The Business Activity Index (BAI), estimated by the Center for Economic Research and Reforms, reached 1124 points in February 2026, increasing by 12.4% compared with the previous month (and by 24.2% compared with the same period last year, Chart No.1).
In February of the current year, the following changes were observed across the BAI components:
In February 2026, the BAI also increased in 13 regions compared with the previous month (Chart No.2).
In particular, notable growth was observed in Andijan region (44.8%), Syrdarya region (41.7%), Tashkent region (33.3%), and Kashkadarya region (28.2%).
At the same time, in the Republic of Karakalpakstan the indicator slightly declined by 0.5%, remaining at a moderate level.
During the reporting period, the number of interbank payment transactions reached 6,760.3 thousand, increasing by 1,220.5 thousand transactions (22%) compared with January 2026.
An increase in interbank payment operations was recorded in 12 regions. In particular, a significant rise in banking operations between legal entities compared with the previous month was observed in Tashkent city (24.1%), Surkhandarya region (23.3%), Samarkand region (21.4%), and Navoi region (17.7%).
At the same time, this indicator declined in Syrdarya region (8.1%) and the Republic of Karakalpakstan (1.6%).
In February of the current year, the exchange component of the BAI reached 1.1058 points, increasing by 10.6% compared with the previous month.
This reflected a 36.2% increase in the number of transactions concluded, while the average volume of goods purchased per transaction declined by 15.1%.
The total turnover of goods traded on the UzEx amounted to 6,296 billion soums in February 2026, which is 6.5% higher than in the previous month.
During the reporting period, this component amounted to 1.0088 points, increasing by 0.9% compared with the previous month.
At the same time, the total number of operating business entities increased by 4,079 units, reaching 508.5 thousand.
The number of large enterprises increased by 51 units, reaching 4,161.
The number of small enterprises rose by 3.9 thousand, reaching 415.1 thousand.
The number of farms increased by 36, reaching 89.2 thousand.
In February 2026, the trademark component reached 1.0641 points, increasing by 9.4% compared with the previous month.
During this period, 430 trademarks and product names were registered by legal entities.
Islombek Saparmatov, CERR
In recent years, Uzbekistan has demonstrated significant progress in the field of international tourism, which pays special attention to cooperation with the CIS countries. Historically, this region has close cultural, economic and humanitarian ties with Uzbekistan, which contributes to the active exchange of tourists and the development of joint initiatives in the tourism industry. According to statistics for January–August 2024 and 2025, there has been a steady increase in the total number of tourists from 6.7 million visiting Uzbekistan to more than 7.5 million with an annual increase of 15-20% per year. By the end of 2025, more than 11 million foreign tourists are expected to arrive.
Kazakhstan, Kyrgyzstan and Tajikistan remain the most significant sources of tourists among the CIS countries. In 2024, Kazakhstan sent more than 2.1 million tourists to Uzbekistan in January – August, Kyrgyzstan — about 1.78 million, and Tajikistan — almost 1.6 million. In 2025, Kyrgyzstan slightly surpassed Kazakhstan in the number of visitors — 2.16 million against 1.77 million, which indicates a positive trend towards strengthening bilateral ties in the field of tourism. Tajikistan also showed an increase of almost 1.7 million tourists. In addition to the traditional leaders, the number of tourists from Turkmenistan increased significantly in January–August, from 125,000 in 2024 to 243,000 in 2025. This growth confirms the growing attractiveness of Uzbekistan as a tourist destination for all neighboring countries.
The CIS countries with fewer tourists, such as Azerbaijan, Belarus, Moldova, Armenia, Ukraine and Russia, also note positive dynamics. The increase in the number of Russian tourists in January –August is particularly noteworthy — from 587,000 in 2024 to more than 663,000 in 2025, reflecting the strengthening of tourist and cultural ties between the two countries. The growth of the tourist flow from the CIS is largely due to Uzbekistan's comprehensive work to improve infrastructure, simplify visa procedures, and actively promote travel brands. The development of transport links, the introduction of modern services and the expansion of the range of tourism products make Uzbekistan more and more attractive to visitors from neighboring countries.
Uzbekistan is the historical center and pearl of the Great Silk Road, the crossroads of world cultures and civilizations. There are more than 8,000 cultural heritage sites in the country. 209 of them are part of four museum cities included in the UNESCO World Heritage List. The magnificent monuments of the ancient cities of Samarkand, Bukhara, Khiva attract many tourists who want to get acquainted with the rich heritage of the region. Samarkand is the ancient capital of the empire of the great commander Amir Temur, which houses the most beautiful Registan ensemble, the Ulugbek Observatory and the Imam Al-Bukhari complex, the most important for Muslims, the fabulous city of Bukhara, famous throughout the Islamic world with its Bahauddin Naqshbandi complex, the Ark fortress and the Poi Kalyan ensemble, the capital of the Khorezmshah State Khiva with a museum city open-air Ichan-Kala, and of course the city of Shakhrisabz, where Amir Temur was born and built the Ok-Saroy palace there.
Tashkent, the capital of Uzbekistan, is the geographical center and the largest hub of Central Asia, a connecting bridge between East and West. Tourists can get great emotions and impressions from their stay in Tashkent, which has many interesting sights, including the architecture of modernity and the ancient East. Uzbekistan is not only a historical city, but also a huge number of natural attractions: the picturesque mountains of the Western Tien Shan and Pamir Alai, mysterious caves, the endless Kyzylkum desert, a huge number of lakes, the Ustyurt plateau and the Aral Sea in Karakalpakstan. It should be noted that Uzbekistan occupies high places in the world tourism rankings, in the field of security, historical attractions, family tourism, gastronomy, etc. There is a tourist police in all tourist centers of the country, thanks to which all foreign visitors feel safe at all times. At the same time, over the past 10 years, Uzbekistan has not had any incidents related to the safety of tourists in the country, which could negatively affect the tourist image of Uzbekistan. Great attention is paid to youth tourism in the country, special tours of historical subjects, ecotourism, extreme tourism, and industrial tourism have been formed to visit various production facilities, which also serve as their subsequent professional orientation.
The Government of Uzbekistan has identified several territories with high tourism potential as free tourist zones created specifically for businesses operating in the tourism sector. Conditions have been created to attract foreign investment in the tourism sector. To encourage investors, various incentives have been introduced for the hotel sector, the construction of tourist complexes and infrastructure. Business representatives from the CIS countries are the most active investors, creating both enterprises with 100 foreign investments and joint ventures in the tourism industry of Uzbekistan. Uzbekistan invites Russian investors to take an active part in joint projects in the territories of Charvak, Chimgan, Nanai, Baysun, Maidanak, Miraki, Parkent, Akhangaran, Angren, Akchakul, Tudakul, Aydarkul and others tourist zones. The development of tourism with the CIS countries is becoming not only a factor of economic growth, but also an important element in strengthening interstate relations, cultural exchange and friendship of peoples. The growth of the tourist flow contributes to the creation of new jobs, the development of small and medium-sized businesses and the improvement of the standard of living of the population. The prospects for further development of tourism ties between Uzbekistan and the CIS countries look very promising. Enhanced cooperation, exchange of experience and implementation of innovative solutions will make the region one of the most attractive and dynamically developing tourist destinations in Eurasia. The Committee on Tourism of Uzbekistan is ready to support the tourism business of our countries in the implementation of joint projects, and create all necessary conditions for comfortable travel of tourists of all categories from the CIS countries.
Head of the Department of
Transport and Logistics Development Shukhrat Isakulov
The Center of Islamic Civilization in Uzbekistan has been recognized as the “Best Museum of the Turkic World” by the International Organization of Turkic Culture (TURKSOY), reports Dunyo IA correspondent.
Sultan Raev, Secretary General of the organization, announced this during an international scientific conference dedicated to the 690th anniversary of Amir Temur's birth.
Constructed in a short period at the initiative of the President of Uzbekistan, Shavkat Mirziyoyev, the Center is highly regarded today not only as a unique architectural masterpiece but also as a symbolic bridge connecting Eastern and Western civilizations. Through its concept, content, and scientific-educational focus, it vividly demonstrates the creative and enlightening potential of Islamic civilization.
While ceremoniously presenting the “Best Museum” certificate to the leadership of the Center, Secretary General Sultan Raev specifically highlighted President Shavkat Mirziyoyev's policy aimed at the profound study and global promotion of the Islamic civilization's heritage:
- Thanks to the special attention of Honorable President Shavkat Mirziyoyev, the legacy of Amir Temur and Islamic culture are being deeply explored today. New scientific and artistic works are being created and modern scientific-educational centers are being established. I can say with confidence that there is no comparable center in the world. This is, undoubtedly, a vivid manifestation of the ideas of the Third Renaissance. At times, the world limits itself to mere statements. However, Uzbekistan is setting an example through its practical actions and tangible results.
In turn, Firdavs Abdukhalikov, Director of the Center of Islamic Civilization in Uzbekistan, shared his insights regarding this prestigious recognition:
- Established under the direct initiative and visionary authorship of our Honorable President, the Center has emerged as one of the most significant mega-projects in the Turkic world. The Head of State personally participated in and oversaw every stage of its creation. Today, every visitor leaves the Center with a world of impressions. As is well known, TURKSOY is a prestigious international organization uniting states such as Azerbaijan, Kazakhstan, Kyrgyzstan, Uzbekistan, Turkmenistan, and Türkiye and is often referred to as the “UNESCO of the Turkic World”. Currently, the museum heritage of these nations encompasses nearly 1,300 museums. The Center of Islamic Civilization in Uzbekistan, with its creative vision, profound conceptual depth and innovative solutions, holds a special place among these institutions, manifesting itself as a unique cultural and scientific phenomenon.
Furthermore, F. Abdukhalikov specifically highlighted the growing international interest in the Center's activities. In particular, the Hungarian government has expressed interest in studying the Center's experience and collaborating on the implementation of a similar project. Additionally, the leadership of the German state of Bavaria has stated its readiness to support initiatives aimed at promoting Islam through enlightenment.
At the conclusion of the event, it was emphasized that this award serves as a vivid testament to the Center's high international prestige, its scientific and cultural significance, and its profound recognition across the Turkic world.
TASHKENT, September 24. /Dunyo IA/. The Minister of Foreign Affairs of Uzbekistan Bakhtiyor Saidov held negotiations in New York City with the Minister of Foreign Affairs of Latvia Baiba Braže, reports Dunyo IA correspondent.
"Had a productive meeting with H.E. Baiba Braže, Foreign Minister of Latvia, – the head of the Ministry of Foreign Affairs of Uzbekistan wrote in his telegram channel. – We highly value the opening of the office of the Investment and Development Agency of Latvia in Tashkent. Transport connectivity and logistics, IT and digital technologies, trade and investments were on the focus of our meeting".
The President of Uzbekistan has signed the Resolution “On measures to introduce a system of continuous improvement of knowledge of the population and civil servants in the fight against corruption”.
The legal and institutional framework for preventing and combating corruption has been improved in Uzbekistan in recent years. At the same time, there is a need to raise to a new level the system of developing an intolerant attitude towards corruption among the population and civil servants, immunizing them with ‘integrity vaccine’, as well as increasing knowledge and skills in the fight against corruption based on the requirements of the time.
In this regard, the President of Uzbekistan has signed the Resolution “On measures to introduce a system of continuous improvement of knowledge of the population and civil servants in the fight against corruption”.
The Resolution will introduce a system of continuous improvement of knowledge of the population and civil servants in combating corruption.
For this purpose, from January 1, 2025, the Virtual Anti-Corruption Academy electronic platform (Virtual Academy) will be launched.
The Anti-Corruption Agency and the Law Enforcement Academy are in charge in organization and conduct of educational activities at the Virtual Academy. The Agency forms a contingent of civil servants who are subject to training, in agreement with the Academy, approves the annual training schedule, and monitors the quality organization of the educational process. The Agency submits annually information on the activities of the Virtual Academy to the National Anti-Corruption Council.
The key is that any citizen will have the opportunity to voluntarily study at the Academy’s basic courses. In particular, educational programs of various formats will be developed for preschool and school children, students, entrepreneurs, and representatives of nongovernmental organizations, taking into account their age, level of development and field of activity.
Increasing knowledge and skills in combating corruption at the Academy is mandatory for all civil servants.
This, undoubtedly, is of great importance in increasing the legal consciousness and culture of the population and civil servants, creating legal immunity from corruption in society, and cultivating the integrity values in the younger generation.
Training at the Virtual Academy in basic courses is organized free of charge for all users, and advanced training in special courses is fee-based.
The Agency formulates recommended annual research topics in the field of anti-corruption for higher education institutions and research organizations. All higher education and research organizations will annually submit to the Agency the results of research they conducted in the area. The Academy will maintain an electronic database on achievements, domestic and foreign experience, scientific, methodological and practical developments and research work.
Based on the Resolution, a Road Map is approved to ensure the effective functioning and strengthening of the material and technical base of the Virtual Anti-Corruption Academy electronic platform.
According to it, the Virtual Anti-Corruption Academy electronic platform and its mobile app will be launched by January 1, 2025. Special programs and content organized in the Virtual Academy for pre-school and school children, and students will be developed by October 1, 2024.
As part of the Global Resource for Anti-Corruption Education and Youth Empowerment (GRACE) Initiative, measures will be taken to create high-quality animated films, video and audio materials intended for students.
The launch of the Virtual Academy will serve to accelerate the formation of an intolerant attitude towards corruption in society, as well as the introduction of a system of continuous improvement of the knowledge and skills of the population and civil servants in the fight against corruption.
Dunyo IA
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
The formula of "comprehensive strategic partnership" in relations between Uzbekistan and Türkiye has in recent years ceased to be merely a diplomatic definition and increasingly reflects the actual substance of bilateral cooperation. Political dialogue, economic collaboration, humanitarian contacts, and transport connectivity form the stable pillars of systemic Uzbek-Turkish relations.
Analysis of the current state of partnership between the two countries confirms that Tashkent and Ankara have successfully established an institutional architecture for comprehensive strategic partnership. The key mechanism of bilateral interaction is the High-Level Strategic Cooperation Council co-chaired by the presidents of both states, with its fourth meeting scheduled for 2026. This format ensures systematic political dialogue and coordination of joint efforts across a broad spectrum of areas.
An important factor in the effective functioning of this institutional system is the active and trusting dialogue between Presidents Shavkat Mirziyoyev and Recep Tayyip Erdoğan, maintained through regular telephone conversations and meetings on the sidelines of international events. Such dynamics impart a personal dimension to strategic interaction and create a favorable environment for deepening practical cooperation at the levels of governments, businesses, and expert communities of both countries.
Uzbek-Turkish relations gain an additional dimension through cooperation within the Organization of Turkic States (OTS). The participation of Tashkent and Ankara in this organization's activities allows bilateral initiatives to be elevated to a broader regional level and to find synergy with other countries of the Turkic world. OTS summits, including those held in 2025, have demonstrated participants' commitment to giving practical substance to cooperation from economy and transport to culture and digital development.
For Uzbekistan and Türkiye, this creates opportunities for advancing joint projects, harmonizing approaches to the regional agenda, and strengthening their positions in a broader geopolitical space.
Uzbek-Turkish cooperation carries significant regional and international dimensions. During a meeting in the "4+4" format in January 2026, the parties discussed regional and international issues, including the situations in Afghanistan, Gaza, Ukraine, and Syria. This demonstrates the two states' intention to coordinate their positions on key items of the international agenda.
Against the backdrop of strengthening political understanding and institutional consolidation of Uzbek-Turkish partnership, the economic component of bilateral relations acquires particular importance, becoming a key driver for their further development.
Trade and economic cooperation between Uzbekistan and Türkiye has demonstrated consistent progress in recent years. The target of raising bilateral trade turnover to USD 5 billion in the medium term and to USD 10 billion in the longer term remains relevant and reflects the potential of bilateral ties. Trade volume in 2025 exceeded USD 3 billion, indicating significant progress compared to figures from eight years prior.
Particularly noteworthy is the structure of economic interaction. The relationship involves not only trade but also the formation of a stable investment presence. By the end of 2025, more than 2,100 enterprises with Turkish capital participation were operating in the country a testament to the establishment of a sustainable Turkish business ecosystem in Uzbekistan and one of the highest figures among Uzbekistan's foreign partners. The dynamics of direct investment from Türkiye clearly confirm the progressive strengthening of this area of cooperation: USD 2.2 billion was invested in Uzbekistan in 2024, and USD 2.9 billion during January–October 2025.
The parties are conducting systematic work to expand economic cooperation. In particular, during the 4th meeting of the Joint Strategic Planning Group held on January 21, 2026, progress was noted in implementing the Action Plan of the 8th meeting of the Joint Economic Commission (JEC). The key role of the JEC as an effective mechanism for developing practical trade and economic cooperation between Uzbekistan and Türkiye was emphasized.
For Uzbekistan, cooperation with Türkiye is valuable in that Turkish businesses bring not only capital but also managerial expertise, technologies, and production culture. For Türkiye, the Uzbek market is attractive as a dynamically developing economy with a population exceeding 38 million and growing domestic demand. In this sense, interaction increasingly takes on the character of mutual complementarity.
One of the notable trends of 2025 was the development of transport connectivity between the two countries, primarily in the aviation sector. The number of weekly flights reached 97, with routes expanding to 8 destinations. The broadening of geography and frequency of direct flights between Tashkent, Samarkand, Namangan, Andijan, Ankara, Istanbul, and Izmir promotes growth in business mobility, tourist flows, and humanitarian contacts. The launch of new routes by both national and private carriers became an important practical step toward further rapprochement.
The increase in flight numbers offers not only passenger convenience but also broader economic effects. It facilitates contacts between entrepreneurs, simplifies participation in exhibitions and negotiations, and makes accompanying joint projects more accessible. Prospectively, this also creates prerequisites for developing air cargo transportation, which could further strengthen trade and economic ties.
Energy cooperation also demonstrates positive dynamics. Turkish companies are actively participating in modernizing Uzbekistan's energy infrastructure, including projects for developing renewable energy sources.
Particular emphasis must be placed on the special role of cultural and humanitarian interaction in developing bilateral relations. Common historical, cultural, and linguistic roots create a favorable foundation for expanding cooperation in education, science, culture, and tourism. Branches of leading Turkish universities operate in Uzbekistan, joint educational programs are implemented, and student and faculty exchanges take place.
Tourist exchange between the two countries shows sustained growth. By the end of 2025, Türkiye entered the top five countries by number of tourists visiting Uzbekistan. In turn, Türkiye remains one of the most popular tourist destinations for Uzbek citizens. Development of tourism ties contributes to strengthening intercultural dialogue and people-to-people diplomacy.
These figures reflect not only the attractiveness of the Turkish tourism market but also the general expansion of population mobility. In the long term, it is precisely cultural and humanitarian ties that form the solid social foundation of bilateral partnership.
Analysis of 2025 dynamics allows identification of several directions that could become key to further deepening Uzbek-Turkish partnership:
First, development of industrial cooperation. The existing network of joint enterprises could become the basis for more complex projects oriented not only toward the domestic market but also toward exports to third countries. Such an approach corresponds to the strategic objectives of both economies.
Second, transport, logistics, and infrastructure. Expansion of air connectivity is an important step, but the potential for cooperation in this sphere is significantly broader and includes development of multimodal transportation, warehousing infrastructure, and digital trade solutions.
Third, services and human capital. Türkiye possesses considerable expertise in tourism, medicine, construction, and education. For Uzbekistan, interaction in these areas opens opportunities not only for adopting experience but also for jointly entering regional markets.
Uzbek-Turkish relations are developing on a positive and constructive basis, confirming the maturity and stability of bilateral interaction. The parties demonstrate readiness for dialogue, pragmatism, and a commitment to considering mutual interests. The growing number of joint enterprises, expanding transport links, increasing tourist flows, and stable political dialogue form a solid foundation for further development of cooperation.
Alisher Kadirov,
Head of Department of the Institute of Strategic and Regional Studies under the President of the Republic of Uzbekistan
May 13. /Dunyo IA/. Uzbekistan has nominated its candidacy for the Chair of the UN Tourism Comission for Europe (CEU) for the 2025–2027 term.
This marks the first time in its history that Uzbekistan has put forward a candidate for this prestigious position, underscoring the country’s growing engagement in global tourism affairs and the high level of trust it has earned within international tourism bodies.
The UN Tourism Comission for Europe consists of 41 member countries from Europe as well as Central and Western Asia. It plays a pivotal role in shaping tourism policy across the region, promoting regional cooperation, and advancing sustainable and inclusive tourism development.
The 71st meeting of the Commission will be held on June 4–6, 2025, in Baku, Azerbaijan. During this session, elections are scheduled to take place for the Chair of the CEU for the 2025–2027 term.
Uzbekistan’s nomination for this position is viewed as recognition of the country’s consistent reforms in the tourism sector, its practical efforts to strengthen regional cooperation, and its contribution to the development of sustainable and inclusive tourism.
If elected, Uzbekistan intends to promote new initiatives aimed at positioning Central Asia as a unified tourism destination, developing cross-border routes, widely implementing digital solutions, and enhancing regional dialogue within the framework of the United Nations World Tourism Organization.
Today, one of the priority areas of state policy in Uzbekistan is focused on expanding forested areas, increasing green coverage, mitigating the negative impacts of climate change, and ensuring environmental sustainability. In order to achieve effective results in these areas, studying advanced foreign experience and adapting it to the country’s climatic conditions is of particular importance. In this context, the participation of a delegation of representatives of the Forestry Agency under the National Committee on Ecology and Climate Change of Uzbekistan in a training and practical seminar organized during their visit to the Republic of Turkey in October 2025 was of significant importance.
The seminar, organized in cooperation between the Forestry Agency and the Ministry of Agriculture and Forestry of the Republic of Turkey, enabled participants to familiarize themselves with Turkey’s experience in forest establishment, restoration, ecological classification, and sustainable forest management. In particular, on the first day of the seminar, Turkish specialist Ahmed Yalvach delivered a detailed presentation on modern approaches applied in the development of forestry.
Within the framework of the practical visit, Turkey’s advanced experience in establishing and managing nurseries, creating forests using the “terrace” method in mountainous areas, developing “green belts” around cities, and establishing green public parks in urban and district areas was studied.
In addition, members of the delegation closely examined the activities of nurseries operated by the Seydikemer and Gökova Forestry Departments located in Muğla Province. Notably, the Seydikemer nursery, established in 1983, covers an area of 144 hectares and has an annual production capacity of 1.5 million seedlings. The Gökova nursery, occupying more than 61 hectares, stands out with its capacity to produce up to 7 million seedlings per year.
It was emphasized that special attention to seed collection, storage, and laboratory analysis in these nurseries allows the production rate of high-quality seedlings and saplings to reach 90–95 percent. Participants studied the practical experience of Turkish specialists in establishing mother plantations, caring for seedlings and saplings, and grafting techniques.
The delegation members were also introduced to the use of greenhouses, in vitro laboratories, modern equipment, and mechanisms for managing seasonal work processes. The experience-sharing activities were conducted in an atmosphere of open dialogue and professional cooperation.
In conclusion, cooperation between Uzbekistan and Turkey in the forestry sector has acquired a practical dimension, contributing to the adoption of advanced practices, enhancement of specialists’ capacity, and the formation of a sustainable ecological environment in Uzbekistan. The knowledge and skills gained within the framework of this cooperation will play an important role in further improving the national forestry system.
Despite its limited access to the world's major ports, Uzbekistan can fully develop its transportation and logistics industry through the formation of land transport corridors, developing them throughout the Eurasian region. Being located in the center of the crossroads of trade routes during the Great Silk Road, Uzbekistan has a unique opportunity to become an important provider of logistics of cargo flows between China and Southern Europe, on the one hand, and the Indian Peninsula and CIS, Northern Europe, on the other hand.
Landlocked countries account for less than 1% of world exports. Moreover, the share of Central Asian countries in the global export of transport services is very small and is represented in the following proportions: Uzbekistan, which has access to the sea only through two countries – 0.1%, Kazakhstan – 0.3%, Tajikistan – 0.007%, Kyrgyzstan – 0.03%.
However, the transport complex of Uzbekistan maintains a dominant position in foreign trade in services and is one of the main sources of foreign currency inflow into the country. Transport services in the republic form 43% of the total volume of the country's service exports and 65% of the balance of foreign trade in services. Uzbekistan's transport service exports in 2022 amounted to $2.2 billion, and the positive balance of foreign trade in transport services amounted to $1.7 billion.
Figure 1. Uzbekistan’s share in global exports of transport services in 2022, %
Calculated according to UNCTAD and Statistics Agency of the Republic of Uzbekistan
One of the main problems of Uzbekistan's international freight transport is the underutilization of its export and transit potential, which reduces revenues from the export of transport and logistics services. For example, when comparing actual exports in tons, Uzbekistan is behind Russia by 20 times, Turkey by 10 times, and Kazakhstan by 9 times.
In 2023, the volume of interstate cargo transportation in the Republic of Uzbekistan amounted to 62 million tons, which is 16% higher than in 2022. The largest share in the volume of export-import cargo transportation of the republic falls on Kazakhstan (30%), to a lesser extent on Russia (26%), China (10%), and Afghanistan (4%). Rail transport accounts for the largest share (76%) of Uzbekistan's international cargo transportation (export, import, and transit). The export of transport services includes the transit of goods through the territory of Uzbekistan with a total share in the export of railway services of up to 45%.
The unrealized transit crossroads of Eurasia
One of the main global logistics trends is trade between China and the EU. According to the ERAI review, in 2023, the trade turnover between them amounted to 738 million euros, and according to EUROSTAT exceeded 104 million tons. In the current realities, rail transportation between Europe and China is carried out along the Eurasian route through the territories of Kazakhstan, Russia, Belarus; Mongolia and Russia (Naushki border crossing), as well as along the Trans-Caspian International Transport Route – TITR (Kazakhstan, the Caspian Sea, Azerbaijan, Georgia, the Black Sea).
Part of the cargo flows that previously passed through the northern corridor has been redirected to TITR. However, the Eurasian route continues to occupy a leading position. In 2023, a total of 674 thousand TEU passed along this route, which is 1.1% less than in 2022 (681 thousand TEU), but at the same time, in the first half of 2024, the volume of container traffic by China-Europe trains along TITR increased by 12.8% with a volume of 196.6 thousand TEU.
As can be seen, Uzbekistan does not fit into the list of major transit countries between China and the EU in the "Eurasian" and "Trans-Caspian" directions and claims only a part of the target markets mainly in direction along the Southern Corridor through Turkmenistan, Iran, and Turkey.
So, a limited number of international transport corridors pass through the territory of Uzbekistan. The main countries forming the transit of Uzbekistan are neighboring Afghanistan, Kazakhstan, Tajikistan, and Kyrgyzstan, as well as Russia, which is considered an important trading partner for the Central Asian countries. The transport isolation of the region, undiversified transport routes, and limited export deliveries mainly in the northern direction lead to a loss of profit due to the sale of domestic goods mainly to neighboring countries at a fairly low cost.
Transit Priorities
To sell domestic products at competitive world prices, Uzbekistan needs to develop additional export trade routes to other countries, such as China, the Asia-Pacific region, the Middle East, India, Pakistan, and others. This requires competitive and efficient transport and transit corridors that allow for increasing the volume of transit cargo through the Republic of Uzbekistan.
Therefore, the priority directions identified by 2030 for the development of international transport corridors and bringing the volume of transit traffic through the territory of the republic to 16 million tons include the task of increasing revenues from the export of transport services. The key task in this case is to increase the volume of multimodal cargo transportation in the directions of China – Kyrgyzstan – Uzbekistan (Kashgar–Irkeshtam–Osh–Andijan–Tashkent) and Uzbekistan – Afghanistan – Pakistan (Termez – Hairatan – Logar – Karachi).
China - Kyrgyzstan - Uzbekistan. The volume of cargo transportation of the PRC with such countries as Turkey, Iran, Turkmenistan, Afghanistan, and Pakistan in 2023 amounted to almost 50 million tons, with the main volume of cargo transportation carried out by sea transport. Studies have shown that it is possible to attract part of the cargo to the "China–Kyrgyzstan–Uzbekistan" route, in the amount of about 10 million tons, and with the stable organization of cargo transportation along the route, the volume of cargo transportation by 2040 may increase by 4 times.
Uzbekistan – Afghanistan – Pakistan. The geographical proximity to Afghanistan, and further south to Pakistan and India, gives Uzbekistan the opportunity to unlock its existing potential and provide cargo transportation services in export, import, and transit traffic in the direction of South Asian countries (Afghanistan, Pakistan, and India), without competing for existing transport and trade corridors. Therefore, Uzbekistan is extremely interested in trade and transport cooperation with Afghanistan and in the implementation of the Trans-Afghan Railway project "Uzbekistan–Afghanistan–Pakistan." This road will allow establishing a direct rail link between Uzbekistan and Pakistan through the territory of Afghanistan with further access to the ports of the Indian Ocean.
The importance and effectiveness of the "Uzbekistan–Afghanistan–Pakistan" (UAP) project can be significantly increased if it is implemented in parallel with the project of building the "Uzbekistan – Kyrgyzstan – China" (CKU) railway line, which is the shortest way to connect China with Pakistan and India and will allow a multiple increase in the volume of traffic from/to China to the countries of Central and South Asia.
In this regard, within the framework of two strategic projects UAP and CKU, the ongoing activities on formation of new uninterrupted perspective multimodal transport corridors in the region are relevant. In November 2023 in Tashkent within the framework of the ECO Ministerial Meeting the Protocol of the multilateral meeting on establishment of the international multimodal route between Asia-Europe through “Uzbekistan-Turkmenistan-Iran-Türkiye”, was signed.
In November 2023, a Memorandum on mutual Understanding on the creation and development of international transport corridor “Belarus-Russia-Kazakhstan-Uzbekistan-Afghanistan-Pakistan” with access to the ports of the Indian Ocean was signed in Tashkent. In April of this year, Termez hosted meetings of transportation agencies and railway administrations of the countries-participants of this corridor, which resulted in the adoption of the Road Map, including the main activities for further development of the corridor.
It should be noted that the abovementioned documents are open for other interested countries to join the transport corridors.
Multifaceted Transport Policy
It should be noted that the policy of forming international transport corridors in Uzbekistan is somewhat different from the policies of several other countries and is aimed at attracting as many countries as possible to the active development of a branched network of transport corridors that ensure efficient foreign trade cargo transportation. As emphasized by the President of the Republic of Uzbekistan, Shavkat Mirziyoyev, at the SCO Summit in Astana on July 4 of this year, "the multivariance of transport corridors is the most important condition for the sustainable development of our entire region."
However, the effective functioning of various corridor options is hindered by the lack of unified Cargo Transportation Rules, a unified Transport Document Standard that would be used on all types of transport, as well as the absence of digital platforms for providing customers with freight transportation services remotely from anywhere in the world. All this slows down the transport integration of Asian countries in the context of developing routes between Central and South Asia, and China, on the one hand, and the integration of Asian countries with European communications on the other.
To solve the problems of different legal and technical standards in freight transportation between European and Asian countries, which hinder the full-fledged transportation of goods without delays, it makes sense to develop new services for logistics and cargo transportation market participants, while applying modern technologies.
These include the production of universal wagons with variable gauge axle systems at the country's industrial facilities, with their further use both in Uzbekistan and southern countries, China and others, as well as the development of a digital platform for online registration of cargo transportation and transportation documents, which will lead to additional revenues from the export of transport services.
In this regard, the initiative of the President of Uzbekistan Shavkat Mirziyoyev, announced in June at the OTS Summit on the formation of a Council of Railway Administrations within the framework of the organization and the placement of its directorate in Tashkent, is relevant. The Council could act as a regulator for the integration of the railways of China, the Asia-Pacific region, South and Southeast Asia with the countries of Central Asia, the Caucasus, and the EU.
To assess the prospects for the coordinated development of transport corridors, a forecast of foreign trade volume was made based on an analysis of panel data using a combined model of two directions of international cargo transportation: China-EU and China-CA. The results of this forecast showed that by 2050, the volume of trade between China and the EU will increase by 4.5 times compared to 2023, and between China and CA - by 5 times. At the same time, the total volume of trade between South Asian countries (India and Pakistan) with trading partners (EU, Russia, China, Belarus, Kazakhstan, Uzbekistan, and Turkmenistan) will increase by 3.8 times compared to 2023.
In the near future, a clearly defined strategy for integrating Central Asian countries into the international transport network can help solve the region's problems and lead to an increase in the export of transport and logistics services and attract cargo flow, and later passenger flow, to the territory of the Asia-Pacific region, South and Central Asia. As the President of Uzbekistan Shavkat Mirziyoyev said: "We are open to cooperation and ready to become a reliable partner in creating new transport corridors and integration projects."
Dildora Ibragimova,
Center for the Study of Transport and Logistics Development Problems under the Ministry of Transport of the Republic of Uzbekistan
The First Deputy Director of the Institute for Strategic and Regional Studies under the President of the Republic of Uzbekistan Akramjon Nematov shared this assessment, commenting on the results of President of the Republic of Uzbekistan Shavkat Mirziyoyev's visit to Turkiye.
According to him, the official visit of the Uzbek leader to the Republic of Turkiye, which concluded on January 29, 2026, should be viewed not only as another event on the bilateral political calendar, but above all as an important milestone in the institutional strengthening of Uzbek-Turkish relations. Its results convincingly confirmed that the interaction between Tashkent and Ankara, which was largely fragmented just a few years ago, has reached a qualitatively new level – the level of a comprehensive strategic partnership based on pragmatism and mutual benefit.
The personal role of President Shavkat Mirziyoyev in shaping this new quality of relations deserves special mention. His proactive policies and strategic approach have enabled bilateral cooperation to reach a systemic level, where pragmatism is combined with a long-term focus on sustainable development. Thanks to the President's initiative, visits and cooperation programs have become regular and institutionalized, and the agreements reached have begun to be implemented with clear planning and measurable results, strengthening trust between the countries and creating a reliable platform for economic, humanitarian, and technological ties.
Thus, the current visit's program, which included talks in narrow and expanded formats, as well as the fourth meeting of the High-Level Strategic Cooperation Council, demonstrated a high level of political trust and the maturity of the bilateral dialogue. While such meetings were previously held sporadically, today the Strategic Cooperation Council functions on a regular basis, ensuring the continuity of decisions and overseeing their implementation. Symbolically, the key events took place on the eve of the holy month of Ramadan and the 30th anniversary of the Treaty of Eternal Friendship and Cooperation, underscoring the value-based and historical foundation of the partnership.
Of fundamental importance is the fact that Uzbek-Turkish cooperation is currently characterized by constructive and pragmatic mutual approaches, and is being built as an open partnership model focused on ensuring shared security and sustainable development. This is reflected in the finalization of the "4+4" format, which brings together coordination across foreign policy, defense, and law enforcement agencies. Unlike previous consultation mechanisms, this format is practical in nature and allows for a systemic response to cyber threats, cross-border crime, and other unconventional challenges.
The economic dimension of the partnership demonstrates sustained positive momentum and a high degree of complementarity. In recent years, mutual trade has more than doubled, reaching $3 billion by the end of 2025, compared to just $1.5 billion at the beginning of the decade. The goal set by the heads of state to increase trade turnover to $5 billion is supported not by mere declarations, but by a real investment portfolio of approximately $9 billion. The number of enterprises with Turkish capital has also increased significantly: while there were previously hundreds, today over 2,100 such companies operate in Uzbekistan, demonstrating growing business confidence and the formation of a solid material foundation for the strategic partnership. The need for further advancement of projects in industry, agriculture, social protection, and other priority areas was emphasized, including by expanding the list of goods covered by the Preferential Trade Agreement.
In preparation for the visit, new priority areas of industrial cooperation were identified, which will be implemented under a separate program. Compared to previous stages of cooperation, which focused primarily on trade and construction, the current emphasis is on joint production, localization, and export-oriented industries. Particular attention is paid to developing cooperation in tourism, theater festivals and cultural weeks, joint production of historical films, and the restoration of cultural heritage sites, reflecting the expanding humanitarian component of the partnership.
It is particularly noteworthy that the agreements reached are directly aimed at addressing the structural challenges of Uzbekistan's national development. The development of the Middle Corridor and the cooperation in transport and transit enshrined in the corresponding protocol are aimed at overcoming the country's geographic isolation and diversifying external logistics routes. Compared to traditional routes, these solutions reduce delivery times and increase the resilience of supply chains. Agreements on industrial cooperation, the management of special economic zones, and the creation of joint clusters contribute to reducing the economy's reliance on raw materials and fostering high-value-added production. The transfer of technological competencies, including nuclear safety and digitalization, should be viewed as an element of sovereign modernization, not technological dependence.
A fundamentally new stage has been the expansion of cooperation to the regional level. The intention to organize visits by delegations from all regions of Uzbekistan to Turkiye reflects the transition from a centralized model of interaction to a more flexible, decentralized partnership architecture. While interregional contacts were previously limited, the Action Plan for 2026–2027 envisages the formation of sustainable partnerships between the regions of the two countries, the launch of joint projects, and the development of a portfolio of local initiatives. Significant potential for implementing advanced Turkish practices in agriculture, horticulture, healthcare, and medical tourism has also been noted.
The military-technical cooperation sector deserves special attention. Compared to previous years, when interaction was limited to consultations, the signed agreements provide for deeper cooperation in military medicine, personnel training, and the implementation of surveillance systems and unmanned aerial vehicles. This cooperation is exclusively defensive in nature and is aimed at enhancing the professional level and technical capabilities of the Armed Forces of Uzbekistan, which is a rational contribution to strengthening national defense capability.
The humanitarian dimension of the Uzbek-Turkish partnership lends further depth and stability to the relationship. The implementation of the Cultural Cooperation Plan for 2026–2027, the agreement to hold the fourth Rectors' Forum in Bukhara, and joint education projects form a long-term foundation for cooperation. Uzbekistan's participation in the reconstruction of the earthquake-damaged Hatay province, the construction of the "Uzbekistan" residential complex, and a comprehensive school have become clear examples of practical solidarity. The start of construction of an Uzbek school in the Bekirkoy district of Istanbul—Uzbekistan's first educational institution abroad—is also symbolic, reflecting the strategic focus on the humanitarian aspect of cooperation and outreach to the diaspora.
Overall, the visit to Turkiye confirmed that Uzbek-Turkish relations are developing as a pragmatic, dynamic, and responsible partnership. Compared to previous stages of bilateral cooperation, the current format is characterized by greater institutional stability, expanded economic and regional cooperation, and deepened humanitarian ties. The agreements reached create additional tools for overcoming transportation and technological constraints, modernizing the economy, strengthening defense capabilities, and ensuring shared security, forming a solid foundation for further expanding Uzbekistan's international cooperation in a changing global environment.
«Dunyo» IA
Tashkent