In October, the President of the Republic of Uzbekistan, Shavkat Mirziyoyev, will pay a state visit to the Kingdom of Belgium, during which important decisions are expected to be made that will mark a qualitatively new stage in relations between Uzbekistan and the European Union. In particular, the visit will feature the signing of the Agreement on Enhanced Partnership and Cooperation.

In recent years, Uzbekistan has been actively shaping a new framework of engagement with Europe – a key pillar of stability amid current geopolitical tensions and global economic uncertainty. The ties between Uzbekistan and European countries continue to grow, and the areas of cooperation are diversifying, supported by the ongoing reforms in Uzbekistan.

Building a New Chapter in Relations

After gaining independence, Uzbekistan’s relations with the European Union developed dynamically. A Memorandum of Understanding between the Government of Uzbekistan and the European Commission was signed in 1992, followed by the establishment of diplomatic relations in 1994. The foundation of cooperation was laid by the Partnership and Cooperation Agreement (PCA) signed in June 1996 and entering into force in 1999. However, at a certain stage, cooperation faced difficulties due to the insufficient pace of democratic reforms in Uzbekistan.

With the election of Shavkat Mirziyoyev as President, the situation changed dramatically. As early as 2017, during his visit to Tashkent, Stefano Manservisi, Director-General for International Cooperation and Development of the European Commission, stated that “the EU regards Uzbekistan as a strategic partner.” The sweeping democratic and economic reforms launched in Uzbekistan helped resolve within a short period many issues that had long remained unsolved. Forced labor was completely eradicated, and reforms in the cotton sector enabled the country to abandon raw cotton exports altogether.

As reforms advanced, the legal and institutional framework of relations with Europe expanded rapidly. While previously Uzbekistan and the EU granted each other most-favored-nation treatment under the PCA, in April 2021 the EU granted Uzbekistan GSP+ beneficiary status, and in 2022 the Enhanced Partnership and Cooperation Agreement (EPCA) was initialed.

Along with internal transformation, Uzbekistan’s foreign policy architecture also changed. Priority was given to closer cooperation with neighboring Central Asian states, as well as the active expansion of ties with European countries – a vector that has strengthened steadily in recent years.

Just in the past year, Uzbekistan established strategic partnership relations with France, Italy, and Slovakia, while discussions on expanding strategic cooperation with Hungary continued. President Mirziyoyev also visited Slovenia, and Italy’s Prime Minister and Bulgaria’s President visited Uzbekistan.

A milestone in strengthening relations between Uzbekistan and Europe, and between Europe and Central Asia as a whole – was the first EU–Central Asia Summit, held in Samarkand in April 2025 under the chairmanship of Shavkat Mirziyoyev. Uzbekistan presented a broad range of initiatives to create a new model of regional cooperation between Central Asia and Europe, including: a multilateral agreement on investment protection and promotion; the launch of a Central Asia–EU Joint Chamber of Commerce; the adoption of a regional support program for SMEs and women’s entrepreneurship; the establishment of an investment platform to promote regional projects in green energy, innovation, transport, infrastructure, and agriculture.

The Samarkand Summit was highly productive. A Joint Declaration was adopted, establishing a strategic partnership between the two regions in trade, transport, energy, digital connectivity, and water management. European Commission President Ursula von der Leyen announced that the EU had prepared a €12 billion investment package for Central Asia under the Global Gateway initiative.

The Trajectory of Economic Cooperation

Uzbekistan’s deep democratic transformations have significantly improved relations with European countries. Economic reforms have enhanced the competitiveness of Uzbekistan’s economy, stimulating investor confidence and growing interest from European businesses.

The results are impressive. Over the past 8 years, Uzbekistan’s GDP has doubled, reaching $115 billion in 2024. Since 2017, investment in fixed capital has totaled $240 billion, of which foreign investment exceeded $130 billion. The country’s foreign exchange reserves surpassed $48 billion for the first time in history. Structurally, the share of industry in the economy increased from 20% to 26%, and services from 44% to 47%. Labor productivity (GDP per employed person) rose by 45%.

As a result, opportunities for mutually beneficial cooperation between Uzbek and European businesses have expanded. Between 2017 and 2024, Uzbekistan’s trade with the EU increased 2.4 times to $6.4 billion; exports grew 3.6 times to $1.7 billion, and imports 2.2 times to $4.7 billion. In 2024, the EU’s share in Uzbekistan’s total trade turnover was 9.7%, in exports 6.3%, and in imports 12%. The EU ranked third among Uzbekistan’s trade partners, after China and Russia.

The EU’s share in Uzbekistan’s total exports increased from 3.8% to 6.3% over the same period. This growth was driven by Uzbekistan’s accession to the GSP+ preferential trade system, granting duty-free access to the EU market across roughly 6,200 tariff lines. The share of Uzbekistan’s exports benefiting from GSP+ reached 59%, with a preference utilization rate of 84%, indicating efficient use of trade benefits.

In 2024, Uzbekistan’s exports to the EU were dominated by chemical products (52.1%), as well as textiles, ferrous and non-ferrous metals, minerals, and food products. Among EU members, France accounted for 47.2% of exports, Lithuania for 10%, and Latvia for 6.9%.

Uzbekistan’s imports from the EU significantly exceeded exports – a reflection of the ongoing technological modernization of the national economy. Around 16% of Uzbekistan’s total imports of machinery, equipment, and transport vehicles come from EU countries.

Investment cooperation is also expanding rapidly. In 2024, foreign investments and loans from EU countries and their financial institutions increased by 77%, reaching $4.1 billion (compared to $2.3 billion in 2023). The most active investors were Germany ($1.37 billion), the Netherlands ($1.05 billion), Cyprus ($858.9 million), the Czech Republic ($137.8 million), Italy ($99.8 million), and Sweden ($97.5 million). Today, around 1,000 enterprises with EU capital operate in Uzbekistan, with a total project portfolio of €30 billion.

A special role in recent years belongs to the EBRD, of which Uzbekistan has become one of the largest beneficiaries. The Bank’s total investments in Uzbekistan’s economy exceeded €5 billion, including around €1 billion in 2024, primarily directed toward the private sector.

Reforms in Uzbekistan have become the key driver for unlocking the significant potential of trade and economic cooperation with the European Union.

Uzbekistan–Belgium

The upcoming visit will also focus on strengthening relations between Uzbekistan and Belgium. Diplomatic relations were established following the opening of the Embassy of Uzbekistan in Brussels in 1993. In 1996, the two countries signed an Agreement on avoidance of double taxation, and in 1998 – an Agreement on mutual protection and promotion of investments, which provide legal guarantees for investors in both states.

Business contacts have intensified in parallel with Uzbekistan’s reform agenda. The visits of 2019 and 2022 set the tone for cooperation in infrastructure, energy, and the digital economy. More important than the current trade volumes has been the recognition and support of Uzbekistan’s reforms by EU partners, laying the foundation for long-term engagement.

In 2024, bilateral trade amounted to $62.3 million, including $7.3 million in Uzbek exports and $55 million in imports. Investment cooperation is gaining momentum: several dozen companies with Belgian capital now operate in Uzbekistan, including wholly owned enterprises. New technologies are being localized, for example, Jaga Climate Designers is participating in a joint venture for heating and ventilation systems, and Picanol Group is localizing the assembly of high-tech textile machinery. Belgian brands Belcolade and Prefamac are exploring opportunities to launch chocolate production with subsequent localization.

Despite modest trade volumes, there is significant potential for expanding cooperation in several areas. Given Belgium’s leading role in pharmaceuticals and biomedical research and Uzbekistan’s growing pharmaceutical market, joint ventures or industrial clusters could be developed in this sector, involving companies such as UCB and Janssen Pharmaceutica.

There is also strong potential for joint fruit and vegetable processing projects in Uzbekistan, targeting exports to the EU via Belgian logistics hubs such as the Port of Antwerp and wholesale markets. Potential partners include Greenyard and Puratos. Direct seasonal exports of fresh fruits (e.g., grapes in autumn and winter), as well as dried vegetables, spices, and organic products, could also be expanded. In light industry, there is room to increase exports of ready-made knitwear and home textiles, provided European quality and safety standards are met. The market potential is evident – Belgium imported about $7.9 billion worth of clothing in 2024.

The main challenges remain logistics and standards. Belgium functions as a major EU maritime hub centered around Antwerp, while direct routes from Uzbekistan are still limited. The near-term priority should be pilot supply chains ensuring quality and traceability, the development of cold logistics, certification under EU technical and sanitary regulations, the use of Benelux consolidation hubs, and trade finance tools for SMEs. With the gradual development of new overland routes along the Middle Corridor, Uzbekistan will gain a stronger foothold in high value-added exports without higher costs or delivery delays.

Conclusion

Uzbekistan is entering a stage of deepened economic cooperation with the European Union. During the ongoing modernization and digital transformation of its economy, European investment, technology, education, and research experience can play a key role. At the same time, Uzbekistan seeks to expand exports of industrial goods as their quality improves.

Uzbekistan is also a rapidly growing market with a young and dynamic population, now reaching 38 million people – an 18% increase since 2017. Every year, around 700,000 economically active individuals enter the labor market, forming a substantial human resource base for the economy, including joint ventures.

As a result of poverty reduction policies, living standards and household incomes have risen significantly. Whereas a third of the population once lived below the poverty line, 7.5 million people have been lifted out of poverty, and the poverty rate declined to 8.9% in 2024, with plans to reduce it further to 6% this year. These policies not only address social challenges but also expand domestic demand, increasing the interest of European businesses in entering Uzbekistan’s market.

The further deepening of Uzbekistan’s economic engagement with the EU and Belgium is an objectively mutually beneficial process – one that will define the success of the upcoming state visit of President Shavkat Mirziyoyev to Belgium.

The agreements expected to be signed will help advance joint projects in sustainable energy and infrastructure, strengthen transport and technological connectivity between Central Asia and Europe, and position Europe as a key partner in Uzbekistan’s long-term growth and modernization trajectory.

 Obid Khakimov,  

Director of the Center for
Economic Research and Reforms

The development of trade and economic cooperation between Uzbekistan and Belarus, expansion of bilateral trade, enhancement of export potential, and strengthening of investment ties remain among the key priorities of economic relations between the two countries. Consistent efforts undertaken in this direction are contributing to the diversification of export markets, improvement of logistics chains, and expansion of cooperation between the business communities of both nations.

Against this backdrop, the Belagro–2026 International Agricultural Exhibition and Fair, one of the largest international events in the agricultural sector, was held in Minsk, Republic of Belarus, from 1 to 6 June 2026. An official delegation of the Republic of Uzbekistan participated in the exhibition, holding a series of meetings and negotiations focused on expanding trade and economic cooperation, increasing exports, strengthening investment partnerships, and implementing joint projects in the agricultural sector.

Within the framework of the exhibition, the National Pavilion of Uzbekistan, organized by UZAGROSTAR HOLDING, showcased a wide range of agricultural and food products produced in Uzbekistan. The pavilion was visited by Rahmatulla Nazarov, Ambassador Extraordinary and Plenipotentiary of the Republic of Uzbekistan to the Republic of Belarus; Yuriy Shuleyko, Deputy Prime Minister of the Republic of Belarus; and Aleksandr Yakovchis, Deputy Minister of Agriculture and Food of the Republic of Belarus. During the visit, the parties discussed the quality and export potential of Uzbek agricultural products, as well as their prospects in the Belarusian market.

The exhibition also served as a platform for meetings with leading Belarusian retail chains, importing companies, and wholesale market operators. Discussions focused on establishing systematic supplies of Uzbek agricultural products to Belarus, expanding the range of exported goods, increasing bilateral trade volumes, and strengthening direct cooperation between Uzbek exporters and Belarusian importers.

In particular, meetings with the management of the Noviy Lebyajiy wholesale market in the Minsk district explored opportunities for exporting fresh fruits, vegetables, and processed agricultural products under long-term contracts, establishing sustainable B2B partnerships, and creating dedicated trading areas for Uzbek producers.

Special attention was also devoted to cooperation in the livestock sector. Following negotiations with the Belarusian organization Belplemjivobyedineniye, a cooperation agreement was signed to supply high-yield pedigree cattle to entrepreneurs in the Samarkand region of Uzbekistan. The agreement represents a practical continuation of ongoing efforts aimed at improving breeding programs and increasing livestock productivity.

Furthermore, the delegation visited the Ozerco-Logistik trade and logistics center in the Minsk district to study Belarus's experience in developing logistics and customs infrastructure. The visit provided valuable insights into international cargo storage and redistribution, digital logistics systems, and customs clearance procedures, creating new opportunities for exchanging best practices in export logistics.

In the area of investment cooperation, a meeting with the leadership of the Mogilev Regional Executive Committee resulted in the signing of a Memorandum of Understanding between MARAQAND MEAT LLC of Uzbekistan and the Mogilev Regional Executive Committee on establishing a modern livestock production complex in Belarus. The memorandum establishes a legal framework for expanding bilateral investment cooperation and implementing joint projects in the agro-industrial sector.

The Uzbek delegation also visited advanced agricultural enterprises in the Vitebsk region, where they exchanged experience on the development of intensive livestock farming, efficient farm management, strengthening the feed base, introducing digital agricultural technologies, and implementing joint investment projects.

Introduction: The Significance of President Shavkat Mirziyoyev’s participation in the 80th session of the United Nations General Assembly

The participation of the President of the Republic of Uzbekistan in the 80th session of the United Nations General Assembly (UNGA) this September held profound political and historic significance not only for our country but for the entire region. Speaking from this prestigious platform, which gathers heads of state from across the globe, Uzbekistan raised critical issues including sustainable development, combating climate change, ensuring food security, and the efficient management of water resources.

Through his address at the United Nations, a premier global institution, our President further solidified Uzbekistan’s international standing and reputation as a proactive and responsible state. Notably, by showcasing the ecological and innovative initiatives being implemented in the Aral Sea region, Uzbekistan demonstrated its openness to global cooperation in addressing pressing environmental challenges.

Another significant aspect of this participation is the integration of Uzbekistan’s international environmental initiatives into the global political agenda, highlighting the Aral Sea region as an open platform for advancing climate technologies.

During the visit, the initiatives concerning the Aral Sea region received significant attention from the international community.

During his address at the 80th session of the United Nations General Assembly, our President paid special attention to the environmental disaster in the Aral Sea region and the ongoing initiatives aimed at mitigating its consequences. This issue has garnered significant focus from the international community, reaffirming that the Aral Sea crisis is recognized not only as a regional challenge but also as a global environmental concern.

Uzbekistan’s initiative to transform the Aral Sea region into a hub of sustainable development and innovation has received strong support from international partners. In particular, significant opportunities were highlighted for implementing joint projects in areas such as green energy, water-saving technologies, ecotourism, and the restoration of biodiversity.

Thus, the raising of the Aral Sea issue on the prestigious platform of the United Nations during the visit served as a significant political and practical foundation for strengthening global cooperation and attracting increased attention from international donors and organizations.

Transforming the Aral Sea region into a hub for global climate technologies.

The challenges arising from the desiccation of the Aral Sea serve as a profound lesson for the entire world. In response, Uzbekistan aims to transform the Aral Sea region into a “global laboratory” by implementing advanced practices in green energy, water-saving technologies, biodiversity restoration, and climate change adaptation.

Such an approach not only addresses regional challenges but also offers an effective model for the international community. The projects being implemented in the Aral Sea region can subsequently serve as a replicable framework for other areas facing the impacts of climate change.

On May 18, 2021, during the 75th Session of the United Nations General Assembly, our President put forward the initiative to designate the Aral Sea region as a hub for ecological innovations and technologies. This proposal received enthusiastic support from the United Nations and the international community, and was unanimously adopted by all member states during the General Assembly plenary session. This resolution underscores Uzbekistan’s consistent and steadfast commitment to addressing the Aral Sea crisis and mitigating associated risks through a principled and effective approach.

The Aral disaster and its lessons for humanity.

The Aral Sea disaster is recognized worldwide as one of the greatest environmental catastrophes in human history. Once the fourth-largest lake in the world by surface area, the Aral Sea has almost completely dried up over the past half-century. This tragic development has dealt a severe blow to the regional climate, biodiversity, public health, and economy.

The drying up of the Aral Sea stands as a vivid example of human intervention that was not in harmony with nature. Excessive and inefficient use of water in irrigation, coupled with ineffective irrigation systems and planning errors, led to this major environmental disaster.

This tragedy underscored the necessity for humanity to use natural resources efficiently and wisely, highlighting the importance of developing water supply and agriculture solely based on sustainable technologies. At the same time, it clearly demonstrated that ensuring environmental security requires global solidarity and close international cooperation.

The imperative of sustainable development in the region.

The Aral Sea region today represents one of the most critical challenges for environmental, social, and economic sustainability in Uzbekistan and the broader Central Asian region. The limitations of natural resources, issues related to water supply, ongoing desertification processes, and declining living standards underscore the urgent need to implement a comprehensive sustainable development strategy in this area.

The necessity for sustainable development in the Aral Sea region is grounded in several key factors. Primarily, environmental security remains a pressing concern: frequent dust storms, soil degradation, and the loss of biodiversity pose direct threats to public health and the quality of life. Additionally, economic considerations are paramount, as the modernization of agriculture — the main source of income for the local population — requires the adoption of water-saving and innovative technologies.

Ensuring social sustainability requires a comprehensive set of measures aimed at creating new employment opportunities, increasing household incomes, and mitigating the risks of environmental migration. Furthermore, given that the challenges in the Aral Sea region transcend regional boundaries and hold global significance, addressing them necessitates reliance on international cooperation and partnership.

Opportunities of the Aral Sea region as an international innovation hub and platform for cooperation.

It is widely recognized that Uzbekistan has undertaken extensive and positive national efforts to combat the adverse environmental and public health impacts caused by the drying up of the Aral Sea. Since the early years of independence, the population of the White Aral Sea region has consistently felt the substantial support of the Uzbek government. The Government of Uzbekistan remains committed to paying continuous attention to the social welfare of the communities residing in the Aral Sea area.

Today, the Aral Sea region serves as an international innovation hub, playing a crucial role in promoting sustainable development in an area severely affected by ecological crisis. Through scientific, innovative, and practical projects, the center actively advances comprehensive work in key sectors including environmental protection, water resource management, agricultural technologies, energy, climate adaptation, and international cooperation.

In order to enhance the activities of the Center and further develop ecological and innovative technologies in the Aral Sea region, the Aral Sea International Innovation Center was transferred under the jurisdiction of the Ministry of Ecology, Environmental Protection, and Climate Change of the Republic of Uzbekistan, in accordance with Presidential Decree No. PQ-171 dated May 31, 2023.

In accordance with Presidential Decree No. PQ-5202 dated July 29, 2021, a modern laboratory, business accelerator training center, and technopark building, valued at 12.4 billion Uzbek soms, were completed and commissioned in 2024 within the Center’s premises. The laboratory is equipped with a plant seed gene bank and serves as a crucial scientific and innovative platform for preserving biodiversity in the region, protecting both native and introduced species, and achieving high efficiency in agricultural practices.

Currently, efforts are underway to commence full-scale operations at the facility, enrich the gene bank with an extensive seed collection, organize scientific research, and enhance the expertise of local specialists. This initiative not only supports sustainable agricultural development in Uzbekistan but also plays a crucial role in ensuring food security amid climate change and advancing international scientific cooperation across the entire Central Asian region.

Over the past period, the Center has established effective cooperation with a range of international and local organizations, as well as research institutes, in conducting scientific research and implementing projects. In particular, agreements and memoranda of understanding have been signed with over 70 foreign and domestic entities. Currently, 20 scientific-practical and innovative projects with a total value of 23.9 billion Uzbek soms are being carried out. These projects encompass alternative green energy, aquaculture, intensive horticulture, medicinal plant cultivation, resource-saving technologies, and social programs.

The Center’s activities are primarily focused on improving the living standards of the population, introducing and developing salt- and drought-tolerant crops, and implementing resource-efficient technologies. At the same time, it carries out scientific-practical and innovative initiatives aimed at restoring ecosystems, preserving biodiversity, and enhancing the quality of life in collaboration with leading international organizations. Among these partners are the United Nations Development Programme (UNDP), the International Center for Biosaline Agriculture (ICBA, UAE), the Xinjiang Institute of Ecology and Geography (China), the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), the Global Green Growth Institute (GGGI), the Korea International Cooperation Agency (KOICA), the Japan International Cooperation Agency (JICA), and other prestigious institutions.

The “Samanbay” (24.3 hectares) scientific-production site in Nukus district and the “Moynoq” (106 hectares) site in Moynoq district serve as the primary experimental and testing bases of the Center. At these sites, experimental research and monitoring activities are being conducted in cooperation with foreign and local organizations. Additionally, the Center hosts joint laboratories established in partnership with international collaborators, as well as its own in vitro, soil, water, and plant biotechnology laboratories. These infrastructures support the deepening of scientific research carried out in the experimental fields and enhance the effectiveness of ongoing studies.

Each of the ongoing projects is aimed at creating long-term solutions for the Aral Sea region. Thanks to its innovative approach and international cooperation, the Aral Sea International Innovation Center is gradually becoming the primary platform in Central Asia for scientific research, technological development, and sustainable development.

In its future plans, the Aral Sea International Innovation Center aims to ensure environmental sustainability by implementing innovative eco-technologies, including desertification control measures and smart agriculture solutions.

Simultaneously, to strengthen scientific research activities, plans have been made to establish modern laboratories, a business accelerator, a training center, a technopark, experimental sites, and data analysis centers.

The Center aims to implement large-scale joint projects by further expanding cooperation with international organizations. Additionally, one of the Center’s priority directions is developing programs focused on fostering innovative ideas, creating startups, and enhancing professional skills for farmers, entrepreneurs, local communities, youth, and women.

Conclusion

The Strategic significance of the initiative to transform the Aral Sea region into a global hub for climate technologies.

The initiative to transform the Aral Sea region into a global hub for climate technologies holds strategic significance not only on a regional scale but also worldwide. Its core essence lies in ensuring environmental sustainability, conserving water resources, mitigating desertification processes, and restoring biodiversity.

At the same time, the introduction of solar and wind energy, modern irrigation systems, and innovative technologies will open broad avenues for the development of a green economy in the region. This initiative will strengthen cooperation with international organizations such as the United Nations and the Green Climate Fund, creating new employment opportunities for the local population and enhancing overall prosperity.

Most importantly, the Aral Sea region’s experience will serve as an effective model in addressing climate change and water resource challenges on a global scale in the future.

Director of the Aral Sea International Innovation Centre under the Ministry of Ecology, Environmental Protection and Climate Change of the Republic of Uzbekistan

B.S.Khabibullaev

Over the past few years, Uzbekistan and Azerbaijan have moved from strategic partnership to a fully fledged alliance. Two distinct dimensions now stand out in the way they engage with one another. On the one hand, the institutional foundation of their cooperation is firmly in place; on the other, its economic momentum is only beginning to build. In our view, the balance between the development of political and diplomatic machinery and the practical substance of economic cooperation is what will define the next chapter in Uzbek–Azerbaijani relations.

The institutional architecture

The framework of bilateral ties built by Tashkent and Baku rests largely on top-down coordination: the agenda is set at the level of the heads of state, while intergovernmental, ministerial and business mechanisms deliver it. It is President Shavkat Mirziyoyev of Uzbekistan and President Ilham Aliyev of Azerbaijan who set the principal vectors of cooperation and its tempo, and who appreciably shorten the time needed to sign off on individual decisions.

This has gradually produced an extensive system of engagement mechanisms. The Supreme Interstate Council was established in 2023 and held its first session in 2024; the same year saw the signing of the Treaty on Allied Relations. In July 2026, Tashkent hosted the fifteenth meeting of the Intergovernmental Commission. The Uzbek–Azerbaijani Business Council has been operating since 2020, three Forums of Regions have been convened, and eleven cities have entered into sister-city arrangements. In the past three years alone there have been more than twenty high-level inter-parliamentary contacts, and in 2025 Khiva hosted the first inter-parliamentary forum.

Contact of this density is normally found between neighboring countries, or between states whose mutual trade runs at far higher levels. For Uzbekistan and Azerbaijan – separated by the Caspian and still trading comparatively little – the degree of institutionalization achieved looks all the more striking.

The practical effect is to lower political and administrative barriers, shorten approval timelines and make it easier for companies to enter the partner’s market. Yet an institutional framework does not in itself generate trade flows or investment demand. It creates favorable conditions for business activity, but it is no substitute for the economic incentives on which the further momentum of cooperation depends.

The next stage, therefore, is likely to be defined less by adding to the number of existing formats than by their capacity to convert the political relationship already achieved into concrete economic results.

The economic dimension: a question of scale

Political dialogue between the two countries is still running well ahead of the underlying economic indicators, as the statistics make plain. Bilateral trade came to $307 million in 2025, an increase of roughly 15 percent. Uzbek exports grew by 8 percent to $227 million, while imports from Azerbaijan rose by 39 percent to $80 million. The Uzbek export basket widened by 116 product lines.

These figures take on a rather different meaning, however, when set against Uzbekistan’s total foreign trade turnover, which exceeded $81 billion in 2025^[1]. Azerbaijan accounted for less than 0.4 percent of it. That number should not be read as a verdict on the quality of the bilateral relationship. What it shows, rather, is how hard it is to translate political alignment into economic ties of real scale – a difficulty rooted in several objective structural constraints.

These include the absence of a shared border and the resulting need for multimodal shipping across the Caspian; a partial overlap in export baskets (textiles, fruit and vegetables, selected chemical products); and similar approaches to diversifying economic ties, which leave the two sides competing on third markets more often than complementing one another.

From this follows a thoroughly practical conclusion. Simply scaling up conventional trade is unlikely to bring the two countries to the $1 billion mark set by their presidents^[2]. Growth will have to be sought through investment and industrial cooperation, where trade flows arise from shared production chains.

Both countries appreciate how important it is to put such systematic work in place, and in recent years the center of gravity of the agenda has shifted noticeably from trade toward investment. The Azerbaijan–Uzbekistan Investment Company (AUIC), created in 2023 with charter capital of $500 million, is already involved in fifteen projects worth some $360 million, according to Uzbekistan’s Ministry of Investment, Industry and Trade^[3]. The wider pipeline is considerably larger, taking in more than twenty projects worth around $6 billion, with a further twenty-five worth almost $1.5 billion in preparation^[4].

How far investment cooperation reaches beyond declared intentions is best judged from what is happening at specific production sites. The most visible example is the joint vehicle assembly operation run by Uzavtosanoat and Azermash at the Hajigabul industrial park, which has already turned out more than 11,000 Chevrolet cars and Isuzu buses^[5]. The project is now moving into its next phase: a full-cycle plant with investment of more than $84 million. Textile and sericulture clusters are developing in parallel, alongside agro-industrial and logistics projects.

The significance of such ventures is not measured by output alone. Their principal value lies in forging durable production links between the two countries.

Joint manufacturing generates steady demand for mutual deliveries of components, raw materials and equipment, which in effect embeds bilateral trade within a single production chain.

Ties of this kind tend to be less sensitive to swings in the market, since they rest not on one-off deals but on the long-term needs of production. Another consideration matters just as much. Localizing production in Azerbaijan, provided the relevant rules of origin are met, potentially opens the door to third-country markets with which Baku holds preferential trade arrangements.

In that sense, joint ventures can be seen not merely as a means of serving the two national markets, but as a possible platform for promoting products together beyond Uzbekistan and Azerbaijan. That effect does not materialize automatically, however: it calls for dedicated work on the trade, customs and legal mechanisms involved.

What will shape further growth?

The institutional architecture now in place, together with the results already achieved in economic cooperation, creates considerable scope for taking the relationship further. Realizing that potential, though, will depend on the two sides’ ability to overcome a number of structural constraints.

Foremost among them are the competition between similar products on third markets noted above and the volatility of Caspian logistics, which reflects the condition of the ferry fleet and the seasonality of shipping. A further brake comes from the difficulty of making direct payments between the two countries’ banks and of insuring cargo, both of which add to the cost and duration of foreign trade transactions.

Against this backdrop, a natural question arises: what could accelerate the pace of cooperation?

One of the most practical steps would be mutual recognition of certificates and laboratory test results, above all for agricultural produce, which would cut both the time and the cost of bringing goods to the partner’s market.

In the financial sphere, there is a strong case for broadening correspondent banking relations and settlement in national currencies, by way of direct payments between banks and convenient currency conversion arrangements. This would reduce reliance on intermediaries and make settlement of trade and investment operations more predictable.

Transport deserves attention in its own right. Expanding the capacity of the Caspian routes, harmonizing tariffs and shipping schedules, and developing digital cargo tracking would all help lower costs for business.

Uzbek–Azerbaijani relations have thus reached the point at which the political capital accumulated over recent years is gradually acquiring economic and practical substance. In this sense it can be said with confidence that the two countries have laid a solid foundation for moving into new areas and deeper forms of allied partnership.

Miraziz Mirumarov, Leading Research Fellow,

Institute for Strategic and Interregional Studies under the President of the Republic of Uzbekistan

Iroda Imamova, Leading Research Fellow,

Institute for Strategic and Interregional Studies under the President of the Republic of Uzbekistan

[1]https://stat.uz/ru/press-tsentr/novosti-goskomstata/66431-2025-jilda-zbekistonning-tash-i-savdo-ajlanmasi-81-mlrd-dollardan-oshdi-3

[2]https://president.uz/ru/lists/view/8287

[3]https://surl.li/rgudkn

[4]https://surl.li/wbqoju

[5]https://economiczones.gov.az/post/hsp-de-avtomobil-istehsali-artir-az

On October 15–16, 2025, the city of Fergana will host the inaugural session of the Fergana Peace Forum under the theme: “The Fergana Valley: Uniting Efforts for Peace and Progress.”

Organized by the Institute for Strategic and Regional Studies (ISRS) under the President of the Republic of Uzbekistan, in partnership with colleagues from Kyrgyzstan and Tajikistan, and supported by national and international organizations, this unique large-scale event will bring together leading experts, researchers, public figures, and representatives of international organizations. Their goal is to discuss the prospects for the development of one of Central Asia’s most densely populated and culturally rich regions — the Fergana Valley.

Experts from prominent think tanks across the CIS, Asia, Europe, and the Americas, alongside academics, business leaders, civil society representatives, and youth leaders from the region, will convene in one place. High-level delegates from international bodies such as the United Nations, the Shanghai Cooperation Organization (SCO), the Commonwealth of Independent States (CIS), the Conference on Interaction and Confidence-Building Measures in Asia (CICA), the European Union, and the Organization for Security and Co-operation in Europe (OSCE) are also expected to participate. Renowned peacebuilding organizations including the Berghof Foundation (Germany), the Martti Ahtisaari Peace Foundation (Finland), PeaceNexus (Switzerland), and the Stockholm International Peace Research Institute (SIPRI) will be among the invited guests.

More than 300 participants will attend the Forum, including around 150 from Central Asia and over 50 from the CIS, Asia, Europe, and the Americas.

Experts believe the Forum will reinforce the vision expressed by Uzbekistan’s President Shavkat Mirziyoyev at the 80th session of the UN General Assembly — the transformation of Central Asia into a space of peace, good neighborliness, and partnership.

         As President Mirziyoyev has noted, the region is entering the era of New Central Asia. The days of closed borders, unresolved disputes, and conflicts are becoming a thing of the past. Thanks to growing cohesion, stability, and an emerging shared identity, Central Asia is increasingly recognized as an independent and influential actor on the global stage.

         The choice of the Fergana Valley as the Forum’s venue is symbolic. This unique region is where the lifelines of Uzbekistan, Kyrgyzstan, and Tajikistan intersect. The established atmosphere of trust, dialogue, and cooperation between these countries exemplifies the good-neighborly policy championed by President Mirziyoyev.

Historical records mention the ancient Fergana state of Davan, especially the cities of Aksikent and Mingtepa, which were famed for their fertile lands, strong defenses, and prized horses. These are documented in Chinese chronicles from the late 2nd century BCE. By medieval times, the valley was one of the leading regions of Mawarannahr (Transoxiana). Archaeological remains from the Bronze Age, Early Iron Age, and medieval periods testify to the valley’s role as a cradle of multiple civilizations.

The Han dynasty historian Sima Qian wrote: “The people live on the land, tilling fields and growing rice and wheat. They live in houses and fortified cities; there are about seventy or more cities of various sizes in this region.” Medieval Arab geographers described Fergana as a land dotted with many cities and villages, surrounded by steppes and mountains, where both urban life and pastoralism thrived.

Cities such as Kokand, Khujand, Osh, and Margilan were centuries-old centers of craftsmanship, trade, and learning. Caravans of the Great Silk Road passed through here; some of the earliest madrasahs were established in the valley. The region became a crossroads for ideas from Persia, China, India, and the Arab world.

         Situated at the intersection of Hellenistic, Bactrian, Parthian, Chinese, and Islamic civilizations, the Fergana Valley is a unique hub of cultural exchange — a legacy evident today in its languages, traditions, cuisine, and architecture.

Experts agree that the peoples of the Fergana Valley form a unified historical and civilizational community — a reality forged over centuries of political, economic, and humanitarian interaction.

The Fergana Valley is living proof that the coexistence of diverse cultures is not only possible but also fruitful. Here, traditions are preserved while new forms of cooperation continuously emerge, from joint celebrations to cross-border initiatives. The region has effectively become a laboratory for cultural convergence, where the ideals of inter-civilizational dialogue are actively realized.

With its rich heritage, dense population, and vast economic potential, the Fergana Valley requires special attention to sustainable development, environmental security, and cross-border cooperation.

Coordinated action and open dialogue are essential here — to foster peace, mutual trust, and progress. The Forum’s agenda addresses a wide range of issues:

• Strengthening regional dialogue and trust;
• Jointly ensuring stability and sustainable development;
• Unlocking the valley’s economic and investment potential;
• Promoting cultural and humanitarian ties;
• Increasing the involvement of civil society, youth, and the private sector in transformation processes.

Special focus will be placed on turning challenges into opportunities and establishing regional cooperation as a firm foundation for peace and prosperity.

The maturity of the Fergana Valley is reflected in its shared historical and cultural foundation, which allows the countries in the region to build dialogue on existing trust rather than starting from zero.

Today, the Fergana Valley is more than a historical symbol — it is a strategic region for sustainable development and economic cooperation. Joint transport and energy projects, cross-border markets, and digital initiatives are driving dynamic growth.

The Fergana Peace Forum is poised to become not just a discussion platform but an ongoing mechanism for generating ideas, uniting efforts, and advancing projects for the benefit of the entire region.

Organizers highlight that the example of the Fergana Valley could serve as a model for post-conflict regions worldwide, where political stabilization must be accompanied by deep cultural and humanitarian work. Real mechanisms of cooperation are being forged here, grounded in a shared historical and cultural legacy that supports peace and development.

Among the anticipated outcomes of the Forum is the adoption of a Communiqué calling for the establishment of a unified space of friendship, good neighborliness, and sustainable development in the Fergana Valley.

Preparatory discussions have already confirmed that the Fergana Valley is a place where the past inspires, the present unites, and the future is built on values of peace and cooperation.

In a world where conflict has become commonplace and the international community searches for new models of sustainable coexistence, the Fergana Peace Forum offers one clear answer: peace begins with trust, and trust begins with open dialogue.

Fergana is not just a point on the map — it is a space where respect becomes the language of communication, friendship forms the foundation of neighborliness, and cultural diversity is a source of unity.

Dr. Alisher Sabirov, Doctor of Historical Sciences,
Professor, Nizami National Pedagogical University, Uzbekistan;
Adjunct Associate Professor, Shaanxi Normal University, People’s Republic of China

Dear compatriots!

I cordially congratulate you, all our multinational people with the Constitution Day of the Republic of Uzbekistan celebrated on December 8.

Undoubtedly, this year we all feel the significance of this holiday especially deeply. After all, above all, it takes place in the context of historic transformations in the political-legal, socio-economic and spiritual spheres of our life. 

It should be emphasized once again that the elections to the Oliy Majlis and local Kengashes, held in the spirit of open and competitive contest on October 27 this year, became an important step towards the implementation of our updated Fundamental Law. As a result of the elections, which vividly demonstrated the high political culture, unity and cohesion of our hardworking and tolerant people on the path of building the New Uzbekistan, a new system of representative power has been formed in the country. Its constitutional rights and powers have been strengthened and its responsibility has increased manifold.

One more important aspect: we have moved from the practice of the recent past, when khokims were simultaneously in charge of local councils, to a new system in which, for the first time, councils are headed by chairmen elected among deputies. 

The transfer of more than 30 powers of khokims to local councils testifies to an even broader establishment of the principles of democracy in our society.  

In accordance with the constitutional provision that the people are the only source of state power, we will resolutely continue our reforms aimed at expanding the powers of the Parliament and local Kengashes, further increasing their activity, creating the necessary conditions for effective activity, in short, turning them into the true voice of the people. 

Dear friends!

Large-scale measures are taken in the country for consistent implementation of the priority principles of ensuring human rights, interests and dignity enshrined in the Fundamental Law. 

Thanks to the selfless labor of our people, in recent years the national economy has doubled, the per capita income has reached 3 thousand dollars, the poverty rate has decreased from 23 to 11 percent, the coverage of preschool education has exceeded 74 percent, higher education - 39 percent, and this is undoubtedly a historic result. 

In order to dynamically continue the reforms, to apply in practice the norms of the Constitution in the new edition, the issues of entrepreneurship development and, on this basis, increasing the population's income, strengthening the atmosphere of mutual respect and harmony in families and mahallas, and comprehensive support for representatives of the older generation, women and youth will continue to be at the center of our attention. 

The Fundamental Law stipulates that Uzbekistan is a social state, therefore, further improvement of cities and villages, construction of new residential buildings, health care, education, culture, art and sports institutions, modernization of road and communication networks, strengthening of targeted social protection will be of paramount importance for us. In particular, the priority task is to increase twofold the amount of funds allocated to the health sector, transition to a health insurance system and provide the population with fully guaranteed medical services. 

Within the framework of programs in the field of education, we will bring the coverage of higher education to 50 percent in the coming years. In 2025 alone, 4 trillion soums will be allocated from the state budget for the repair of existing kindergartens and construction of new kindergartens and schools.

Another important area is support for those in need of social protection, for which it is planned to allocate a total of 46.5 trillion soums and lift 1 million citizens out of poverty.

We will also raise to a new level the work on creating even more favorable conditions for persons with disabilities, their socialization, and in general on ensuring inclusiveness in society. Necessary measures will also be taken to reform the pension system. 

As you know, the new version of the Fundamental Law for the first time enshrines the rights of citizens in the sphere of ecology, emphasizing the state's obligations to protect the environment and maintain the ecological balance. 

We have declared 2025 the Year of Environmental Protection and Green Economy in the country and have set clear objectives in this field. I am confident that this will serve as an important basis for implementing the relevant constitutional norms and principles. 

I take this opportunity to urge you, dear compatriots, all our people to take an active part in the development and implementation of the State Program of the coming year. 

We have no right to forget that the protection of nature is the protection of the humans, our future. We must protect our priceless wealth - fertile fields, clean springs, rivers and lakes, mountains and plains, create new gardens and parks, green territories, so that our motherland Uzbekistan becomes even more beautiful, and future generations live in a free and prosperous country. 

Dear compatriots!

Our Constitution has always been and remains a reliable guarantor of strengthening national independence, preserving peace and stability in the country, interethnic friendship and harmony, ensuring the irreversibility of the ongoing reforms. 

We are proud of our Fundamental Law - a vivid symbol and practical embodiment of the legal consciousness and will of the people. I believe that studying every article, every norm of this unique legal document, showing respect for them should become a sacred duty and a life principle for all of us. 

I am convinced that by working in good faith, recognizing our responsibility, we will be able to further increase the effectiveness of the reforms carried out and will definitely achieve the great goals before us.

Once again I sincerely congratulate you, dear compatriots, with Constitution Day, wish you all health, peace and prosperity to your families.

May the authority and glory of our Motherland grow!

May the people of Uzbekistan - the creator of all our achievements - be happy! 

Shavkat Mirziyoyev,

President of the Republic of Uzbekistan

A Calligraphy School has been established at the Center of Islamic Civilization in Uzbekistan, reports Dunyo IA correspondent.

This significant scientific and educational project was announced during a seminar titled “The Calligraphy Heritage of the Timurid Era – Continuity of Traditions” dedicated to the 690th anniversary of the great commander Amir Temur's birth.

The seminar served as an important platform for a broad discussion on the spiritual and cultural significance of calligraphy, bringing together leading experts in the fields of Islamic art, history, and philology.

-  The initiative to establish the Calligraphy School at the Center of Islamic Civilization was proposed by our Honorable President on January 29, 2025. A year later, this initiative has been endorsed by all international organizations and the project was officially launched within the framework of the conference dedicated to the Timurid civilization. The establishment of the Calligraphy School is a logical continuation of the large-scale reforms aimed at preserving and promoting cultural heritage in our country, - said Firdavs Abdukhalikov, Director of the Center of Islamic Civilization, in his address to the event participants.

As noted, during the Timurid era, the art of calligraphy reached its zenith and became a symbol of cultural advancement. According to data presented by scholars, after establishing a centralized state, Amir Temur gathered the most skilled calligraphers from various regions to the capital. Styles such as Thuluth, Nasta‘liq and Kufic reached their peak, and famous manuscript copies, such as the renowned “Baysunghur Quran,” were inscribed.

International experts highly commended this initiative. In particular, Mahmud Erol Kılıç, Director General of IRCICA, shared his insights on the role of Islamic calligraphy in world culture and its high aesthetic and spiritual value. Coşkun Yılmaz, Chairman of the Turkish Institution of Manuscripts, provided information on the unique manuscripts preserved in the Süleymaniye Library, emphasizing that a significant portion of them is linked to the history of Central Asia. Sali Shahsivari, Director of the Al-Furqan Islamic Heritage Foundation in the UK, evaluated the Timurid period as an era of genuine educational and cultural awakening.

It was emphasized that the Calligraphy School will function not only as an educational institution but also as a scientific research and cultural center. Within its framework, plans include training specialists, preserving and restoring manuscripts, as well as developing international cooperation.

Uzbekistan’s total external debt amounted to $75.4 billion as of October 1, 2025.

According to the Ministry of Investment, Industry and Trade of Uzbekistan (MIIT), $37.4 billion of this amount accounts for the government’s external debt.

It is important to note that the issue of investment and external financing always attracts interest and raises questions. This is natural, as society wants to understand where resources come from and what results the country achieves.

The key principle here is simple: the purpose of attracting investment and resources is to improve living standards. This is not about “impressive reports” or “eye-catching figures,” but about tangible improvements felt in everyday life-jobs and household incomes, infrastructure, access to clean water, energy and transport, and quality social services.

The economic logic is also clear: for the economy to grow faster, resources are needed- capital, technology, equipment, and new markets. If a country stops attracting resources, growth slows down: fewer jobs are created, it becomes harder to modernize logistical and social infrastructure, expand water supply, and ensure affordable energy.

Therefore, Uzbekistan is consistently working to attract investments - to accelerate economic development, boost GDP, and ultimately improve both the quality and longevity of life. Notably, since 2020, life expectancy has shown steady growth - from 73.4 years to 75.1 years in 2024.

At the same time, what matters to people are not slogans, but measurable results - changes that can be seen and assessed.

By structure, Uzbekistan’s total external debt as of October 1, 2025, amounted to $75.4 billion. Of this, $37.4 billion is government external debt, while the remaining $38 billion consists of borrowings by private and state-owned enterprises without a government guarantee (corporate debt).

Notably, according to international classifications, Uzbekistan’s government debt level is regarded as moderate and manageable. The government’s external debt of $37.6 billion amounts to roughly 26% of GDP (with official GDP around $145 billion), well below the threshold levels that are generally seen as potentially risky for macroeconomic stability worldwide.

What has been achieved through government borrowings in 2017-2025:

• Reconstructed 1,564 km of highways
• Electrified 470 km of railway lines
• Built 6,793 km of drinking water networks and 664 km of sewage networks
• Constructed 59 km of heat pipelines, 1,286 individual heating units, 166 water distribution facilities, and 31 sewage pumping stations
• Created 2,737 MW of additional electricity capacity and laid 1,106 km of high-voltage power lines
• Commissioned additional generation of 2,084 MW, producing 16,423 million kWh of electricity and 551.8 thousand Gcal of thermal energy

Modernization of Transport and Urban Services:

• Purchased 4 Boeing 787-8 aircraft
• Acquired 2 high-speed Talgo-250 passenger trains
• Added 30 electric locomotives
• For the subway system: 70 cars and 29 train sets
• 1,900 buses
• 1,000 ambulances
• 541 units of equipment for household waste collection
• 13 heat boilers

Education and Social Sector:

• Established 119 educational and research laboratories in 60 universities
• Equipped 6,213 state preschool institutions with furniture, learning materials, and office equipment

Agriculture and Water Management:

• Restored 1,593.1 km of canals
• Modernized 3,396 hydraulic structures
• Drilled 423 vertical wells
• Established modern greenhouses on 2.2 thousand hectares and intensive orchards on 12.6 thousand hectares
• Built cold storage facilities with a capacity of 334.9 thousand tons
• Launched processing enterprises with a capacity of 258.2 thousand tons of products
• Created farms for 12.3 million poultry, 5,752 sheep, and 26.3 thousand cattle

These figures reflect already utilized borrowings. A significant portion of infrastructure and social sector modernization projects is still underway and will continue to deliver benefits as the work is completed.

Overall, as a result of the comprehensive measures implemented during 2017-2025, over 2 million jobs were created, exports increased by 270%, and GDP per capita grew by 418%.

What is fundamentally important is that resources can only be mobilized under strict rules, transparency, and oversight. In his Address to the Oliy Majlis and the people of Uzbekistan, the President highlighted that parliamentarians will oversee the entire project cycle - from selection and competitions to implementation and results. Project statuses, stages, and milestones will be published in real time, ensuring full transparency of competitions, tenders, and the fulfilment of obligations.

Uzbekistan’s approach to investment is clear and straightforward: the country needs resources for growth, while simultaneously ensuring full oversight, transparency, and measurable results for the population. This is exactly how the work is organized - openly, in stages, with clear accountability.

Dunyo IA

The traditional annual Address of the President of Uzbekistan Shavkat Mirziyoyev delivered on the eve of the New Year, became an important programmatic statement summarizing the results of the outgoing year and outlining the country’s strategic development priorities for the period ahead.

As the Head of State emphasized, the past year marked a period of steady progress in reforms and the strengthening of Uzbekistan’s socio-economic position, despite ongoing instability in the global economy and a complex international environment. In this context, the announcement of the coming year as the “Year of Mahalla Development and Society as a Whole” gained particular significance, signaling a transition toward a deeper focus of state policy on people’s quality of life and the development of civil society.

In his Address, the President noted that the national economy continued to demonstrate confident growth. The year 2025 concluded with landmark achievements: for the first time, the country’s GDP exceeded 145 billion US dollars, exports increased by 23 percent to 33.4 billion dollars, and foreign exchange and gold reserves surpassed 60 billion dollars. Investment inflows totaling 43.1 billion dollars enabled the implementation of dozens of major projects in industry, energy, and infrastructure. International rating agencies upgraded Uzbekistan’s sovereign credit rating from BB- to BB, opening more favorable conditions for external financing.

It was particularly emphasized that these macroeconomic results were accompanied by positive changes in the social sphere. Owing to active employment policies, the unemployment rate declined from 5.5 percent to 4.9 percent, and around five million people gained sustainable sources of income. Significant attention was devoted to supporting low-income families, developing targeted social assistance mechanisms, and improving access to basic services. The poverty rate decreased from 8.9 percent to 5.8 percent within a year, lifting approximately 1.5 million citizens out of poverty.

These outcomes were the result of consistent reforms aimed at enhancing economic resilience and creating a solid foundation for social development. Economic achievements expanded the state’s capacity to address social challenges and implement long-term support programs for the population. The President noted that social policy has become more responsive to the concrete needs of citizens, which represents a fundamental achievement of the current reform agenda.

Special attention in the Address was devoted to Uzbekistan’s foreign policy course, which was characterized as pragmatic, open, and oriented toward long-term national interests. The President emphasized that an active and balanced foreign policy remains a key factor in ensuring sustainable development, expanding economic opportunities, and strengthening Uzbekistan’s international standing. It was noted that in recent years the country has significantly expanded the geographical scope of its foreign economic relations, reinforced partnerships both with neighboring states and leading global centers, and consistently continued to promote regional cooperation initiatives. This course reflects Uzbekistan’s aspiration to assume a more visible and responsible role in international affairs, guided by the principles of mutual benefit and respect.

The Address also addressed the reform of the public procurement system as one of the key elements in enhancing transparency and efficiency in public administration. The President stressed that improving public procurement mechanisms is aimed at creating equal conditions for businesses, fostering competition, and ensuring the efficient use of budgetary resources. These measures are viewed as an important part of Uzbekistan’s preparation for accession to the World Trade Organization. In this context, reforms in the field of public procurement acquire not only domestic but also external economic significance, as they contribute to aligning national procedures with international standards and rules. Thus, the outlined steps reflect a systemic approach to Uzbekistan’s integration into the global trade and economic system.

A separate section of the Address focused on anti-corruption efforts, which were identified as one of the key priorities for further development. The President underscored that the fight against corruption is regarded not as a one-time campaign, but as a long-term state policy aimed at establishing an honest, transparent, and accountable system of governance.

“Allowing corruption is a betrayal of our reforms. We declare 2026 a year of ‘extraordinary measures’ to combat this scourge,” the President stated.

It was noted that the measures already being implemented—such as the digitalization of public services, increased transparency in decision-making, and strengthened public oversight—are producing tangible results, though they require further deepening. The emphasis on the anti-corruption agenda demonstrates a commitment to strengthening trust among citizens and international partners in state institutions.

Considerable attention in the Address was also given to environmental issues and sustainable development. The President noted that the environmental agenda is becoming an integral part of state policy and is directly linked to the quality of life of the population and the country’s long-term security. The importance of rational use of natural resources, the expansion of green technologies, and the implementation of programs to improve environmental conditions—especially in the most vulnerable regions—was underscored. Plans were announced to hold the next Assembly of the Global Environment Facility and the Central Asian International Environmental Exhibition in Samarkand in 2026. These events will create valuable opportunities to identify partners for industries, regions, and businesses, and to jointly launch new environmental projects. It was emphasized that environmental initiatives are viewed not only as a social necessity, but also as a key element of economic modernization and enhanced resilience.

Taken together, these priorities demonstrate the comprehensive nature of the ongoing reforms. They indicate that the course toward socially oriented development is inseparably linked with institutional transformation and international integration. This approach reflects Uzbekistan’s determination to build a balanced development model in which economic growth, social sustainability, and responsible governance mutually reinforce one another.

Summarizing the results of the concluding year, the Head of State stressed that all these achievements became possible due to a well-structured reform system and the active participation of society. At the same time, he underlined that further development requires not only economic resources but also a stronger social environment, trust, and solidarity. It was within this logic that the proposal was made to declare the coming year the Year of Support for the Mahalla, as the institution closest to people and their everyday concerns.

In the Address, the mahalla was characterized as a unique form of social organization that has absorbed centuries-old traditions of mutual assistance, responsibility, and respect. The President emphasized that the stability of the state begins with the stability of the mahalla, with an atmosphere of harmony and engagement at the local level. “If there is order and trust in the mahalla, there will be stability in society as a whole,” this idea became one of the key messages of the Address, logically linking past achievements with future objectives.

Support for the mahalla in the coming year is viewed as a systemic measure aimed at further strengthening social policy. The President pointed out that it is precisely at the mahalla level where family issues, employment challenges, education, social protection, and the prevention of social vulnerability can be identified most effectively. In this sense, the development of mahalla structures becomes a tool for increasing the targeting of state assistance and enhancing social justice. The economic achievements discussed earlier thus find their continuation in the social domain.

A significant part of the Address was devoted to citizen participation and the development of civil society. The President stressed that a modern state is impossible without active and responsible citizens involved in decision-making and oversight of implementation. In this context, the mahalla is seen as a space for fostering civic initiative and dialogue between authorities and the population.

“We must create conditions under which every person feels involved in the destiny of the country,” the Head of State noted, outlining a strategic commitment to expanding public participation.

Special emphasis was placed on the role of the mahalla in youth education and the strengthening of social values. The President noted that alongside economic indicators, the formation of a moral, educated, and socially responsible individual remains no less important. Support for projects in education, culture, and sports implemented at the mahalla level is regarded as an investment in the country’s future. “The future of Uzbekistan depends on the environment we create for our children today,” this quotation from the Address clearly reflects the long-term orientation of state policy.

Thus, the declaration of 2026 as the “Year of Mahalla Development and Society as a Whole” demonstrates the state’s intention to move from macro-level achievements toward deeper engagement with quality of life, human capital, and social institutions. It signifies a concentration of efforts on strengthening local communities, developing social infrastructure, and fostering an active and cohesive society.

The President’s Address sets a clear development vector for the year ahead: reliance on achieved economic successes, reinforcement of social policy, and the advancement of civil society through support for the mahalla. This approach reflects a strategic understanding that the sustainability of reforms and the country’s long-term prosperity are impossible without strong communities, trust, and citizen participation. In this context, support for the mahalla emerges not only as a social priority, but also as a foundation for Uzbekistan’s long-term development.

“Uzbekistan - 2030” strategy, adopted on 11 September 2023, identifies sustainable economic growth, the establishment of modern education, healthcare and social protection systems, creation of favorable environmental conditions, building a just and modern state and guaranteed national sovereignty and security as its priority areas. At the core of all reforms is the aim to increase citizens’ welfare, strengthen public trust in the state and ensure confidence in the future. The strategy represents a shift from goal-setting to results-based management, with clear accountability, measurable outcomes and linked financing.

Since its adoption, Uzbekistan has achieved significant progress. Between 2023 and 2025, nominal GDP rose from USD 107.5 billion to USD 140 billion, while exports, foreign investment and innovative activity also grew. Social indicators reflect the reforms’ impact: unemployment fell from 6.8% to 4.9% and poverty decreased from 11% to 6.8%.

What are the reasons for updating the “Uzbekistan - 2030” Strategy?

The need to accelerate the country’s further development has prompted the update of the strategy and its target indicators. The “Uzbekistan - 2030” Strategy has been revised in light of both external and internal factors.

External factors include the global geopolitical environment, international economic trends, technological innovations, environmental and natural changes and the growing demand for energy and water resources. Internal factors encompass demographic growth, urbanization and migration, which require strengthening institutional quality and improving governance efficiency.

In response to these challenges, a draft of the “Uzbekistan - 2030” Strategy for 2026-2030 has been developed and published for nationwide public discussion.

Within the updated Strategy, while retaining the same five priorities and 100 goals, certain tasks and performance indicators have been revised. Many of the previously established targets have already been achieved and new objectives have been added, resulting in an expanded and updated set of performance indicators. Moreover, the document specifies the responsible ministries and agencies as well as the concrete funding sources required to achieve each goal.

In which areas do the reforms provide “mechanisms for change”?

Economy. The largest number of tasks and performance indicators fall under “II. Ensuring the well-being of the population through sustainable economic growth.” The Strategy sets a target GDP of USD 240 billion by 2030 through measures such as maintaining annual inflation at 5–6%, ensuring fiscal stability, enhancing the country’s investment attractiveness, efficiently utilizing domestic raw materials and developing high-tech-based industry and services. The plan also emphasizes deepening Uzbekistan’s integration into global transport and logistics networks and strengthening the export potential of the national economy.

Transitioning to a green economy, transforming the country into a regional “IT HUB” through digital technology development, increasing competition in the banking sector, creating the most favorable conditions for entrepreneurial activity and implementing comprehensive regional development will generate new jobs, ensure employment and increase citizens’ incomes. These measures are expected to reduce poverty, enhance overall well-being and stimulate the growth of key economic sectors, particularly construction, tourism and the service industry.

Education. The Strategy also aims to create favorable conditions for realizing the potential of the youth as well as developing the education and healthcare sectors. Under “I. Creating dignified conditions for the realization of each person’s potential,” performance indicators have been established to achieve goals by 2030, such as ensuring that 50% of graduates from general education schools and academic lyceums receive higher education and secure employment in sectors offering fair wages. Additionally, the inclusion of 10 higher education institutions in the global top-1000 rankings (QS, THE, ARWU) will enhance the competitiveness of Uzbek youth not only in domestic labor markets but also internationally.

The implementation of a cluster system “enterprise – university – research organization” will contribute to the expansion of innovative products in the economy’s “driver” sectors. The Strategy envisions the creation of spin-off type production clusters at higher education institutions to accelerate the process of integrating scientists’ research ideas into economic practice in areas such as transport and logistics, agricultural production, energy, biotechnology, geology and metalworking, mechanical engineering and electronics. Developing science, especially among youth, will improve Uzbekistan’s position in the Global Innovation Index and enable the country to enter the list of the top 60 most innovative nations worldwide.

Health. It is often said that a person’s education reduces health risks and increases life expectancy, while health - physical, mental and social - is the foundation for a full life and self-realization. The Strategy sets goals for the next five years to increase the average life expectancy of the population, reduce premature mortality from cardiovascular diseases (ages 30–69), cancer and respiratory diseases and decrease the incidence of life-threatening congenital defects in newborns. In maternal and child healthcare, nine performance indicators have been established. The Strategy also prioritizes promoting healthy nutrition and lifestyles among the population and reducing adult obesity rates.

Social Protection. For vulnerable segments of the population, the state will continue its policy of fundamentally improving the system of professional social services, establishing a new support system for persons with disabilities and creating a comfortable and favorable environment for them. For children left without parental care, 100% implementation of alternative, non-institutional forms of care will be ensured and for children with special educational needs, coverage by inclusive education will be increased.

The state pays special attention to the expansion of women’s rights and opportunities. Different cultures have diverse perceptions of the roles of men and women, shaped by history, religion and traditions. At the same time, globalization and potential prospects for the country’s development require the implementation of policies ensuring gender equality and increasing the social and political activity of women. The draft Strategy includes tasks such as expanding the number of women trained in professional and entrepreneurial skills, increasing the number of women actively using information and communication technologies, raising the share of women in leadership positions to over 30 percent, and regulating family relations in households experiencing conflict or on the verge of divorce.

Ecology, Law and Security. The priorities of “Conservation of water resources and environmental protection”, “Ensuring the rule of law and organizing public administration oriented toward serving the people” and “Consistent continuation of a policy based on the principle of a safe and peaceful state” are also included in the Strategy, with specific tasks and performance indicators outlined.

Mechanisms for Achieving Goals for Each Priority

The mechanisms for achieving goals under each priority are reflected in strategic documents. For example, to implement the objectives of the priority “Conservation of water resources and environmental protection”, the National Climate Strategy for Climate Change Mitigation and Adaptation and the Strategy for Industrial Waste Management have been developed.

To develop the driver sectors of the economy and achieve GDP growth to 240 billion dollars by 2030, sectoral strategies have been formulated: Strategy for the Development of Industry of Uzbekistan, Strategy for the Development of the Automotive Industry, Strategy for the Development of Light Industry, Strategy for the Development of the Building Materials Industry, Strategy for the Development of the Jewelry Industry, Strategy for the Development of Tourism in Uzbekistan, Strategy for the Modernization, Accelerated and Innovative Development of the Construction Sector and others.

The development and implementation of strategic documents at the regional level will allow achieving goals and objectives in a comprehensive and targeted manner. For instance, Strategies for Comprehensive Development of All Spheres by 2030 in each region of the country consider socio-economic development through the lens of the local economy and the well-being of the population. The development of such documents involves not only local authorities but also leading ministries and agencies, including the Ministry of Economy and Finance, Ministry of Investments, Industry and Trade, Ministry of Agriculture, Ministry of Digital Technologies, Ministry of Employment and Poverty Reduction, Ministry of Energy, National Committee on Ecology and Climate Change and others.

The development of sections of the Strategy involved national think tanks, such as the Institute of Macroeconomic and Regional Research, Center for Economic Research and Reforms, etc. This demonstrates that Uzbekistan implements a scientifically grounded policy (evidence-based policy), where decision-making in various spheres - economy, social policy, ecology, law and security - is based on scientific data, forecasts and expert assessments to achieve medium- and long-term goals.

Key expected outcomes until 2030 (macro outcomes)

The main outcomes of the updated “Uzbekistan – 2030” Strategy are expressed through economic, social, environmental, and other indicators. In the economic sphere, it is expected to achieve macroeconomic stability and sustainable GDP growth up to USD 240 billion, transform the country into a regional “IT HUB” and enter the top 60 most innovative countries in the world, deepen the republic’s integration into global transport and logistics networks and strengthen the export potential of the national economy. Creating a favorable business climate and sustainable jobs as well as ensuring employment for the population, will help reduce income inequality and poverty, with the elimination of absolute poverty based on minimum consumer expenditure and reducing its level to zero percent.

In the social sphere, Strategy provides for creating decent conditions to realize the potential of young people and improving education and healthcare, reflected in target indicators such as increasing life expectancy to 78 years, achieving 80% coverage of children in kindergartens, and 50% coverage in higher education. It also aims to enhance the quality of university education, include 10 higher education institutions in the TOP-1000 rankings of the world’s most prestigious universities (QS, THE, ARWU) and implement a cluster system connecting enterprises, universities and research organizations.

In the environmental sphere, the Strategy envisions continuing the transition to a green economy, introducing green energy technologies, constructing buildings that meet “green” standards, promoting a culture of rational water use, developing water-saving technologies, preventing air pollution and mitigating the negative impacts of climate change.

Doctor of Economic Sciences, Professor D.M. Karimova

Institute of Macroeconomic and Regional Studies

Republic of Uzbekistan

The text of the article is in Uzbek!