effort — telecommunications infrastructure, government data systems, hospital diagnostics, and university classrooms among them.

That relationship is especially dense in information technology, a sector both governments have identified as central to the partnership. Korean companies build infrastructure and open offices inside Uzbekistan; Korean universities train Uzbek engineers; Uzbek IT firms increasingly sell services into the Korean market. High-level meetings between the two countries, including the Central Asia–Korea Summit, mark and reinforce this cooperation rather than create it the projects behind it were already underway.

Korean partners have already manufactured the fiber-optic cable running through part of Uzbekistan's telecommunications backbone, supplied the servers and storage behind its national e-government data center, and begun designing a joint digital government cooperation center for Tashkent. IT Park Uzbekistan opened a representative office in Seoul on October 30, 2024, under a newly formed Uzbek-Korean IT Business Alliance developed with the Korea Institute for International Industrial Cooperation — one visible marker of a relationship that is already several projects deep.

Institutional foundations

Uzbekistan's digital transformation has been driven by a series of structural reforms over the past several years: a dedicated ministry overseeing digital technologies, IT Park Uzbekistan as the country's flagship technology hub with resident-company incentives, and a national strategy for artificial intelligence from 14.10.2024 № RP-358. A national "Digital Government" program, adopted under Presidential Resolution PR-257 from 08.07.2026, set the framework for much of the e-government modernization described below. Two annual state awards — the President Tech Award and the President AI Award — recognize achievement in the sector.

Digital infrastructure and e-government

Uzbekistan's Unified Interactive State Services portal is the backbone of its e-government system and is currently being modernized with artificial intelligence tools, natural-language-processing chatbots, geospatial data integration, and proactive services that deliver documents and notifications to citizens automatically. The infrastructure behind this system was built with direct Korean participation: a project to expand the storage and processing infrastructure for the e-government system was financed with support from Korea's Economic Development Cooperation Fund (EDCF), combining concessional financing with tax and customs incentives from the Uzbek side. Following a tender, a major Korean IT company was selected as general contractor and delivered the data-center network infrastructure, servers, and storage systems, along with software for virtualization, cloud services, monitoring, and information-security incident management. A separate data-center project is planned for the Republic of Karakalpakstan.

IT industry and services export

IT Park Uzbekistan is the country's central vehicle for attracting foreign technology companies, offering resident status with tax and customs benefits. By the first half of 2026, 23 companies with Korean capital were registered as residents — up 53 percent from 15 in the first half of 2024, employing 126 specialists in software engineering, technical support, IT consulting, data processing, and business process outsourcing. Among them are LG CNS Uzbekistan, the ITOMAX Central Asia Development Center, and NOMADIAN. Over the same two-year period, the number of resident companies exporting IT services to South Korea doubled, from 12 to 25, and employment among those exporters rose from 145 to 285 specialists, a 97 percent increase. Sector-wide digital services exports reached $2,606,287 in 2025 and $716,970 in the first half of 2026 alone.

Manufacturing capacity has followed the software growth. Global Optical Communication Uzbekistan, a joint venture with South Korean sector partners, produces fiber-optic cable domestically, having manufactured 232,100 kilometers of cable worth 657.5 billion soums between 2022 and 2025, alongside localization of production and new job creation.

Where the cooperation runs deepest

The breadth of Uzbek-Korean digital cooperation is easiest to see sector by sector.

Government-to-government. Cooperation rests on agreements signed between the two countries' digital technology, internal affairs, security, science, and ICT authorities, alongside joint work within international telecommunication and postal bodies. The clearest expression of this is the planned Digital Government Cooperation Center, to open in Tashkent between 2026 and 2028 with Korea's Ministry of Interior and Safety (MOIS), which already cooperates with Uzbekistan on digital government development. Its mandate covers policy consulting, joint research, civil-servant training, and adapting Korean administrative-technology practice for Uzbek systems — including the modernization of the national services portal described above, an international digital-government forum, and a program to train digital-transformation leads inside individual government bodies. Civil-servant training is already running: Korea's LOGODI institute has been upskilling ten Uzbek officials a year, thirty in total so far.

Healthcare. With technical support from Korea's KOFIH (Korea Foundation for International Healthcare), Uzbekistan is digitizing its national screening system with UZINFOCOM, aiming at earlier disease detection and better monitoring. A separate project, backed by a Korean financial institution, is building a hospital information system integrating medical imaging, AI diagnostics, and electronic medical records, alongside staff training. A state technology integrator has signed a cooperation agreement with a Korean private technology company to bring Uzbek-developed digital solutions into the Korean and Southeast Asian markets — early discussions cover HR-management systems and biometric identification for government buildings.

Artificial intelligence. The two countries frame AI cooperation around complementary strengths: Korea brings a developed regulatory framework, a national data platform, prepared datasets, AI safety mechanisms, high-performance computing, and industrial AI experience; Uzbekistan brings an adopted national AI strategy, an emerging open-data system, and an institutional base for applying AI in public administration and the economy. The stated ambition is for Uzbekistan to pilot AI solutions in healthcare, education, and public services, then extend proven models across Central Asia — positioning Korean partners at the front of a regional rollout, not a single national market.

Education. The Tashkent branch of Inha University, operating since 2014, runs a 4+0 bachelor's program in computer engineering, a 3+1 program in business logistics, and a 1+1 MBA in digital transformation, with Korean-language instruction and robotics workshops; close to 670 students have studied in South Korea through its exchange programs, and ten top students go to Inha's home campus each year on Summer School grants. Tashkent University of Information Technologies hosted more than 80 Korean professors between 2018 and 2023, sent 63 students on exchange to South Korean universities, and is building a joint Business-IT program with a Korean partner university, alongside joint tracks in big data and AI, AI-driven fintech, and ICT engineering. Cyber University has moved quickly on Korean ties: KAIST faculty visited in October 2025, a December 2025 delegation to Konkuk University's GLOCAL campus produced an agreement on faculty exchange and joint research, and a separate industry partnership with a South Korean AI company covers applied research and student projects. Cheju-Halla University runs a joint program for a selected group of high-performing Uzbek students.

Government funding underpins much of this training pipeline. KOICA (the Korea International Cooperation Agency) is running a $14 million project to build out Uzbekistan's IT-education ecosystem, and in 2025 alone funded professional training for 45 civil servants at a cost of $450,000. Korea IT Academy co-runs the Uzbekistan Summer Camp together with Uzbekistan's Ministry of Digital Technologies, the Center for Digital Education Development, and School 21, alongside a dual-degree program with Uzbek partners. In total, Korean grants and investment for joint projects reached roughly $17 million in 2026 — about $14 million from KOICA and roughly $1 million each from Cheju-Halla University, Korea IT Academy, and MOIS — funding IT education, digital-government cooperation, workforce training, and youth innovation projects. Much of that training tracks Korean labor-market demand directly: software developers, AI engineers, data scientists, cybersecurity specialists, cloud and DevOps engineers, mobile and web developers, and GovTech specialists are among the roles Korean employers are seeking from this pipeline.

Alongside these institutional partnerships, the Ministry of Digital Technologies has expanded initiatives to bring more youth into STEM and IT careers.

Korean partners are not being asked to imagine a market. They are already inside Uzbekistan's infrastructure, hospitals, classrooms, and government data systems, with contracts and counterparts in place.

“Our cooperation with South Korea today reaches into nearly every layer of our digital economy — from the fiber-optic plant producing cable for our own telecommunications networks, to the data center that now stores the records of our national digital-government system, to the hospitals adopting Korean-backed diagnostic tools, and the classrooms where Korean professors and Korean grants train our students. Korean partners committed roughly $17 million to joint projects in the past year alone, spanning IT education, digital government, artificial intelligence, and workforce training. This is one of our most substantive technology partnerships, and we intend to deepen it further — through a joint digital government center, expanded AI cooperation, and a wider door for Korean companies into our market and the region beyond it.”

— Sherzod Shermatov, Minister of Digital Technologies of the Republic of Uzbekistan.

International positioning

Uzbekistan has been positioning itself as a regional hub for digital cooperation in Central Asia, a role reinforced by its hosting the International Olympiad in Informatics (IOI) in 2026. For Korean partners, this matters beyond Uzbekistan's own market: solutions piloted domestically are explicitly intended to extend across neighboring Central Asian countries once proven.

Over the next three to five years, the areas most likely to define Uzbek-Korean digital cooperation are the ones already carrying the heaviest institutional weight: the joint digital government center, continued data-center and healthcare-infrastructure financing, AI pilots in public administration and healthcare, and the education and grant pipelines feeding all of it. None of this depends on the outcome of any single meeting — it depends on scaling relationships that already have contracts, campuses, and funding behind them. For Korean partners, that is the signal worth reading: a market already under construction, not one still being pitched.

At a glance

• Korean-capital IT Park Uzbekistan residents grew from 15 (H1 2024) to 23 (H1 2026), +53 percent; resident companies exporting IT services to South Korea doubled, from 12 to 25, over the same period.
• Korean grants and investment for joint digital projects reached roughly $17 million in 2026, led by a $14 million KOICA project to build out Uzbekistan's IT-education ecosystem.
• A Korean IT company built Uzbekistan's e-government data center under EDCF financing; a joint Uzbek-Korean Digital Government Cooperation Center, developed with Korea's MOIS, is planned for Tashkent for 2026–2028.
• Global Optical Communication Uzbekistan, a joint venture with South Korean partners, produced 232,100 km of fiber-optic cable worth 657.5 billion soums between 2022 and 2025.
• Korean partners are engaged across healthcare digitization (KOFIH, hospital information systems), AI cooperation, and education (Inha University's Tashkent branch, TATU, Cyber University, Cheju-Halla University, Korea IT Academy).

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

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

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

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

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

Dunyo IA

In recent years, taking into account international standards and advanced foreign experience, ensuring the protection of the rights of convicts, respect for their honor and dignity, education of morality and conscientious work for further social adaptation in society upon release, a fundamental improvement of the penal enforcement legislation in the Republic of Uzbekistan has been carried out with the introduction of effective legal mechanisms.

Currently, there are a number of international conventions and provisions aimed at protecting the rights of convicts, which are regulated by the International Covenant on Civil and Political Rights. (1966), "Convention against torture and other cruel, inhuman or degrading treatment or punishment" (1984), "Declaration on the protection of all persons from torture and other cruel, inhuman or degrading treatment or punishment" (1975), "Standard minimum rules for the treatment of convicts (Nelson Mandela rules)" (2015), "UN rules for the protection of minor children deprived of liberty " (1990), "Basic principles of the treatment of convicts" (1990).

Based on the norms of these international documents developed and adopted by the international community on standards for the treatment of convicts, systematic work is underway in the country to humanize execution and reduce negative consequences during their execution, as well as strengthen the legislative, organizational and legal framework for the protection of human rights, the implementation of international human rights standards into national legislation and other important norms human life activities that have been accepted for implementation by the Republic of Uzbekistan as a subject of the above-mentioned and other international treaties.

It is important to note that "Standard minimum rules for the treatment of prisoners" of UN 1955 are generally recognized minimum standards for the detention of prisoners and have great importance and influence on the improvement of legislation, criminal law policy and the practice of penitentiary institutions around the world.

The revised text of these standard minimum rules of December 17, 2015 at the 70th session of the UN General Assembly № A/RES/70/175 was unanimously adopted in the form of a resolution. These Rules became known as the "Nelson Mandela rules" as a sign of respect for his memory after the death of the famous statesman, the President of South Africa, who outlined these rules based on the experience of spending a long part of his life in prison.

It is also necessary to pay attention to the fact that, following the visit to Uzbekistan of the Special Rapporteur of the UN Human Rights Council, the topic "Promotion and protection of human rights and fundamental freedoms in the fight against terrorism" recommendations were made to bring the legislation of the Republic of Uzbekistan into line with the minimum standard rules for the treatment of prisoners (Nelson Mandela rules), in order to improve the conditions of detention of convicts in penal institutions, to ensure the rights to freedom of religion, which formed the basis of the “Road maps”, developed in accordance with the National Action Plan of the Republic of Uzbekistan.

In order to ensure the fulfillment of these tasks, the conditions of detention of convicts in penal institutions of the Republic of Uzbekistan are considered on the basis of the requirements of the standard minimum rules for the treatment of prisoners (Mandela rules), which are gradually being implemented in accordance with these rules.

On the basis of international standards of the rights and duties of convicts, taking into account the best practices of foreign countries, the system of execution of punishments is being radically improved, the problems that have accumulated over the years are being solved.

In the new version of the Constitution of the Republic of Uzbekistan the right to life is an inalienable right of every person and is protected by law. The most serious crime is an attempt on a person's life. The death penalty is prohibited in the Republic of Uzbekistan. Essence is that no one can be intentionally deprived of life. This norm is in line with the Convention for the Protection of Human Rights and Fundamental Freedoms, as well as the International Covenant on Civil and Political Rights. The human right to life is recognized as a natural and inviolable right arising from the moment of his birth, and belongs to a person regardless of the existence of statehood and laws.

In recent years, as part of the work to bring national legislation into line with international standards, for the first time the right to be elected was granted to convicts, except for persons who committed serious and especially serious crimes (Part 6 of Article 128 of the Constitution of the Republic of Uzbekistan). The number of convicts held in institutions of general, strict, special, prison and educational regime has doubled, for correspondence, receiving visits, parcels, transfers and parcels, conducting telephone conversations.

In addition, those sentenced to imprisonment are guaranteed psychological assistance and non-application of disciplinary measures for violations committed at the time of mental disorder, and the right to a pension is established for those serving sentences in penal colonies.

Law of the Republic of Uzbekistan June 30, 2020 introduced a new norm into the Penal Enforcement Code defining the procedure for the application of incentive measures for persons serving sentences, expanded measures aimed at ensuring the personal safety of convicts while serving their sentences.

At the request of the convicts, long-term visits can be replaced by short-term visits or remote video calls or telephone conversations, and short-term visits are replaced by remote video calls or telephone conversations. Persons serving sentences from low-income families are employed in high-paying jobs.

In the process of ongoing reforms, special attention was paid to creating decent conditions for convicts, for this purpose, the pre-trial detention facility -64/1, which had a negative character and was popularly nicknamed "Tashturma", was closed in Tashkent. Instead, a new pre-trial detention facility №1 has been built and is functioning in  Zangiata district of the Tashkent region, fully meeting international standards. Similarly, the institution "Jaslyk" in Karakalpakstan was abolished, and the convicts held in it were transferred to other colonies of the republic.

In recent years, there has been a tendency in our country to use alternative, non-custodial measures, which has reduced the number of convicts sent to penal institutions. This situation has made it possible over the past four years to reduce three penal colonies of the general regime, one each in Navoi, Kashkadarya and Tashkent regions.

In the Republic, the legislative, executive, and departmental authorities constantly monitor compliance with the rule of law and ensure the rights and legitimate interests of persons serving sentences in places of deprivation of liberty.

Thus, with the introduction of the post of Commissioner of the Oliy Majlis of the Republic of Uzbekistan for Human Rights (Ombudsman) He was granted the right to freely visit penal institutions. The Ombudsman and the Prosecutor have separate mailboxes designed for applications and complaints from these persons. The Prosecutor's Office and the Ombudsman regularly examine the observance of laws in penal institutions. The management of the Department for the Execution of Punishment constantly carries out field visits to places of deprivation of liberty in order to study the complaints and statements of convicts and make an appropriate decision and its immediate execution.

It should be added that, according to the recommendations of the UN charter bodies and treaty committees, the national preventive mechanism is being improved on the basis of the "Ombudsman Plus" model. The Ombudsman, and the Children's Ombudsman, the National Center for Human Rights and the Business Ombudsman have also been given the authority to monitor penal institutions.

As a result of the ongoing reforms, completely new priorities of the State penal enforcement policy have been developed and put into practice, providing for the following main aspects.

In particular, the Penal Enforcement Code has been supplemented with a new Article 102 "Procedure for the application of incentive measures", which abolished restrictions on visits of juvenile convicts with their parents or persons replacing them; convicted pregnant women with children are granted additional rights to long visits with minor children lasting up to five days - four times a year as well as long - term visits with the possibility of living outside the territory of the institution, the application of incentive measures to convicts - at least twice a year; if there is a threat to the safety of a person sentenced to imprisonment, it is established that he can apply, verbally or in writing, to any employee of the institution for the execution of punishment in order to ensure the declared safety, while the requirement is defined – upon receipt of such a statement about the need for immediate action, measures should be taken immediately to ensure his safety. An important requirement is also to prevent the unjustified use of rudeness, physical force and special means by employees and military personnel during the search of convicts; timely and appropriate conduct of long and short-term visits, telephone conversations, remote video communication, short-term remote video communication or telephone conversation.

It should be noted that such measures of encouragement for convicts are also enshrined in the penal codes of Spain, Turkiye, Japan and some other countries.

In accordance with the norms of the Penal Enforcement Code of the Republic of Uzbekistan, penitentiary institutions provide measures to protect the health of convicts, ensure their education, free use of libraries and other authorized sources of information (radio, television, movies and video films, etc.).

The "Import model" of prison management in Norway with a developed penal enforcement system is of interest. To implement this model, work is underway to establish a system of providing services (education, library use, health care) in places of detention.

It is also necessary to mention the Law of the Republic of Uzbekistan dated December 7, 2021, which, in order to humanize minors in the Penal Enforcement Code, provides for a norm defining the placement of persons in educational colonies not from the age of 13, but from 14. This has become one of the important steps towards reliable protection of the rights and legitimate interests of minors in the process of criminal and judicial proceedings in our country.

In order to further deepen the large-scale reforms being implemented in the system of Ministry of Internal Affairs, decree of March 26 and Resolution of April 2, 2021, the Main Directorate for the Execution of Punishment was transformed into the Department for the Execution of Punishment under the Ministry of Internal Affairs, it defines the legal basis for the department's activities to ensure the order of serving punishment by digitalizing the penal enforcement system, which will eliminate errors related to the human factor.

In addition, the law of the Republic of Uzbekistan dated February 15, 2023 "On State pension provision for citizens" provides that any work performed by persons sentenced to imprisonment while serving their sentence in penal institutions may be envisaged that the convicted person will be included in the work record in case of tax payment. This procedure is now defined in Article 96 of the Penal Enforcement Code of the Republic of Uzbekistan in a new edition, which has been renamed as "Payment of social tax and pension provision for convicts." Its first part defines "The expenses of institutions for the execution of punishment for the payment of labor sentenced to imprisonment that are subject to social tax", along with this, convicts have the right to transfer funds and use other services provided to convicts.

An important legislative decision is the prohibition of the use of a punishment measure with the use of a "straitjacket". This provision is based on Article 26 of the Constitution of the Republic of Uzbekistan, which states: "No one may be subjected to torture, violence, or other cruel, inhuman or degrading treatment or punishment" directly acts to prevent the use of torture and other cruel, inhuman or degrading treatment or punishment in penal institutions.

As a result of the ongoing reforms in the system of state penal enforcement policy, it is stipulated that common living quarters for persons with disabilities of groups I and II sentenced to imprisonment should be equipped with special means and devices; it is allowed to watch films, television and radio broadcasts, except for the time allotted for night rest; criteria for treatment are defined convicts.

In addition, it is important to eliminate corruption factors in assessing the behavior of convicts by including the length of service in the institution in the total length of service for their further retirement and, most importantly, by establishing strict criteria that determine the way to correct convicts.

The above allows us to conclude that the reforms carried out in this area are yielding positive results. In particular, recently the offenses of convicts in places of deprivation of liberty and after their release have been reduced; to a greater extent, the conditions of serving a sentence in the form of imprisonment comply with international standards, the incentive mechanisms applied to convicts serving sentences and those who have embarked on the path of correction are being improved, they ensure the protection of the rights, freedoms and legitimate interests of convicts, allowing them not to violate their interests; Public groups and citizens' self-government bodies are actively involved in the educational process of correcting convicts; offenses by law enforcement agencies have significantly decreased.

Mirzayusup Rustambayev,

Head of the University of Public Safety of the Republic of Uzbekistan, Doctor of Law, Professor

Today, Uzbekistan and Kyrgyzstan are connected not only by a shared border and close historical and cultural ties. A common economic space is gradually emerging, built on mutual trade, industrial cooperation, joint investment, and direct ties between businesses and regions.

Over the past decade, the two countries have moved from resolving accumulated issues to implementing concrete projects. The border is becoming a link rather than a barrier, while the complementary nature of the two economies is creating new opportunities.

Drivers of Trade and Economic Cooperation

The transformation is most clearly reflected in the growth of bilateral trade. Compared with 2016, mutual trade has increased more than sevenfold. Uzbekistan’s exports have grown more than sixfold, while imports from Kyrgyzstan have increased more than ninefold. Thus, the flow of goods is expanding in both directions.

In 2025, Uzbekistan’s foreign trade turnover with Kyrgyzstan reached nearly $1.2 billion, rising by 37% year-on-year. Uzbekistan’s exports to Kyrgyzstan increased by 46.5% to $771 million, while imports reached $428 million, up nearly 23%.

The positive trend continued in 2026. In January–May, trade turnover approached $469 million, increasing by 45.5%. Uzbekistan’s exports rose by 63% to $771 million, while imports from Kyrgyzstan increased by nearly 13% to $428 million.

The structure of bilateral trade has also changed significantly in recent years. For example, while light industry products accounted for more than 50% of Uzbekistan’s exports in 2021–2022, their share declined to 19%, or $147 million, in 2025. Agricultural and food products accounted for 15%, or $112 million; machinery, equipment, and vehicles for 11%, or $87 million; and chemical products for 11%, or $81 million.

At the product level, exports are primarily composed of finished textile products, electricity, cement, mineral fertilizers, knitted fabrics, automobile bodies and components, ceramic tiles, aluminum profiles, fruit and vegetable products, and confectionery.

The quality of Uzbekistan’s export structure has also improved. The share of raw materials in exports declined from 56% in 2019 to 8.2% in 2025. Processed goods accounted for 40%, with the remainder consisting of finished products, services, and goods supplied by individuals.

Imports from Kyrgyzstan are also gaining strategic importance. In 2025, mineral and raw material products accounted for 44%, or $190 million, of imports from Kyrgyzstan. Fuel and energy products made up 26%, or $111 million, including $85 million worth of coal and lignite. Agricultural and food products accounted for 14%, or $61 million. Other significant imports included glass, natural stone, rolled metal products, tires, and packaging materials.

At the same time, considerable growth potential remains. Kyrgyzstan currently accounts for only about 1.5% of Uzbekistan’s total foreign trade turnover. This indicates that the goal set by the two countries to increase mutual trade to $2 billion by 2030 is fully achievable. However, reaching this target will require systematic efforts to diversify the range of traded goods and strengthen cooperative links that can support durable trade and investment relations.

Investment and Industrial Cooperation

Investment and industrial cooperation constitute the second major driver of economic relations between the two countries.

In 2016, only 49 enterprises with Kyrgyz capital operated in Uzbekistan. By the end of 2025, their number had reached 344, representing a sevenfold increase. As of July 1, 2026, there were already 374 such enterprises.

An important mechanism in this area is the Uzbek–Kyrgyz Development Fund, established in 2021. The fund already uses several support instruments, including investment lending, leasing, and project financing. The next stage of its development could involve expanding its portfolio and actively channeling resources into export-oriented joint ventures.

A number of joint enterprises have also been launched in recent years. These include the Kyrgyz–Uzbek Tulpar Motors automobile plant in the Chuy Region, which generates demand for metalworking, automotive components, logistics, and maintenance services.

Joint projects are also being implemented in the textile industry, household appliance manufacturing, the production of plastic and aluminum profiles, construction materials, and other sectors.

Implementation has begun on major projects such as the China–Kyrgyzstan–Uzbekistan railway and the 1.9 MW Kambarata Hydropower Plant-1.

These projects provide a solid foundation for a new structural breakthrough in bilateral relations.

Promising Areas of Cooperation

The results achieved in trade and economic cooperation, together with the rapid economic growth of Uzbekistan and Kyrgyzstan, create significant opportunities for further expanding bilateral economic relations.

One priority is to increase mutual trade, with a particular emphasis on products resulting from industrial cooperation. Achieving the target of $2 billion in bilateral trade will require more than simply increasing sales of finished goods. The two countries will need to expand trade in inputs intended for further processing as part of deeper cross-border value chains.

According to estimates by the Center for Economic Research and Reforms, Uzbekistan has the potential to increase exports to Kyrgyzstan of passenger vehicles and components, trucks, agricultural machinery, iron and steel products, finished textile products, polymer materials and finished plastic goods, electrical products and equipment, pharmaceuticals, and cement.

Kyrgyzstan, in turn, has the potential to increase supplies of mineral ores, plastic products, glass, natural stone, ceramic products, and environmentally friendly agricultural and food products.

A strategically important area of cooperation could be the transition to large-scale industrial collaboration through the creation of joint full-cycle production facilities and clusters in border regions.

In light industry, border regions produce more than 600 tons of raw cotton and have a cattle population of 4 million and a sheep and goat population of 6.4 million, providing a substantial raw material base. Proximity to China can also reduce the cost of purchasing synthetic raw materials for the industry.

Construction materials represent another promising area because their production is already one of the leading industrial sectors in the border regions. Kyrgyzstan is also experiencing a construction boom, with construction activity increasing 1.7 times in the first half of 2026, thereby generating additional demand for construction materials.

In the food industry, cooperation could focus on processing fruit and vegetables, meat and dairy products, and producing juices, jams, animal feed, and other food products.

In the mining sector, the two countries could develop joint projects for the exploration and development of mineral resources, including critical minerals and iron ore deposits. Such projects should aim to establish full production cycles, from extraction to the manufacture of finished products.

Additional potential for industrial cooperation and investment exists in electrical equipment, household appliances, pharmaceuticals, medical devices, and automotive components, including parts, batteries, tires, and plastic and metal components.

An important consideration in this area is ensuring that products are manufactured in accordance with the standards and market requirements of the Eurasian Economic Union. This would strengthen the export potential of joint projects.

As part of their industrial cooperation agenda, Uzbekistan and Kyrgyzstan should begin developing joint industrial projects along the route of the China–Kyrgyzstan–Uzbekistan railway. Logistics terminals, industrial zones, warehouses, processing centers, and freight service facilities should be established along the route. This would help create a major industrial hub in the region.

Other important areas include deeper interregional and cross-border cooperation and greater support for entrepreneurship. Promising fields include e-commerce, joint entry into third-country markets, marketplaces, startup cooperation, digital payments, tourism, and workforce training for joint enterprises.

In conclusion, Uzbekistan and Kyrgyzstan have already established a solid foundation for economic partnership. The next stage should transform quantitative growth into qualitative production integration. The two countries need to move from trading individual goods toward joint value chains, interconnected industrial cooperation networks, and a common production and logistics space.

Ruslan Abaturov,
Center for Economic Research and Reforms

Today, global development is proceeding at an unprecedented pace of urbanization — by 2050, nearly 68% of the world’s population is expected to live in cities.

This process is also advancing rapidly in Uzbekistan: the country’s population has exceeded 38 million, the urbanization rate has reached 51%, and nearly 20 million people now live in urban areas.

According to economic analyses, every 1% increase in the urbanization rate grows the economy by at least 1% and accelerates investment flows and startup development — making reforms in this sector of strategic importance.

With this in mind, within the framework of Uzbekistan’s urbanization policy, the practice of “chaotic construction” has been abandoned in favor of smart and integrated territorial development — an approach recognized as essential in global best practices.

One of the most important institutional steps was the establishment of the National Committee for the Sustainable Development of Urbanization and the Housing Market. This body serves as the central “think tank” unifying architecture, economics, and social policy into a single system.

To reduce administrative barriers in the construction sector, the number of permitting stages has been cut by a factor of 3, and processing timelines by a factor of 4. Additionally, 420 outdated urban planning norms have been restructured, replaced by 140 modern regulatory documents.

Furthermore, in Uzbekistan, land ownership no longer automatically grants the right to build — the process is now based on the principle of integrated territorial development.

Most importantly, a strict principle has been enshrined in law: schools, clinics, and modern utilities must be built before or simultaneously with residential construction.

These new mechanisms provide, above all, trust and financial stability. To ensure stability in the housing market and strengthen buyer confidence, measures have been taken to fully eliminate the risk of “unfinished constructions.” To this end, a system of escrow accounts is being widely introduced in Uzbekistan for the first time.

Through this modern mechanism, citizens’ funds are securely held in banks until the keys to the property are handed over. Developers, in turn, gain access to affordable and convenient project financing. As a result, urban development has transformed from a chaotic process into a managed industry operating under transparent rules.

Development Strategy and Achievements

Over the past eight years, 120 million square meters of housing have been built across the country. The total volume of construction work grew from 30 trillion soums in 2016 to 314 trillion soums last year, and the sector now employs more than 3.5 million people.

According to the state’s long-term priority strategy, the following key targets have been set:

• Raise the urbanization rate to 60%;
• Increase housing provision from 18.9 square meters per capita to 23 square meters;
• Nearly double the annual housing construction volume to 30.3 million square meters.

Innovative Mega-Projects and an Ecological Approach

The most vivid practical expression of this strategy is the “New Tashkent” mega-project, rising across 20,000 hectares. Designed for a population of 1 million residents, this ecologically clean, high-tech metropolis implements the globally recognized “15-minute city” concept. The project includes the creation of a 420-hectare “green belt,” the planting of 200,000 trees, and a fully ecological transport system (electric buses, metro, and bicycle lanes).

These high living standards are not limited to the capital. Across the country, 56 “New Uzbekistan” residential districts, each designed for at least 70,000 residents and equipped with rich social infrastructure, are being constructed at an accelerated pace.

In conclusion, Uzbekistan has formed a sustainable and effective model for managing urbanization, encompassing the National Committee, the escrow system, and the smart “New Uzbekistan” districts. By transforming modern cities into ecologically clean, socially oriented, and livable spaces, the country is establishing a high benchmark for urbanization in the Eurasian region.

In recent years, wide-ranging reforms have been implemented in our country aimed at creating equal rights and opportunities for women and men, ensuring the full participation of women in social and public life, supporting them socially, economically, and legally, as well as protecting them from harassment and violence.

Thanks to the high political will and initiatives of the President of the Republic of Uzbekistan, Shavkat Mirziyoyev, the issues of ensuring gender equality, protecting the interests of women, and ensuring the strength of families have been designated as priorities of state policy. The programs and strategies adopted in this regard are recognized not only at the national but also at the international level.

The participation of women in the socio-political, economic, and spiritual life of our country is increasing day by day. Today, they actively participate in state administration bodies, parliament, local councils, entrepreneurship, and scientific fields. Systematic measures are being implemented to create new jobs for women, develop their knowledge and potential, and widely involve them in entrepreneurial activities.

Within a short period, a national legislative base corresponding to international standards in this field was created. In particular, more than 100 normative-legal acts have been adopted over the past eight years. Among them, such important regulatory documents as the Law "On Guarantees of Equal Rights and Opportunities for Women and Men" and the Law "On Protection of Women from Harassment and Violence" are of particular importance.

Today, Uzbekistan consistently continues to cooperate with international organizations such as the UN, OSCE, and UNESCO in implementing its gender policy. This cooperation is creating new opportunities for protecting the interests of women and allowing them to fully manifest their potential in our country.

In order to properly establish the gender equality policy and ensure its full implementation, the “Strategy for Achieving Gender Equality until 2030” was adopted. Work on its introduction to all spheres and sectors is being carried out rapidly.

The “Uzbekistan – 2030 Strategy” defines important goals and tasks for strengthening the system of supporting women, ensuring their rights and legal interests, increasing their social, economic, and political activity, and ensuring gender equality.

First, to continue the policy of ensuring gender equality and increasing the share of women in leadership positions by boosting their socio-political activity;

Second, to create an environment of intolerance toward harassment and violence against women in society, and to ensure the rights and legal interests of women;

Third, to establish a transparent mechanism for targeted work with the “Women's Notebook” (“Ayollar daftari”) and establish public control over these efforts.

Concepts such as gender analysis of regulatory legal acts, adopting a gender-responsive national budget, and gender auditing are being introduced into legislation and put into practice.

The Commission on Increasing the Role of Women in Society, Gender Equality, and Family Issues has been established. It coordinates efforts to create equal opportunities in all aspects of rights and freedoms, protect the interests of women in achieving the UN Sustainable Development Goals, and develop and implement relevant measures to eliminate existing problems. Furthermore, regional commissions on increasing the role of women in society, gender equality, and family issues are operating under local Councils of People's Deputies.

To effectively implement state policy on ensuring the rights and interests of women and comprehensively strengthening the family institution, a vertical system has been created that reaches down to the lowest level – the neighborhood (“mahalla”) and household.

In order to elevate state policy regarding families and women in the Republic to a new level, find systematic solutions to their problems, and effectively organize and coordinate the activities of authorized bodies, the “Committee for Family and Women” was established along with its divisions in the Republic of Karakalpakstan, regions, Tashkent city, and districts (cities). The Committee has been effectively implementing tasks such as continuing the policy of ensuring gender equality, increasing the socio-political activity of women, and carrying out reforms to support them.

The "Family and Gender" Research Institute under the Committee has created the `uzgender.uz` electronic platform for studying and monitoring gender issues in Uzbekistan. It contains data such as gender indices, an electronic corpus, interactive services, a gender analytical newsletter, and a gender library. In addition, online platforms such as `gender.stat.uz` by the National Statistics Committee and `gendermadad.uz` by the NGO "Madad" under the Ministry of Justice have been launched to provide our people with consultations and information on relevant topics.

To ensure the implementation of tasks set out in the Law "On Guarantees of Equal Rights and Opportunities for Women and Men," advisory councils on ensuring gender equality have been established under state bodies, economic management structures, the private sector, and civil society institutions.

Today, the number of these Gender Advisory Councils has reached 4,000 nationwide. These councils serve as an important platform for ensuring equal rights and opportunities for men and women, maintaining gender balance in workplaces and all spheres of social life, protecting the interests of women, and effectively implementing decisions related to gender policy.

Attention is paid to increasing women's activity in political life: the Electoral Code legally stipulates that at least 40% of candidates nominated for deputy positions by political parties (or 2 out of every 5 candidates) must be women. A norm was also introduced in the Family Code establishing the marriage age for both men and women as 18 years. The list of occupations with unfavorable working conditions where the use of women's labor was fully or partially prohibited has been abolished.

In the political arena of our country, women are emerging not just as participants, but as leaders. Currently, they make up:

35% of leadership positions;

45% of entrepreneurship;

49% of political parties;

53% of higher education.

Many leading women are working in several key positions in our country – including the Chairperson of the Senate, Head of the Presidential Administration, Deputy Prime Minister, Ombudspersons, ministers, and heads of agencies and committees. This is a high evaluation of the intellectual potential, spiritual maturity, and management skills of modern Uzbek women. While the share of women in ministerial and equivalent positions was only 2.9% in 2018, by 2025 this figure reached 7.7%.

It should be noted that preparing women for leadership positions at various levels is a complex and systematic process that requires thorough preparation. To this end, 244 women have been trained so far under the newly created “School of Women Leaders” curriculum, and about 60 of them have been appointed to various leadership positions.

In particular, 15 women who received the highest Key Performance Indicators (KPI) at the “School of Preparation for Khokim (Governor/Mayor) Positions” were selected and involved in special training programs, indicating a future increase in the number of women among regional, district, and city-level leaders.

Based on Decree No. PF-95 of the President of our State dated June 19, 2025, strategic directions were set to elevate the civil service to a completely new level of quality. Within the framework of these reforms, the issue of increasing the role and activity of women in state governance is designated as a special priority. Specific target indicators have been set for the active recruitment of women into public service for the period up to 2030. In particular, the goal is to increase the share of women in the civil service as well as in the “National Personnel Reserve” to 40%.

By relevant decision of the Government, it has been established that, as a rule, at least 30% of the total number of candidates recommended for admission to the master's program of the Academy of State Policy and Governance under the President of the Republic of Uzbekistan must be women. In addition, comprehensive measures are being taken to improve the system of preparing women for high-level positions and to develop their leadership potential. Through this, women will have the opportunity to actively participate not only in the state administration system but also at the level of strategic decision-making.

Education reforms implemented in recent years are also playing an important role in increasing the social activity of women. In the process of reforms carried out to radically reform all stages of continuous education, introduce the latest advanced technologies into the educational process, and raise the professional level of teachers, special attention is paid to the education of women. As a result, in recent years, the interest of women in applied and exact sciences has been growing.

Starting from 2020, a system was introduced to admit women from needy families to higher education institutions on the basis of state grants (1,000 quotas). In 2021, these grant places were doubled, reaching 2,000. In the current year, these quotas were doubled again, reaching 4,000. As a result, over the past 5 years, nearly 13,000 women were admitted to higher education institutions on the basis of state grants under this privilege.

The number of quotas for women who have 5 years of work experience but do not have higher education was increased 5-fold, reaching 2,500. Under this privilege, more than 2,000 women entered higher education institutions between 2022 and 2025.

Since 2022, contract fees for all women studying in master's programs at State Higher Education Institutions have been covered by the state budget. In this regard, funds amounting to 333.8 billion soums were covered by the state budget between 2022 and 2025.

A system of interest-free educational loans for up to 7 years has been established for female students studying in higher education institutions, technical schools, and colleges. In this regard, educational loans worth 4.6 trillion soums were allocated to nearly 415,000 female students in 2022-2025.

As a result of these opportunities and privileges, the share of women among students in higher education reached 53.2%, and in master's programs 65.8%. The interest of girls in modern knowledge and professions is growing. For example, girls make up 51% of the youth trained under the "One Million Coders" project.

Expanding the economic opportunities of women, ensuring their employment, involving them in entrepreneurship, and developing their businesses play an important role in increasing their social activity. Based on the decrees of our head of state, it is planned to ensure the employment of 2 million women and to train 250,000 women in professions and entrepreneurship this year alone.

Also, within the framework of the “HAMROH” program for supporting businesswomen, the following goals are set:

Allocating grants up to 50 million soums to 1,000 “mentor” female entrepreneurs who supported women in implementing "green projects" and IT projects, as well as helping at least 5 women start their businesses;

Allocating collateral-free loans up to 100 million soums to women with a positive credit history;

Forming entrepreneurship skills in women who want to start their own businesses through the launch of the "Partner Entrepreneur" (“Hamkor tadbirkor”) program, helping women start businesses on a cooperative basis, and assisting women in placing and selling their products on local and international electronic platforms.

Also, targeted work is being carried out with female entrepreneurs through a 4-stage system: “First Step to Business”, “Starting a Business”, “Expanding a Business”, and “Elevating a Business” to form a wide layer of “champion entrepreneurs” in cooperation with partner organizations.

As a result, in 9 months of this year, assistance was provided to secure lucrative employment for 2 million 48 thousand women across the Republic:

527.6 thousand women were employed in vacant positions in enterprises and organizations.

296.8 thousand women were trained in vocations and entrepreneurship. In particular, 160.8 thousand women were trained in vocations, 136 thousand women in entrepreneurship, and 63.9 thousand were attached to artisans.

99 thousand women were involved in training by Women's Entrepreneurship Centers.

Commercial banks allocated credit funds amounting to 15.7 trillion soums to 203 thousand women to support entrepreneurship projects. Of this, 1.7 trillion soums of credit funds were allocated to 105 thousand women within the framework of family entrepreneurship development programs. The Central Bank approved the Strategy for Providing Financial Services in the Field of Supporting Women's Entrepreneurship.

In order to systematically organize employment and health-strengthening efforts for women by training them in professional and entrepreneurial skills at the lowest level – the neighborhoods (“mahallas”), the activities of centers for ensuring employment and strengthening the health of women were launched in 2,876 mahallas.

In order to provide comprehensive legal, psychological, and mediation services to families and women, and to train couples getting married in family life lessons, “Family and Women Centers” were established in 197 districts and cities based on new approaches.

The public council “Women's Enlightenment” (“Ayol ma'rifati”) was established, uniting women in the scientific and creative fields to elevate family education and effectively utilize the scientific developments of family scholars that contribute to the development of the family institution. This council implemented about 10 projects, such as "History of Jadid Women," "Woman - Symbol of Progress," "Women towards Ecological Activity," and "Woman - Support of Society."

The "Responsible Parenting" project, aimed at forming prosperous and stable families based on national values among young families, was introduced. As a result of selection events for nominating families for the "Exemplary Family of New Uzbekistan" contest and awarding them with the "Exemplary Family" badge, their number exceeded 160 thousand. 2,000 families were awarded the "Exemplary Family" badge, which is a 9.6-fold increase compared to last year. Today, they actively assist in preventing family conflicts.

In order to sanitize the socio-spiritual environment in families and prevent women from falling under the influence of various negative and foreign ideas, propaganda groups consisting of more than 145 thousand active women were re-formed.

To award active women, the “Mo'tabar Ayol” (Venerable Woman) badge was established, and 2,090 women have been awarded to date. 480 talented girls were awarded the Zulfiya State Prize, established to increase the socio-political activity of young women and create conditions for them to realize their abilities and potential in various fields, as well as to encourage them.

In order to support persons with disabilities, disabled individuals, lonely elderly citizens, and other socially vulnerable categories of the population, and to organize social assistance in a fair, targeted, and transparent manner, completely new and unique mechanisms such as the “Iron Notebook” (“Temir daftar”), “Women's Notebook” (“Ayollar daftari”), and “Youth Notebook” (“Yoshlar daftari”) were created. Through the system of working with the "Women's Notebook" alone, practical assistance was provided to 4.5 million needy, low-income women in 2021-2025.

In order to expand opportunities for increasing women's socio-political activity, special attention was paid to strengthening the preschool education system in the country. While the coverage of children with preschool education was 38% in 2018, as a result of reforms, it was increased to 78%.

In all legal entities except budget organizations, a procedure has been established for granting and paying pregnancy and childbirth allowances from the State Budget funds based on the minimum consumer expenditure for each month to women who have continuous work experience of at least the last 6 months. Under this, it is stipulated that an allowance in the amount of 4 times the minimum consumer expenditure is paid before the birth of the employee's child. For this purpose, more than 56.6 billion soums of pregnancy and childbirth allowances were paid to women working in the private sector from the Social Insurance Fund.

Subsidies are being paid from the State Budget to cover the wages of educators in preschool education organizations established under organizations where women work evening shifts.

A mechanism for taking women victims of harassment and violence under state protection and issuing protection orders has been created. In order to prevent gender-based violence, separate articles on domestic (household) violence, harassment, and disclosing information that humiliates a person's honor and dignity or reflects confidential aspects of human life were included in the legislation.

Centers for Rehabilitation and Adaptation of Women operate to provide socio-legal and psychological assistance to women who have suffered from harassment and violence or fell into difficult social situations, and to provide them with targeted support.

The Committee for Family and Women and its territorial divisions:

Are exempted from paying state fees for lawsuits filed in courts to protect the rights and legal interests of women;

Can submit mandatory representations to heads of state bodies and organizations to eliminate violations of legislative acts, as well as the causes and conditions giving rise to them, in the field of ensuring the rights and legal interests of women and strengthening families;

Benefit from a newly created system to release women from punishment ahead of schedule on bail (surety).

As the most important task of judicial reform being implemented in the Republic of Uzbekistan, important work is being carried out to ensure constitutional human rights and freedoms, strengthening the authority of the judiciary, which is considered an important guarantee of effective protection of human rights and to ensure the true independence of the courts.

Also, further expansion of the population’s access to justice within the framework of the principle “New Uzbekistan - New Court” requires accelerating the reform of the judicial system and introducing advanced international standards into the field. We can also observe confirmation of this in the corresponding positions of our state in the ratings of international organizations. Thus, according to the results of the Rule of Law Index ranking for 2022 (worldjusticeproject.org), Uzbekistan took 78th place out of 140 countries with an indicator of 0.50 points, of which 75th place in terms of civil justice and 65th in terms of criminal justice.

The fact that the update of the Constitution on the basis of generally recognized principles and norms of international law is enshrined in the preface of the updated Constitution of the Republic of Uzbekistan is a clear expression of recognition of the supremacy of generally recognized international law.

Article 15 of the Constitution determines that international treaties of the Republic of Uzbekistan, along with generally recognized principles and norms of international law, are an integral part of the legal system of Uzbekistan. According to part four of this article, if an international treaty of Uzbekistan establishes rules other than those provided for by the law of the Republic of Uzbekistan, then the rules of the international treaty of the Republic of Uzbekistan are applied.

Article 17 of the Constitution especially emphasizes that the Republic of Uzbekistan is a full-fledged subject of international relations; it is established that international law is based on generally accepted principles and norms. The application by courts of generally accepted principles and norms of international law is permitted in cases where existing laws contradict these international principles and norms.

Article 11 of the Constitution states that the system of state power of Uzbekistan, which is considered a full-fledged subject of international relations, is based on the principles of separation of powers into legislative, executive and judicial. It should be especially noted here that in accordance with Article 131 of Chapter XXIII, dedicated to the judiciary, the judicial system and the procedure for the activities of courts in the Republic of Uzbekistan are determined by law; the creation of emergency courts is not allowed.

In accordance with Article 1 of the law “On Courts” in the new edition (2021), the judicial power in Uzbekistan operates independently of the legislative, executive powers, political parties, and other public associations. Judicial power is exercised only by the courts. It was established that no other bodies or persons have the right to assign powers to the judiciary.

Article 2 of this law defines the judicial system, which consists of the Constitutional Court of the Republic of Uzbekistan; Supreme Court of the Republic of Uzbekistan; military courts; Courts of the Republic of Karakalpakstan, regional and Tashkent city courts; Administrative Court of the Republic of Karakalpakstan, administrative courts of regions and the city of Tashkent; interdistrict, district, city courts for civil cases; district and city courts for criminal cases; interdistrict, district, city economic courts; interdistrict administrative courts. It has been established that in the Republic of Uzbekistan specialization of judges by category of cases can be carried out, but the creation of emergency courts is not allowed.

As noted in Article 4 of this law, the main tasks of the court are to protect the rights and freedoms of citizens, state and public interests, rights and legally protected interests of legal entities and individuals guaranteed by the Constitution and other laws, international treaties of Uzbekistan, as well as international acts on human rights entrepreneurs. The activities of the court are aimed at ensuring the rule of law, social justice, civil peace and harmony, that is, it indicates that it is implemented in accordance with international agreements and international human rights instruments.

It is worth noting that in recent years, important documents have been adopted to ensure the compliance of the judicial system of our country with generally recognized international standards. These include such important historical documents as decrees of the President of the Republic of Uzbekistan “On measures to further reform the judicial and legal system, strengthen guarantees of reliable protection of the rights and freedoms of citizens” (2016), “On measures to radically improve the structure and increase efficiency of the judicial system of the Republic of Uzbekistan" (2017), "On measures to further improve the judicial system and increase confidence in the judiciary" (2020), "On measures to radically improve the system of financing the activities of the judiciary" (2021), decrees of the President of the Republic of Uzbekistan dated January 28, 2022 “On the development strategy of the new Uzbekistan for 2022 - 2026”, Decree of the President of the Republic of Uzbekistan dated January 16, 2023 “On additional measures to further expand access to justice and increase efficiency of the courts."

The Decree of the President of Uzbekistan dated January 16, 2023 “On additional measures to further expand access to justice and increase the efficiency of the courts” provides for:

in order to ensure the effective use of resources involved in the implementation of judicial activities, on the basis of advanced foreign experience, transfer the powers to consider certain categories of civil, economic and administrative offenses to the relevant administrative bodies:

determine the procedure for completing cases of certain categories of criminal, civil, economic and administrative offenses in lower courts;

What is relevant is that issues such as reconciliation of parties in civil and economic cases, development of reasonable proposals for the widespread introduction of the institution of mediation are raised.

It is appropriate to recognize here that the main idea and provisions of the “Universal Declaration of Human Rights” have found their full expression in the updated Constitution of the Republic of Uzbekistan, which is considered the basis of our national legislation.

It is known that the “Universal Declaration of Human Rights” consists of a preamble and a total of 30 articles, and if all its provisions are sequentially considered, then one can note the consistency and consistency of the content with the provisions of the Constitution of the Republic of Uzbekistan on human rights. For example, you can notice the similarity between the contents of Article 3 of the “Universal Declaration of Human Rights”, which reads: “Every person has the right to life, liberty and security of person” and Article 25 of the Constitution of the Republic of Uzbekistan: “The right to life is the inalienable right of every person and is protected by law. Encroachment on human life is a grave crime.”

Also, the rule that “no one shall be subjected to torture or cruel, inhuman or degrading treatment or punishment” in Article 5 of the Declaration corresponds to the second paragraph of Article 26 of the Constitution of the Republic of Uzbekistan “No one shall be subjected to torture, violence, other cruel, inhuman or degrading treatment or punishment." One may also note the reflection of the provision of Article 9 of the Declaration that no one shall be arrested, detained or persecuted without cause in the second paragraph of Article 29 of our Constitution “No one shall be subjected to arrest, detention, detention, detention or other restriction freedom except on the basis of the law" and in the third paragraph - "When detained, a person must be explained in a language he understands his rights and the grounds for detention"

Article 10 of the Declaration enshrines the right of every person to demand an independent and impartial court and its reflection in international legal acts to which the Republic of Uzbekistan has acceded inspires confidence that only an independent court can protect the rights of every citizen through an impartial and open consideration of the case in court. In this regard, it should be noted that the reforms carried out on the basis of the Action Strategy for the Development of the Republic of Uzbekistan for 2017-2021, put forward at the initiative of the President of Uzbekistan Shavkat Mirziyoyev, taking into account international standards, laid the foundation for democratization and liberalization of the judicial and legal sphere, ensuring genuine independence of the judiciary, protection of the rights and legitimate interests of citizens.

In order to improve the judicial system and ensure the independence of the courts, one of the important steps was the creation of the Supreme Judicial Council of the Republic of Uzbekistan, the Supreme Court and the Higher Economic Court were merged, the activities of the Supreme Court were improved, the Economic Courts were reorganized into economic courts, 71 inter-district, district (city) economic courts were empowered to hear cases in the first instance. The first term of work as a judge is five years, then ten years and an indefinite term. The powers of the courts to independently resolve their financial, logistical and technical issues were withdrawn from the judiciary and transferred to the Supreme Court, which led to the independence of the courts from the executive authorities and ensuring their independence. The institution of returning a criminal case to the court for additional investigation was abolished, thereby putting an end to unnecessary censorship, and people were spared unnecessary confusion and nervousness. It was strictly established that a person’s guilt in committing a crime should be based only on evidence proven in court, that is, it was strictly forbidden to make decisions based on rumors and assumptions. In order to fully ensure fair justice, verify the legality, validity and fairness of court decisions, an audit authority was created.

One of the important problems of the judicial reform system is the new system for training qualified and mature judges and judicial staff. Increasing the population's trust in judicial institutions by the Supreme Council of Judges, ensuring the stability of justice and the rule of law, serves to transform the court literally into a “Fortress of Justice” and improve the level of justice.

The introduction of the institution of a plea agreement and its implementation in the criminal procedural legislation of our country is also an important factor in increasing the protection of human rights, freedoms and legitimate interests recognized in international law.

In accordance with the Decree of the President of Uzbekistan dated January 28, 2022 “On the new development strategy of Uzbekistan for 2022-2026”, about 300 laws were adopted in 2017-2021, more than 4 thousand resolutions of the President of the Republic of Uzbekistan aimed at fundamental reforming all spheres of state and public life in five priority areas of development of our country.

Shavkat Mirziyoyev, in his report dated December 7, 2019, “The supremacy of the Constitution and laws is the most important criterion for a legal democratic state and civil society,” dedicated to the 27th anniversary of the adoption of the Constitution of the Republic of Uzbekistan, especially noted “ensuring the true independence of the courts is our highest priority. We must not allow the courts to be influenced by certain officials. In this regard, it is necessary to strengthen responsibility for interference in court cases or pressure on the court.”

The issue of ensuring compliance of the judicial system of Uzbekistan with generally accepted international standards will continue to remain relevant. In addition, practical measures are ongoing to harmonize national legislation with international legal standards in the field of human rights. After all, constitutional reforms today require an approach to constitutional norms, which are the main legal criterion that determines the value of a person in the life of our society, taking into account modern realities and international legal standards.

Ayub Muhammadiev, professor of the Department of Civil Law Sciences of the University of Public Security of the Republik of Uzbekistan, doctor of Law

Amid the transformation of global supply chains and rapid geopolitical shifts in the world economy, the formation of sustainable and secure transport corridors connecting Asia and Europe has become particularly crucial. In this context, cooperation between the countries of Central Asia and Azerbaijan in the transport and logistics sector is becoming a key factor in ensuring regional trade stability, diversifying transport routes, and deepening economic integration across the Eurasian space.

Central Asia and Azerbaijan are united by a centuries-old history, culture, religion, and shared values. Today, this unified historical and cultural space is also emerging as a geoeconomic region of growing strategic importance. Due to its geographical location, Azerbaijan serves as a bridge connecting Central Asia via the Caspian Sea to the South Caucasus, Turkey, and European countries. In turn, the countries of Central Asia provide Azerbaijan with access to the dynamically growing markets of China and South Asia. This very complementarity creates a solid foundation for long-term cooperation in transport and logistics.

The seventh Consultative Meeting of the Heads of State of Central Asia, held on November 15–16, 2025, in Tashkent under the chairmanship of President of the Republic of Uzbekistan Shavkat Mirziyoyev, was of historic significance for the institutional development of regional cooperation. One of the most important outcomes of the summit was the admission of Azerbaijan as a full-fledged member of this format. This accession, unanimously supported by all heads of state, resulted in the formation of a new "Central Asia and Azerbaijan" cooperation framework.

The Trans-Caspian International Transport Route (the Middle Corridor) is central to this cooperation. In recent years, attention to this route has grown steadily: by the end of 2025, the total volume of freight traffic along the Middle Corridor exceeded 4.7 million tons.

This route is particularly significant for Uzbekistan. Over the past five years, the volume of Uzbek freight transported via the Middle Corridor has doubled, reaching 1.3 million tons by the end of 2025. While the share of goods transported along this corridor to and from EU countries was 12% in 2021, this figure rose to 28% by 2025.

To increase the freight volume along the Trans-Caspian Transport Route to 1.5 million tons, the joint Working Group holds regular meetings to discuss measures for expanding capacity and increasing freight traffic across the Caspian Sea, as well as the acquisition of vessels.

At the same time, to enhance the appeal of international transport corridors passing through its territory and to establish alternative transport routes linking Central Asia with the Eurasian transport network, Uzbekistan is implementing a number of strategically important infrastructure projects. The China-Kyrgyzstan-Uzbekistan railway construction project, being carried out with the active participation of Uzbekistan, holds a special place among them.

According to expert calculations, this route will form the shortest corridor from China to Europe and the Middle East, reducing the distance by 900 kilometers and cargo delivery times by 7-8 days. It is expected that after the project's launch, cargo traffic along this route, including through the Middle Corridor, will increase sharply.

Pending the completion of the railway, Uzbekistan is developing this corridor by organizing freight transport along the "China–Kyrgyzstan–Uzbekistan" route using the existing international highway network.

The international multimodal route "Asia-Pacific Region – China – Kyrgyzstan – Uzbekistan – Turkmenistan – Azerbaijan – Georgia – Turkey – Europe" (CASCA+) is being actively developed as an effective mechanism for coordinating cargo flows. In 2025, container shipments along this route reached 6,722 TEU, a 47% increase compared to 2024. The annual provision of tariff preferences of up to 70% by the participating railway administrations contributes to the steady growth in the volume of mutually beneficial transport.

Furthermore, the establishment in 2024 of the "Eurasian Transport Route" association, with the participation of the railway authorities of Uzbekistan, Kyrgyzstan, Turkmenistan, Azerbaijan, Georgia, Turkey, and Tajikistan, has created an institutional platform for the prompt removal of logistical barriers along this corridor.

Another promising transport artery is the "Uzbekistan–Afghanistan–Pakistan" international transport corridor, which shortens the distance from European and CIS countries to Indian Ocean ports by up to 1,000 kilometers compared to existing corridors and creates a new dimension of regional interconnectivity.

The development of this route in harmony with existing transport arteries will lay the groundwork for a new multimodal transport corridor spanning a significant part of the Eurasian region:

"South Asian countries (Pakistan, India) – Afghanistan – Uzbekistan – Kazakhstan – Azerbaijan – Georgia (Black Sea ports) – European Union".

In addition to infrastructure connectivity, digital integration in the transport sector is also consistently advancing between the countries of Central Asia and Azerbaijan. In this respect, the introduction of the e-Permit system, initiated by Uzbekistan, has been of great practical significance. This system allows for the electronic exchange of permits for international road freight. Notably, this system will be launched between Uzbekistan and Azerbaijan in 2025, which will simplify administrative procedures for carriers, accelerate customs clearance, and reduce human error.

It is noteworthy that the world's first implementation of an electronic permit exchange system occurred in 2021 between Uzbekistan and Turkey. In the following years, this initiative was gradually expanded: the system was implemented with Kazakhstan in 2024, will be with Azerbaijan and Kyrgyzstan in 2025, and with Tajikistan, Turkmenistan, and China in 2026. This demonstrates that Uzbekistan is becoming one of the countries pioneering best practices in digitalizing international transport processes, not only regionally but also on a global scale.

In conclusion, the strategic partnership between the countries of Central Asia and Azerbaijan in the transport and logistics sector not only connects the regions but also ensures the stability of freight supply chains across the entire Eurasian space. Azerbaijan's full accession to the Consultative Meetings format, the active implementation of major railway projects, the widespread adoption of digital solutions, and the strengthening of institutional mechanisms are creating a solid foundation for a unified transport space. This, in turn, facilitates the seamless integration of the region's countries into global supply chains and further strengthens the positions of Central Asia and the South Caucasus within the international transit system.

Sh. Akhmedov, Leading Specialist at the Center for the Study of Transport and Logistics Development Issues under the Ministry of Transport of the Republic of Uzbekistan

The history of the partnership between Uzbekistan and Georgia provides a compelling example of how two countries, bound neither by alliance commitments nor by historical dependency, have come to recognize each other as genuine strategic partners.

One of the key priorities of Uzbekistan's contemporary foreign policy is the expansion of cooperation with the countries of the South Caucasus. This approach reflects Tashkent's consistent policy of diversifying its external economic relations while strengthening regional connectivity. Within this framework, the South Caucasus is regarded as an important partner capable of contributing to Uzbekistan's sustainable economic growth, expanding the country's transport and logistics opportunities, and enhancing its overall foreign economic potential.

The growing importance of the South Caucasus stems from its role as a natural bridge between Central Asia and Europe. Amid the ongoing transformation of global logistics and the emergence of new transport and economic corridors, this role has become increasingly significant, reinforcing Uzbekistan's interest in practical cooperation with the countries of the region.

Georgia occupies a special place in this strategy due to its considerable transit potential, well-developed transport infrastructure, and favorable conditions for expanding trade, investment, and humanitarian cooperation.

Although diplomatic relations between Uzbekistan and Georgia were established in the early years of independence, they remained overshadowed for many years by other pressing national priorities in both countries. For nearly two decades, bilateral relations developed largely by inertia: annual trade turnover fluctuated between US$30 million and US$50 million, high-level contacts were infrequent, and joint projects remained limited in number.

A turning point came after 2017, when Uzbekistan, under the leadership of President Shavkat Mirziyoyev, embarked on a policy of openness and active integration into regional and global economic processes. Within this broader strategy, the South Caucasus emerged as one of Tashkent's important foreign policy priorities. Georgia was among those partners whose bilateral relations required comprehensive reassessment and renewed political attention.

The first high-level dialogue after a fifteen-year hiatus took place in September 2017, when, on the sidelines of the United Nations General Assembly in New York, the President of Uzbekistan met with the Prime Minister of Georgia, Giorgi Kvirikashvili. The meeting sent a strong political signal of both countries' commitment to revitalizing bilateral cooperation and laid the groundwork for expanding contacts across multiple levels of government.

In the years that followed, political dialogue steadily intensified. Parliamentary relations were established, regular contacts were launched between the heads of government and the foreign ministries, and annual official meetings between the Prime Ministers of Uzbekistan and Georgia became an established practice.

In 2023, Prime Minister of Uzbekistan Abdulla Aripov paid an official visit to Georgia. In 2025, Georgian Prime Minister Irakli Kobakhidze made a reciprocal official visit to Uzbekistan, during which he held talks with the President of Uzbekistan, as well as meetings with the Prime Minister and the leadership of both chambers of the Oliy Majlis.

The steady strengthening of political dialogue has created a solid institutional foundation for the progressive development of Uzbek–Georgian relations. A central role in this process is played by the Intergovernmental Commission on Economic Cooperation, whose work focuses on implementing bilateral agreements, eliminating existing barriers, and identifying new avenues for cooperation.

The effectiveness of these institutional mechanisms is reflected in the consistently positive performance of bilateral economic relations, particularly in trade. Over the past nine years, trade turnover between Uzbekistan and Georgia has tripled, exceeding US$267 million in 2025. By comparison, bilateral trade amounted to only US$89.1 million in 2017.

The highest level of bilateral trade was recorded in 2024, when trade increased by nearly 50 percent compared to the previous year, reaching a record US$326 million.

Equally noteworthy is that this growth has been driven not only by increasing trade volumes but also by the diversification of its structure. Whereas bilateral trade once consisted of a relatively limited range of commodities, today its product composition has become considerably broader.

Uzbekistan exports industrial goods, including non-ferrous metals, copper wire, rolled metal products, and electrical equipment, alongside food products such as legumes, fruit, and tobacco, as well as chemical products, including polymers. Georgia, in turn, exports food products, beverages, pharmaceuticals, construction materials, and metal products to Uzbekistan.

An important indicator of the expanding trade and economic cooperation has been the growing investment activity of the business communities of the two countries, reflected in the establishment of joint ventures. Today, around 100 enterprises with Georgian capital operate in Uzbekistan, while more than 140 Uzbek companies are active in Georgia. This demonstrates the growing level of mutual trust between business circles, as well as their interest in maintaining a long-term presence in each other’s markets.

The continued positive dynamics of economic cooperation suggest that the two countries have the necessary prerequisites to move beyond a trade-based model toward deeper industrial and investment cooperation. The most promising areas include the textile industry, agriculture and food production, pharmaceuticals, construction, and services, where the economies of both countries possess complementary advantages.

One of the key dimensions of Uzbek–Georgian relations is the expansion of transport and logistics links between Central Asia, the South Caucasus, and Europe. It is in this area that the interests of the two countries align most naturally.

For Uzbekistan, the use of Georgia’s transport infrastructure to access European markets is of particular importance. The ports of Poti and Batumi are key elements of this logistics chain. For Georgia, in turn, increased cargo flows from Uzbekistan and other countries of the region create opportunities to expand trade ties with Asian states.

According to experts from the Center for the Study of Transport and Logistics Development Problems under the Ministry of Transport of the Republic of Uzbekistan, positive dynamics are also observed in bilateral freight transportation. By the end of 2025, the total volume of cargo transportation between Uzbekistan and Georgia reached 146.8 thousand tons. Export shipments increased by 27 percent to 53.4 thousand tons, while import shipments rose by 26 percent to 71.5 thousand tons.

In this context, the development of the Middle Corridor is gaining particular importance. Today, it is regarded as one of Eurasia’s most promising transport arteries, opening new opportunities for route diversification and the growth of international trade. Over the past five years alone, Uzbekistan’s foreign trade cargo transportation along this route has doubled, reaching 1.2 million tons by the end of 2025.

At the same time, cooperation between Uzbekistan and Georgia in this field is moving beyond the basic use of existing transport infrastructure toward the creation of a dedicated logistics base. A vivid example is Uzbekistan’s construction of a multifunctional logistics terminal in the Poti Free Industrial Zone. The project provides for the creation of a modern warehouse complex covering around 30 hectares and designed to handle various categories of cargo, including containerized, general, bulk, and perishable goods.

The implementation of this project will create an important logistics hub for ensuring the supply of Uzbek products to European markets. At the same time, the terminal will be used to organize reverse cargo flows, thereby contributing to increased trade not only between Uzbekistan and Georgia, but also with other Central Asian states.

It is transport and logistics partnership that has the greatest potential to become the main driver of Uzbek–Georgian relations in the coming years. While at this stage the parties are focused on trade and infrastructure modernization, in the long term the goal is to create a full-fledged economic corridor linking Central Asia, the South Caucasus, and European markets.

In parallel with the development of these large-scale routes, people-to-people ties are also strengthening. In recent years, mutual interest among citizens of the two countries in tourist travel has grown noticeably. Thanks to direct flights from Tashkent to Tbilisi and Batumi, operated 13 times per week, the number of Uzbek tourists visiting Georgia has been steadily increasing, exceeding 21.5 thousand people in 2025.

For its part, Uzbekistan is attracting growing interest among Georgian travelers wishing to discover the country’s unique cultural heritage, including Samarkand, Bukhara, Khiva, and other ancient cities. Over the past seven years, the tourist flow from Georgia to Uzbekistan has increased more than 2.5 times — from 3 thousand people in 2019 to 6.8 thousand people in 2025.

Thus, relations between Uzbekistan and Georgia are currently at a stage of steady and progressive development. Whereas ten years ago bilateral interaction was based mainly on diplomatic contacts and limited trade ties, today, as we can see, a new format of partnership is taking shape, covering the political, economic, transport, and humanitarian spheres.

Of particular importance is the fact that this expansion of cooperation is taking place against the backdrop of major changes in the international economy and global logistics. As new transport routes between Asia and Europe are being formed, Uzbekistan and Georgia are objectively becoming important elements of a single space of connectivity.

The realization of this potential in the medium term will depend on the readiness of both sides to support political will with genuine economic interest. Such an approach will give new practical substance to the partnership between Uzbekistan and Georgia and will make it possible to build a sustainable model of cooperation based on pragmatism, mutual trust, and a shared commitment to sustainable development.

Miraziz Mirumarov
Leading Research Fellow
Institute for Strategic and Regional Studies
under the President of the Republic of Uzbekistan

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

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

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

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

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

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

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

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

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

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

THE NUMBER OF EXPORTERS IS GROWING

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

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

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

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

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

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

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

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

INVESTMENT DIALOGUE

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

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

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

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

POSITIVE ASSESSMENT

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

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

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

Deputy of the Legislative Chamber

of the Oliy Majlis of the Republic of Uzbekistan,

Doctor of Economic Sciences, Professor Durbek Akhmedov

Today, global demand for water resources is steadily increasing. In this context, the rational use of shared water resources in Central Asia is one of the key factors in ensuring regional security, stability, and sustainable development.

The constructive proposals and practical initiatives put forward by the President of the Republic of Uzbekistan, Shavkat Mirziyoyev, aimed at addressing global environmental challenges—particularly water security—are widely supported by countries across the region. In this regard, the introduction of modern irrigation technologies is considered the most effective solution for improving water-use efficiency in agriculture. These technologies not only help conserve water but also reduce costs related to fertilizers, fuel, and labor, while increasing agricultural productivity.

From the early stages of reforms in New Uzbekistan, enhancing the culture of water use has been elevated to the level of state policy. The “Uzbekistan–2030” Development Strategy identifies the widespread introduction of water-saving technologies across all irrigated lands as a top priority.

In his Address to the Oliy Majlis and the people of Uzbekistan, the President emphasized the importance of this issue, noting that a total of 3.3 trillion UZS will be allocated in 2026 for the implementation of water-saving technologies (approximately $275 million).

Analysis shows that since 2019, the state support mechanism—including subsidies for the adoption of water-saving technologies—has proven effective and has significantly encouraged clusters and farmers.

As a result, between 2019 and 2025:

• drip irrigation was introduced on 664,000 hectares,
• sprinkler irrigation on 124,000 hectares,
• other modern irrigation methods on 73,000 hectares,
• water-saving irrigation using flexible pipes and film-lined furrows on 124,000 hectares,
• and 1.6 million hectares were laser-leveled.

As a specialist in this field, I can confidently say that water-saving irrigation methods—particularly drip and sprinkler systems—are becoming increasingly popular among farmers.

On February 3 of this year, a presentation was held before the President focusing on improving water efficiency and expanding the use of water-saving technologies. Additional measures to scale up these efforts were discussed.

In particular, by 2028 it is planned to introduce water-saving technologies on an additional 930,000 hectares, increasing the total coverage to 3.5 million hectares, or approximately 80% of all irrigated land.

The adoption of these technologies will ensure more reliable water supply, especially for regions facing water scarcity. Reforms aimed at strengthening state support in this area are being consistently advanced.

In accordance with the Presidential Resolution dated February 5, 2026, new incentive mechanisms are being introduced for agricultural producers.

Specifically:

• the target is to expand water-saving technologies to 3.5 million hectares by 2028;
• drip irrigation will be introduced on 220,000 hectares,
• sprinkler irrigation on 110,000 hectares,
• and laser land leveling will be carried out on 600,000 hectares.

In 2026, commercial banks will allocate 2.6 trillion UZS in loans, while 800 billion UZS will be provided as subsidies.

A system for continuous professional development based on the experience of Xinjiang (China) will also be introduced.

Starting from 2027:

• water-use tax rates and subsidies will be differentiated based on water availability;
• a 1.25 coefficient will be applied for subsidies in water-scarce regions;
• and a doubled tax rate will apply where water-saving technologies are not implemented despite stable water supply.

From April 1, 2026, the use of traditional irrigation methods on subsidized lands where water-saving technologies have already been introduced will be considered unauthorized water use and will result in financial penalties.

In Uzbekistan, human capital development remains a priority. Under the “School of Water Specialists” initiative, 10,000 agricultural workers will be trained this year, and 358 specialists will undergo training abroad.

In addition, starting from the 2026/2027 academic year, higher education institutions will enhance training programs in this field, incorporating international best practices.

In conclusion, efforts to ensure the rational use of water resources, expand the adoption of water-saving technologies, and deepen sectoral reforms are reaching a new level.

Today, the time has come to elevate water conservation into a true nationwide value.

Dauranbek Kdirbaev,
Ministry of Water Resources

Head of the Department for the Implementation

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

The relevance of transitioning to a new model

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

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

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

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

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

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

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

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

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

Infrastructure as an economic asset

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

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

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

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

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

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

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

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

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

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

Comparative advantages of mahallas

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

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

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

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

Deepening mahalla specialization

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

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

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

Comparative advantages of mahallas

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

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

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

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

Institutional changes in system governance

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

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

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

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

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

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

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

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

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

Conclusion

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

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

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

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

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

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