Center for Economic Research and Reforms (CERR), jointly with the Chamber of Commerce and Industry (CCI), surveyed more than 5,000 entrepreneurs from all regions of the country.

Study assesses the business environment and the effectiveness of entrepreneurship support measures, while developing proposals to further improve business conditions and promote private sector development.

Private businesses accounted for the majority of respondents (93%). By type of activity, wholesale and retail trade had the largest representation (43%), followed by services (30%), industry (17%), construction (8%), and agriculture, forestry and fisheries (2%).

The sample covers enterprises with varying levels of business experience. Almost one in four has been operating for more than 10 years (24%), more than a quarter for 5–10 years (28%), around a quarter for 3–5 years (26%), and one in five for 1–3 years (20%).

Survey results show that enterprises use a variety of tools to improve efficiency. One in three enterprises has adopted several digital solutions (33%), a comparable share uses artificial intelligence in at least two areas (30.4%), and almost one in four applies energy-saving solutions (23.2%). Enterprises are also introducing new products and technologies and revising their production and business processes to reduce costs.

Combined use of several measures is associated with stronger business performance. Among companies that have implemented at least three efficiency improvement measures, more than half report increased demand for their products and services (54.1%). Such enterprises are 4.1 times more likely to reduce costs, while the share of companies recording wage growth of more than 10% is 2.1 times higher.

Enterprises that have implemented at least three efficiency improvement measures also demonstrate greater investment activity, with more than half planning to increase investment in the following year (57.8%).

However, the comprehensive application of efficiency improvement tools has not yet become widespread. Approximately one in nine enterprises has implemented three or more measures (11.6%), while more than a quarter use none of the measures examined (28.5%).

By sector, three or more measures are implemented by 13% of enterprises in both industry and services, followed by trade (11%), construction (9%), and agriculture (8%). Regional differences are more pronounced. The comprehensive set of measures is most widely applied in Tashkent city (18%), while the corresponding figures are considerably lower in the Samarkand (4%), Bukhara (3%), and Syrdarya (2%) regions.

The survey results indicate the widespread use of basic digital solutions among enterprises (94%).

More than half of enterprises use artificial intelligence in one form or another (60%). AI is most commonly applied in marketing and sales (24%), production process optimization (15%), accounting and financial analysis (14%) and chatbots (13%).

At the same time, around one-third of enterprises use AI directly in production, logistics and financial processes (31%), indicating considerable scope for its further practical application.

Almost every second enterprise uses customer relationship management systems (CRM) to organize sales and customer engagement (48%). CRM systems are most widely used in the services sector (54%). Digital business analytics tools are used by only one in seven enterprises (14%). Nearly half of private enterprises do not use such systems, while more than a quarter are unaware of these digital solutions.

Social media has become a standard channel for promotion and customer engagement for more than four out of five enterprises (80.9%). More than half of enterprises have established online sales (58.8%), although the share of enterprises selling more than half of their products online remains relatively small (9%). Digital payment systems are used by one in four enterprises (25%).

The sectoral breakdown reveals differences in how digital tools are used. In services, CRM systems are the most widely used (54%), while this sector also records the highest adoption rates for artificial intelligence (68%), online sales (67%), and social media (87%).

In industry, CRM systems (49%) and artificial intelligence (60%) are widely used, alongside online sales (61%) and social media (81%).

In trade, digital payment systems are relatively more widespread (31%). More than half of enterprises also use artificial intelligence (55%) and online sales (54%), while over three-quarters use social media (77%).

In construction, social media is the most widely used digital tool (80%). More than half of enterprises use artificial intelligence (55%) and online sales (51%), while 43% use CRM systems.

In agriculture, digital payment systems are relatively widespread (30%). At the same time, 43% of enterprises use artificial intelligence, 49% have established online sales, and 66% use social media.

Findings show that further opportunities to improve enterprise efficiency are associated with the broader adoption of modern technologies and management solutions, the modernization and automation of production, development of digital sales channels and improvements in energy efficiency.

The stronger performance of enterprises that use these tools comprehensively demonstrates the importance of their consistent adoption for productivity growth and greater investment activity.

Technological modernization represents a separate area of opportunity for enterprises. The survey results indicate a relationship between the introduction of new products and technologies, increased demand and investment activity.

At the same time, 51% of enterprises still have scope for further technological modernization through upgrades and the introduction of new products, services and innovations.

The further spread of digital solutions also depends on the conditions for their implementation. According to entrepreneurs, digitalization could be supported by improved internet infrastructure (13%), greater availability of qualified specialists (10%) and lower financial costs associated with technology adoption (9%).

The need for skilled personnel is also confirmed by the broader findings of the study, with enterprises reporting shortages of specialists with various qualifications, including IT professionals and engineering and technical personnel.

Overall, the survey results show that further improvements in business efficiency require a transition from the use of individual digital tools to their direct integration into production and management.

CERR’s findings are consistent with the results of World Bank research. Enterprise-level data show that the most significant productivity gains occur when companies move beyond basic access to digital technologies and adopt more advanced solutions, including cloud services, management systems, analytics, and artificial intelligence. Digital payments and online sales alone have a limited impact unless accompanied by changes in internal business processes.

Realizing the considerable untapped potential for technological modernization depends primarily on developing managerial and digital competencies, training qualified personnel, and shifting from supporting access to technologies toward their practical adoption by enterprises.

This approach is also consistent with contemporary research on economic growth, which links long-term productivity gains to the diffusion of new knowledge and its practical application (2025 Nobel Prize in Economic Sciences; Joel Mokyr, Philippe Aghion and Peter Howitt).

Accordingly, further business support measures should focus on expanding the practical adoption of technologies in enterprises’ production and management processes.

Dunyo IA

Uzbekistan and Serbia are exploring new avenues for cooperation in environmental protection, sustainable natural resource management, biodiversity conservation and environmental education.

As an important step in advancing environmental dialogue, the participation of a delegation from the Republic of Serbia, led by Minister of Environmental Protection Sara Pavkov, in the 8th Assembly of the Global Environment Facility, held in Samarkand from May 30 to June 5, 2026, as well as in the international exhibition “Eco Expo Central Asia 2026,” held on June 2–4, can be highlighted. In particular, the Serbian side participated in the high-level plenary session on “Green Investments and Innovations” held as part of the exhibition.

One promising area of cooperation is the exchange of experience in forestry and sustainable forest management. Serbia has considerable practical expertise in managing forest resources and developing public–private partnerships. Between 2008 and 2023, the share of forested land in the country increased from 25% to 37%. Of Serbia’s forests, 53% are state-owned, while the remaining 47% are privately owned.

Cooperation in biodiversity conservation and the protection of natural ecosystems is another area of particular importance. Serbia has granted protected status to 460 natural sites, including five national parks, 17 nature parks, 20 protected landscapes, 68 nature reserves, 309 natural monuments and three protected habitats. Studying this experience is of practical interest for the further development and improvement of approaches to the conservation of natural areas and biodiversity in Uzbekistan.

Environmental education and scientific and academic cooperation represent another promising avenue for partnership. In particular, there is potential to expand cooperation between Serbia’s leading universities and the Central Asian University of Environmental and Climate Change Studies, Green University. Such initiatives could include joint academic programmes, scientific research, student and faculty exchanges, as well as the implementation of collaborative projects in the fields of climate change, biodiversity and sustainable development.

Serbian universities, including the University of Belgrade and the University of Novi Sad, have significant capacity in environmental sciences and are recognised among the world’s leading universities in relevant fields. This creates favourable opportunities for strengthening academic and research partnerships.

Eco Expo Central Asia 2027 could also serve as an important platform for further strengthening the environmental dialogue. The exhibition is scheduled to take place in June 2027 in Tashkent, alongside the Tashkent International Investment Forum, which will focus on “Sustainable Development and Green Investment”.

The Serbian side is invited to take an active part in the exhibition, which has already established itself as one of Central Asia’s leading environmental platforms. The successful organisation of Eco Expo Central Asia in Tashkent in 2025 and in Samarkand in 2026 demonstrated the strong interest of the international community in the region’s environmental initiatives.

The development of cooperation between Uzbekistan and Serbia in these areas will help expand the exchange of advanced practices, promote joint environmental and investment projects, strengthen scientific and educational ties and create new opportunities for advancing the principles of sustainable development and “green” economy.

Mahmud Khaydarov,

Chief Specialist of the Department of International Cooperation, Grants and Rankings of the National Committee on Ecology and Climate Change

Transforming water from an object of competition into a factor of cooperation is a vital condition for regional stability.

Water is a precious resource and a source of life. It is not merely a natural resource but also a strategic factor that determines a country's food and energy security, economic development, environmental stability, and the well-being of its people.

Against this backdrop, there is a growing need for political dialogue and practical cooperation aimed at the rational, equitable, and mutually beneficial use of transboundary rivers and shared water resources. In other words, water diplomacy is needed to turn water into a tool of cooperation that brings states together rather than a source of conflict.

The founding documents of the Shanghai Cooperation Organization list the rational use of natural resources, including water, environmental protection, and the implementation of joint ecological programs as main areas of cooperation. Therefore, the issue of water is not a topic that was later added to the SCO agenda, but one of the organization's initial priorities.

In recent years, the political and legal foundations of this area have been further strengthened. The SCO's Dushanbe and Samarkand Declarations identified access to safe drinking water and the integrated, rational management of water resources as important conditions for sustainable development.

At the seventh meeting of the heads of ministries and agencies of SCO member states responsible for environmental protection, held in Bishkek on April 3, 2026, issues of climate change adaptation, glacier preservation, and water resource management were discussed. This indicates that the topic of water is taking on an increasingly important role in the organization's practical agenda.

At the same time, representatives of the SCO member states are seeking practical solutions to water-related issues through meetings, consultations, and negotiations in various formats. On August 7, 2026, the 94th meeting of the Interstate Commission for Water Coordination (ICWC) was held in the city of Turkestan, Republic of Kazakhstan.

The water management ministers and officials from Kazakhstan, Tajikistan, Turkmenistan, and Uzbekistan reviewed proposals for water limits and operating regimes for reservoirs in the Syr Darya and Amu Darya basins for the 2026 growing season, as well as a plan to introduce an automated water accounting system in the Syr Darya basin. The development of the document was approved, and special working group is expected to be established by September of this year.

Furthermore, the parties discussed the implementation of the $20 million Regional Cooperation for Improving the Efficiency of Water Resources Use in Central Asian Countries (CAWEC) grant project, in partnership with the World Bank, as well as the execution of tasks stemming from the decisions of the Council of Heads of the Founding States of the International Fund for Saving the Aral Sea.

With the support of the German Agency for International Cooperation (GIZ), measures are being taken to implement a pilot project to automate the water resources monitoring and accounting system at transboundary water facilities between Kazakhstan and Uzbekistan.

From August 10-12, 2026, a three-day regional training was held in Tashkent on the topic "Introduction of Water-Saving Irrigation Technologies and Digital Solutions in the Water Management Sector of Central Asia under Climate Change."

The training was organized at the initiative of the Ministry of Water Resources of the Republic of Uzbekistan, within the framework of the National Water Resources Management Project in Uzbekistan and the Blue Peace Central Asia (BPCA) project, with the participation of the "Suvchilar maktabi" (School of Water Professionals).

Water management specialists from Kazakhstan, the Kyrgyz Republic, Tajikistan, Turkmenistan, and Uzbekistan participated in the event.

The primary objective of the event was to enhance the professional capacity of water management specialists from Central Asian countries, expand the mutual exchange of experience, and strengthen practical cooperation in the efficient use of water resources, the introduction of modern irrigation technologies, and the digitalization of the sector, as well as to familiarize them with the advanced solutions being implemented in Uzbekistan.

It is important to emphasize that Uzbekistan views water diplomacy not only as an instrument of foreign policy but also as a logical continuation of the large-scale reforms being implemented domestically. Indeed, to promote the idea of efficient water use in regional dialogue, each state must first reduce water waste within its own territory and establish a modern management system.

In his Address to the Oliy Majlis and the people of Uzbekistan, President Shavkat Mirziyoyev noted that water scarcity is becoming an increasingly urgent global issue; for this reason, the rational use of water was elevated to the level of state policy from the very first days of the reforms.

The results achieved in the sector in recent years are reflected in the figures . In 2025, construction and reconstruction work was carried out at 258 irrigation and melioration facilities, and 723 kilometers of canals were lined with concrete. Additionally, 158 kilometers of irrigation and 303 kilometers of collector-drainage networks were built or reconstructed. As a result, the water supply for 364,000 hectares of land was improved, and the loss of more than 500 million cubic meters of water was prevented.

In 2026, a total of 2 trillion 199 billion soums were allocated from the state budget for construction and reconstruction work under 308 irrigation and melioration projects.

As of August 1 of the current year, construction work worth 1.3 trillion soums has been completed, which constitutes 59% of the established annual plan. Specifically, 637 kilometers of canals were lined with concrete and reconstructed. Furthermore, 52 kilometers of irrigation networks—flumes and pipes—and 27 hydraulic structures were built and reconstructed. To increase the energy efficiency of water management facilities and ensure uninterrupted water supply, pumping stations with a capacity of 13 m³/sec, 31 irrigation wells, 33 kilometers of pressure pipelines for pumping stations, and 268 kilometers of collector-drainage networks were built and reconstructed.

Significant progress is also being made in the introduction of water-saving technologies. By the end of 2025, the coverage of such technologies reached 2.6 million hectares, or 61% of irrigated areas. Of this, drip irrigation technology was introduced on 664,000 hectares. Thanks to these technologies, 3 billion cubic meters of water were saved. By the end of 2026, the goal is to increase the coverage of water-saving technologies to 3.1 million hectares and save 5 billion cubic meters of water. To date, water-saving technologies have been implemented on a total of 638,000 hectares across the republic.

These figures are significant not only for the national economy but also for the regional water balance. Every cubic meter of water saved in one country reduces the pressure on the entire basin. In this sense, lining irrigation canals with concrete and implementing water-saving technologies are not only national-level initiatives but also diplomatic contributions that strengthen regional trust.

To manage water effectively, it must be accurately measured. Where there is no accounting, it is difficult to assess savings, identify losses, and ensure fair distribution.

From this perspective, the digitalization efforts underway in Uzbekistan's water management sector not only increase the efficiency of domestic management but also create a technological foundation for the reliable exchange of transboundary water data in the future.

In 2025, the Center for Digitalization and Monitoring of Water Management was established, and a modern Situational Center was launched to consolidate industry data at a single point. Ten information systems were introduced. The "State Water Cadastre" and "Melioration" information systems were enhanced with the capability to analyze data, generate forecasts, and develop recommendations using artificial intelligence.

Forty-four sensors were installed in reservoirs, enabling remote monitoring of water levels and volumes. A design organization is conducting nationwide studies for the installation of 272 devices to measure water intake across the state border in real time, as well as for the installation of specialized equipment at 1,895 points for the online management and monitoring of inter-district water resources.

The significance of such projects goes beyond technical convenience. Reliable real-time data increases transparency in water distribution, reduces the human factor, and prevents contentious situations.

In the future, it may be possible to coordinate the national information systems of the SCO member states. This does not mean transferring all data to a single center. On the contrary, it envisions the formation of a mechanism for exchanging necessary hydrological indicators in an agreed-upon format, while respecting the sovereignty and national legislation of each state.

The water-energy-food nexus is a prerequisite for sustainable development. Within the framework of the SCO, it is advisable to form a permanent mechanism that integrates cooperation between water, energy, and agriculture agencies. Such a mechanism would enable the joint analysis of seasonal reservoir operation, electricity exchange, irrigation needs, and ecological flows.

The SCO region has accumulated extensive experience in using drip and sprinkler irrigation, canal lining, closed pipeline networks, smart water meters, energy-efficient pumps, and forecasting systems based on artificial intelligence.

By consolidating this experience, it is possible to implement model projects adapted to various climatic conditions. For example, within the SCO, it would be beneficial to establish pilot zones to demonstrate water-saving technologies, train specialists and farmers, and evaluate the results based on a unified methodology.

Sound decisions on water issues must be based on scientific research. Therefore, it is important to implement joint scientific programs among the research institutes, universities, and water management organizations of the SCO countries.

When managing water resources, considering only today's needs is insufficient. The impact of every decision on future generations, natural ecosystems, and the interests of neighboring states must also be thoroughly assessed.

Today, it is not enough to view water diplomacy solely as a means of preventing conflict. It must also stimulate economic development, attract investment, accelerate the exchange of technologies, and strengthen food and energy security.

The SCO is a major regional structure capable of uniting these opportunities. Cooperation within the Organization must transition from negotiations over water distribution to the stage of creating common economic benefits and ensuring sustainable development through water.

Indeed, water does not recognize state borders. Its flow interconnects the destinies, well-being, and futures of peoples.

The rational use of water is economic development, its just management is good neighborliness, and conserving every drop is our shared responsibility for the future.

Zokir Ishpulatov,

First Deputy Minister of Water Management of the

Republic of Uzbekistan

Uzbekistan-India relations are moving from historical affinity toward a practical partnership based on industrial cooperation, investment, technology and regional connectivity

The current stage of Uzbekistan-India relations can be described in one phrase: it is a time to turn historical affinity into practical partnership. The ties between the two peoples, linked for centuries through trade routes, science and culture, are now gaining new substance in investment, industry, technology, transport, pharmaceuticals, education and energy.

The upcoming visit of Indian Prime Minister Narendra Modi to Uzbekistan could give fresh momentum to this process. The significance lies not simply in another high-level meeting, but in the opportunity to translate political trust built over many years into tangible economic and technological outcomes. Uzbekistan and India established a strategic partnership in 2011. In the years since, regular dialogue between President Shavkat Mirziyoyev and Prime Minister Narendra Modi has brought continuity and consistency to this partnership.

From political trust to economic outcomes

Economic interest is one of the main drivers of bilateral relations today. According to India's Ministry of Commerce and Industry, bilateral trade has exceeded USD 1.5 billion. At the same time, both sides acknowledge that the existing potential is considerably greater and have set the goal of doubling trade over the next three years.

The new stage is not only about increasing trade volumes. What matters is raising the share of higher value-added products, expanding joint investment and production, and entering third-country markets together. The bilateral investment agreement signed in 2024 and brought into force in 2025 is also intended to strengthen legal guarantees for investors.

Mining, textiles, pharmaceuticals, agriculture and food processing, information technology and mechanical engineering are regarded as key growth areas for economic partnership. The interest of Indian businesses in hydropower, mining and infrastructure projects in Uzbekistan also shows that cooperation is taking on an increasingly practical character.

Industry and technology - new opportunities

Critical and rare-earth minerals have gained particular importance in recent discussions. Demand for these resources is rising as electronics, batteries, electric mobility and renewable energy develop. For Uzbekistan, the main interest is not to be limited to exporting raw materials, but to develop domestic value chains for deeper processing and the production of finished goods.

Pharmaceuticals and the digital economy are also natural areas of cooperation. India has extensive experience in medicines, medical technologies, information technology and digital services. For Uzbekistan, key priorities include establishing joint ventures, localising production, developing software products, supporting start-ups and training highly skilled professionals.

The two countries also share common interests in energy. Cooperation in solar and wind power, energy-efficient technologies, energy storage systems, water-saving solutions and cleaner production can link economic partnership more closely with sustainable development objectives.

Transport and human capital

The absence of a direct overland route between the two countries remains one of the main constraints on fully realizing their trade potential. For this reason, developing transport routes through Iran's Chabahar Port is of strategic importance. Yet an efficient corridor requires more than ports and railways: competitive tariffs, simplified customs procedures, mutual recognition of standards and digitalised logistics are also essential.

Human capital, meanwhile, forms the long-term foundation of the partnership. According to the Secretariat of the President of India, more than 3,000 civil servants, professionals and students from Uzbekistan have participated in India's technical and economic cooperation and scholarship programmes. At the same time, more than 16,000 Indian students are studying at higher education institutions in Uzbekistan. This potential can be further developed through joint research, engineering and IT programmes, and academic exchanges.

Security cooperation is another important pillar of the strategic partnership. In April 2026, the armed forces of Uzbekistan and India held the joint 'Dustlik' exercise in Namangan Region. Countering terrorism and extremism, supporting stability in Afghanistan and developing secure transport corridors are among the shared interests of Tashkent and Delhi.

The key measure of the new stage

Uzbekistan-India relations today rest on a solid political foundation. Trade is growing, the legal framework for investment has been strengthened, and new industrial and technological areas of cooperation are emerging. The central task now is to turn these opportunities into practical results.

In this context, the effectiveness of the upcoming high-level dialogue should not be measured solely by the number of documents signed. The key measure will be the extent to which agreements translate into new production capacities, investment projects, technologies, jobs, export markets and training programmes.

Uzbekistan lies at the heart of Central Asia, while India is one of South Asia's major economic and technological centres. A new stage in the Tashkent-Delhi strategic partnership therefore offers an opportunity to give historical friendship modern economic substance and to strengthen bridges of trade, technology and development between the two regions.

Jakhongir Isaev,
Head of Department, NGO Center for Sustainable Development

The XII Inter-Parliamentary Union (IPU) Global Conference of Young Parliamentarians will be held on September 4–6^th, 2026, in the city of Samarkand, under the theme “Restoring Human Rights, Justice and Dignity for All in Fragile Times”.

The XII Global Conference is expected to convene approximately 300 delegates representing 183 countries, 15 international organizations and around 50 permanent observers.

Event program includes six thematic sessions, during which the participants will address pressing issues pertaining to the status and rights of youth in the contemporary world. Specifically, particular attention will be devoted to protecting the rights of young people amid conflicts and digital transformation, expanding their political rights and opportunities, ensuring economic rights and youth employment, as well as preventing violence against women and youth.

Conference agenda envisages innovative and interactive working formats, including breakout discussions, training sessions, and dialogue forums. This approach is designed not only to facilitate a substantive exchange of views but also to foster the development of professional contacts among young parliamentarians from different countries.

An essential component of the conference will be the convening of the Third Global Forum on Inter-Parliamentary Cooperation for Achieving the Sustainable Development Goals. The participants will review the role of parliaments and inter-parliamentary interaction in advancing the Sustainable Development Goals, alongside opportunities to enhance youth contributions toward implementing the global agenda.

Following the conference, the adoption of a final document is expected, which will contain recommendations and joint approaches of young parliamentarians on the core issues of the event's agenda.

Official working sessions of the conference will take place on September 4–5^th. The third day, September 6^th, will be dedicated to a cultural program organized by the parliament of the host country.

Annual IPU Global Conference of Young Parliamentarians was established in 2014. The conference mechanism is aimed at enhancing the role of young parliamentarians and expanding youth participation in parliamentary activities, formulating recommendations that reflect youth perspectives on the IPU’s activities and agenda, as well as broadening opportunities for networking, strengthening solidarity and developing the capacity of young people.

IPU initiative to support youth participation in political life dates back to 2010, when the resolution “Youth participation in the democratic process” was adopted at the 122^nd Assembly of the organization in Bangkok. The document underscored the necessity of full and active participation of youth and youth organizations in democratic processes at local, national, regional and international levels.

In furtherance of this initiative, IPU established the Forum of Young Parliamentarians in 2013 - an official, permanent body aimed at quantitatively and qualitatively enhancing youth participation within parliaments and the activities of the IPU.

To date, eleven Global Conferences of Young Parliamentarians have been convened, addressing a broad spectrum of pressing issues, ranging from youth participation in politics and democracy to digital transformation, climate change, education, employment and gender equality.

Dunyo IA

Samarkand

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

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

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

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

Institutional foundations

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

Digital infrastructure and e-government

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

IT industry and services export

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

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

Where the cooperation runs deepest

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

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

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

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

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

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

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

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

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

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

International positioning

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

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

At a glance

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

The capital of Uzbekistan will host the 17^th Central Asian International Textile Machinery Exhibition – CAITME 2026. It will inaugurate the traditional Global Textile Days week.

CAITME is a major event for Central Asia's textile and garment industries and, according to an independent audit, the largest specialist exhibition of its kind in the CIS. The exhibition plays an important role in equipping and uprading the region's textile and garment sector, helping manufacturers increase productivity, adopt advanced technologies and strengthen their competitiveness in the international markets.

This year, the exhibition will bring together 250 companies and brands from 17 countries. Germany will be represented by its National Pavilion, while companies from Austria, India, Italy, China, Turkiye, the USA, Switzerland and other leading textile-producing countries will also take part. Registration of participants is in full swing.

As in previous years, the exhibition will feature recognised global leaders in textile machinery manufacturing and suppliers of advanced technologies from Europe and Asia, including Rieter, Uster, Novibra, SSM, Spindelfabrik Sussen, Toyota, Muratec, Truetzschler, Saurer, Picanol, Santoni, Terrot, Habasit, MHMS, Vandewiele NV, Karl Mayer, Staubli, IRO, Biancalani, Ferraro, Epson, Zimmer Austria, Mario Crosta, Itema, Lafer, Motex Di Modiano Guido, Salvade`, Simet, Dettin, Sclavos, Effe, Mahlo, Lonati, Shima Seiki, Andritz Küsters, Brückner, Carl Schmale, Sossna, Texpa, Thies, Groz-Beckert KG, Kaeser Kompressoren, Schott & Meissner, Textima, Tetas, Temsan, Lakshmi Machine Works, Lakshmi Card Clothing, Precitex, Kansai, Brazzoli, Eliar, Guven Celik, West Global, CTMTC, Hengyi, Leadsfon, Rifa, Yingyang, Baoyu, Dyestar, NF Kimya, Eksoy, Deniz Kimya and many more.

Uzbekistan is represented by leading industry players.                    

A highlight of the exhibition will be the innovative TextileExpo Uzbekistan Sourcing Hub Project, which will take place on September 9^th. For the first time in Uzbekistan, textile manufacturers and buyers from retail chains, factories and specialist companies will be able to hold direct business-to-business negotiations in a digital format using Artificial Intelligence.

https://drive.google.com/drive/u/0/folders/1nBUkXzHeF1F5lU-CGzZOI4CrmzOFfbZD

                                                                                      Dunyo IA

                                                                                      Tashkent

Zilola Akhmedova,

Dunyo IA.

At the border checkpoint, the line moves slowly forward. A border guard opens a passport, glances through its pages for a second, and presses down a fresh stamp. The traveler continues on their way undisturbed. At first glance, this is an ordinary, everyday procedure. Yet behind those few seconds lie years of intergovernmental negotiations, complex agreements, mutual trust and balanced diplomacy.

On the eve of the 35^th Anniversary of Independence, looking back at the path Uzbekistan has traversed, one can say with confidence that one of its most critical achievements has been the creation of an atmosphere of open and trusting good-neighborliness.

After all, Independence is not merely political sovereignty. Independence is a nation's right to live freely, to determine its own destiny, to build peaceful and mutually beneficial cooperation with neighboring states, and to engage in equal dialogue with the global community.

However, today's open borders and the environment of trustful good-neighborliness did not emerge on their own. Borders test not only history, but diplomacy itself. What now seems natural and familiar is the result of years of painstaking work, political will and a shared commitment to consensus.

Following the collapse of the Soviet Union in 1991, five Independent States appeared on the map of Central Asia. While political sovereignty was proclaimed, a significant portion of state borders remained unratified under international law. Lines that were considered mere administrative boundaries during the Soviet era turned into international frontiers overnight. The situation was particularly complex in the Fergana Valley, where borders cut through residential settlements, irrigation systems, pastures and motorways.

In those years, border demarcation was more than a political or legal issue - it directly impacted the daily lives of thousands of people. To travel from one village to a neighboring one located across the border, residents often had to make a detour of dozens of kilometers. Family visits became complicated and logistics costs for local entrepreneurs surged dramatically.

In this context, I would like to share a childhood story that deeply impacted me and one I still cannot recall without tears.

Exactly fourteen years ago, when I was twelve years old, my parents and I went on a trip across Uzbekistan. Along the way, we stopped for lunch. A woman was sitting at the adjacent table. Watching my father and me laugh and joke lightheartedly, she suddenly burst into tears. For a moment, I was confused and did not know what to do. Then she spoke:

“My name is Gulzoda. I was also the only and beloved daughter of my father. When I grew up, I married into a neighboring village. Only ten to fifteen minutes separated us from my parents' home. But then the border divided us. Our village remained in Uzbekistan, while my parents ended up in Tajikistan...”

She paused for a second as tears rolled down her cheeks again.

“A few years later, my father passed away. And I could not be there to bid him a final farewell. They did not let me cross the border...”

Now that I am older, I understand that a border is not just a line on a map. It is something that can profoundly shape human destinies.

Therefore, resolving border issues meant far more than simply drawing state lines. It restored trust between nations, served as a crucial step toward reviving economic ties, and laid a solid foundation for the overall development of the entire region.

A New Diplomatic Paradigm

Ongoing shifts in the global geopolitical landscape demanded new approaches, different policies and a fresh mindset capable of securing a strong international standing for the nation. It was under these conditions that the past decade became a period of profound transformation, new opportunities and rapid progress for Uzbekistan.

Foreign policy of New Uzbekistan designated Central Asia as its core priority. Open dialogue with neighboring states, practical cooperation, and the principle of mutual benefit formed the bedrock of this new diplomatic strategy. Its core idea was straightforward: the sustainable development of the region depends not on the isolated achievements of individual states, but on the harmonious alignment of their shared interests.

This policy translated into concrete action through the opening of new border crossing points, the revival of transport links and the steady expansion of trade and economic ties.

For instance, on March 1^st, 2018, “Jartepa – Sarazm” checkpoints on the Uzbek-Tajik border resumed operations. In August 2025, “Khovosobod – Zafarobod” and “Bekobod Auto – Khashtiyak” checkpoints in the Syrdarya region were officially granted international status. This enabled seamless border crossings for third-country citizens as well as passenger vehicles.

Along the Kyrgyz border, “Uch-Kurgan Auto” checkpoint in the Namangan region and the “Ken-Sai Auto” checkpoint in Kyrgyzstan were reopened. Today, they serve as a major transport corridor capable of processing over 500 cargo trucks and 300 passenger cars daily. Operations were also restored at the “Khanabad – Bek-Abad” checkpoints connecting the Andijan region with Kyrgyzstan, alongside the opening of the modern “Mingtepa – Kara-Bagysh” post. Furthermore, “Ak-Kiya” checkpoint leading to Shakhimardan and “Chashma” checkpoint serving the Sokh district were modernized and converted to 24/7 operations. On the border between the Fergana and Batken regions, new “Sogment – Chorbagh” border complex was launched.

On the Uzbek-Turkmen border, a New Free Trade Zone was launched near the “Shavat – Dashoguz” border checkpoint in the adjacent territories of the Khorezm and Dashoguz regions.

On the Kazakh front, the largest and busiest checkpoint, “Gishtkuprik – Zhibek Zholy”, underwent large-scale reconstruction. As a result, its daily capacity increased from 30,000 to 70,000 people, while its vehicle processing capacity exceeded 2,000 passenger cars per day. “Navoi – Kaplanbek” checkpoint in the Tashkent region was similarly modernized: traffic lanes were expanded from two to six, reducing average border crossing times to 30 minutes.

March 31^st, 2025, holds a special place in the modern history of Central Asia. On this day in Khujand, one of the region's most significant political and diplomatic events took place. Presidents Shavkat Mirziyoyev, Emomali Rahmon and Sadyr Japarov signed a historic Treaty on the Junction Point of the State Borders of the three nations. Simultaneously, Khujand Declaration was adopted and a symbolic Friendship Stele was unveiled at the border intersection.

History values specific documents not only for their legal weight, but for their power to transform the spirit of an era. The landmark agreements reached in Khujand marked the beginning of a fundamentally new chapter in Central Asian diplomacy. The legal settlement of border issues - long one of the region's most complex challenges - transformed not only the nature of relations between the three states, but the entire political climate of Central Asia, positively impacting the lives of millions today and for generations to come.

In geopolitics, trust is considered one of the most valuable assets. Where trust takes root, new transport corridors open, investments flow, trade volumes grow and security strengthens.

Concrete numbers clearly illustrate the practical outcomes of this trust. While Uzbekistan's trade turnover with Central Asian countries stood at approximately $2.5 billion in 2016, it exceeded $8 billion by the end of 2025.

Bilateral trade with Kazakhstan reached $5 billion, accounting for 60.2% of Uzbekistan's total regional trade. Trade volume with Turkmenistan and Kyrgyzstan reached $1.2 billion each, while trade turnover with Tajikistan surpassed $900 million.

Global Recognition and a New Geopolitical Reality

In recent years, regional cooperation initiatives put forward by Uzbekistan have gained strong backing within the United Nations. The adoption of UN General Assembly resolutions aimed at strengthening peace, stability, and sustainable development in Central Asia serves as practical proof that Uzbekistan's foreign policy is earning international confidence.

In the assessments of international experts, Central Asia is increasingly viewed as a region moving along a shared course, bound by solidarity, brotherhood, and common aspirations for the future. Uzbekistan's policy of resolving issues with neighboring states through negotiation has fostered mutual trust, accelerated transport and logistics projects, and created a more favorable climate for foreign investors. Particular significance is attached to the legal resolution of border issues, which is seen as a key step toward transforming Central Asia into a unified, interconnected economic space.

Specifically, according to Li Yonghui, Senior Research Fellow at the Institute of Russia, Eastern Europe and Central Asia at the Chinese Academy of Social Sciences, President of Uzbekistan's visit to Khujand and his trilateral meeting with the leaders of Tajikistan and Kyrgyzstan represented a pivotal moment in strengthening regional cooperation and stability in Central Asia. “The unveiling of the Friendship Stele symbolizes the strengthening of good-neighborly relations, trust, and strategic partnership among the three brotherly nations”, the expert noted.

Tazin Akhtar, Editor of “Pakistan in the World”, highlighted:

“In an era of global instability, strengthening regional alliances provides a solid foundation for stability and mutual support. Achievements in border delimitation, rising trade volumes, and joint infrastructure projects make Central Asia more open to external partnerships. Uzbekistan has demonstrated a firm commitment to constructive diplomacy, creation, and integration”.

Overall, Uzbekistan's foreign policy today built on openness, pragmatism and mutual benefit is cultivating a new atmosphere of friendship and trust across Central Asia. Borders between neighboring brotherly states have transformed from dividing lines into symbols of cooperation, trade and dialogue.

Return to the Border Post

...The border guard takes the next passport, verifies the document, applies the stamp and the gate opens. The traveler moves forward without looking back. They may not even realize how much political will sits behind that brief moment. Yet that is precisely the greatest success of state policy: it frees individuals from anxiety and obstacles on their journey, allowing them to focus on their goals and dreams.

Past decade of independence has been a period for New Uzbekistan not only to reinforce its sovereign statehood, but to construct a new architecture of trust and collaboration in Central Asia. Open borders, lasting good-neighborliness and the vision of shared development are now becoming part of everyday life.

Sadriddin Suyarov,

Journalist

A Tashkent evening in midsummer can resemble a vibrant Mediterranean metropolis transplanted into the heart of Central Asia.

On a summer terrace in the city center, young people move effortlessly between Uzbek and English while discussing a new fintech startup. A few kilometers away, their peers are presenting an exhibition where traditional Uzbek ikat textiles meet digital art.

This is more than a snapshot of modern Tashkent. It is the face of Uzbekistan in 2026, a country marking the 35th anniversary of its independence.

Three and a half decades may be a brief moment in history, but for Uzbekistan, the anniversary carries a particular meaning. More than 60 percent of the population is under 30. Those turning 35 today are, in a sense, the same age as the independent Uzbek state itself. They are known as the ‘Mustaqillik Generation’ - Generation of Independence.

They have no personal memory of shortages, the Iron Curtain or a centrally planned economy. Their worldview was shaped instead by global connectivity, increasingly open borders and sweeping reforms of the past decade. Today, this generation is increasingly taking the helm and helping define Uzbekistan’s future.

From Caravans to Code

For centuries, the Silk Road connected East and West through Samarkand, Bukhara, Khiva and Shakhrisabz. Today, that historic exchange is taking on a new form.

Caravans have given way to fiber-optic networks, while technology hubs are emerging where caravanserais once stood. The most valuable resources of the new Silk Road are no longer silk and spices, but data, technology and human capital.

Over the past several years, Uzbekistan has made a significant leap in the IT sector, moving from a regional consumer of technology toward an exporter of digital services. At the center of this transformation is IT Park Uzbekistan, which has created an ecosystem for technology companies and helped connect them with international markets. Uzbek digital services are increasingly reaching clients in the United States, the United Kingdom, Germany, the UAE, and beyond.

Behind these figures are individual stories. Young programmer and entrepreneur Ziyobek Turdiev, drawing on his experience in a U.S.-based logistics company specializing in vehicle transportation, founded TheCarGo, an AI-powered platform designed for American auto-transport brokers. Today, the company serves the US market and continues to expand.

His experience reflects a broader transformation: for a growing number of young Uzbeks, global markets can be reached from Tashkent itself.

This transformation has been supported by economic liberalization and a strong emphasis on education. Programs such as ‘One Million Uzbek Coders’ opening of branches of leading foreign universities and tax incentives for the IT sector have helped create an environment where entrepreneurship and innovation can flourish.

A New Diplomacy of Openness

Historic Silk Road prospered when trade routes were open and travelers could move freely between its cities. Uzbekistan’s recent transformation has increasingly revived this principle.

Introduction of visa-free travel for citizens of more than 90 countries has helped turn Uzbekistan from one of the region’s more difficult destinations to access into an increasingly attractive tourism and business hub.

But the change goes deeper than mobility. Over the past decade, constitutional reform, stronger protection of human rights, the ban on forced labor and a greater role for civil society have contributed to a broader transformation of Uzbekistan’s social and political landscape.

A younger generation of lawyers, diplomats, civil servants and entrepreneurs, many educated at universities in Europe, the United States and Asia, is bringing international experience into national practice.

Their growing engagement is also visible on the global stage. The 14th UNESCO Youth Forum, held in Samarkand in October 2025, brought together 145 young leaders from 135 UNESCO Member States and Associate Members. Held for the first time in Central Asia, the forum focused on climate action and its social impact on young people, while Uzbek participants contributed to discussions on climate and cultural heritage.

A More Connected Central Asia

This opening has also changed Uzbekistan’s role in Central Asia.

Rather than being defined by the rivalries of the past, the region is increasingly becoming a space for cooperation, connectivity and shared economic opportunity. Young entrepreneurs and activists from Uzbekistan, Kazakhstan and Kyrgyzstan are increasingly working together across borders, seeing Central Asia less as a geopolitical fault line and more as a shared home.

Recent youth initiatives illustrate this shift. The international ‘Eco-Zakovat’ intellectual tournament in Samarkand brought together around 150 young participants from Uzbekistan, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Azerbaijan.

Eco-Camp 2026 in Tashkent Region brought together around 300 young environmental activists for discussions, competitions and practical initiatives focused on environmental protection.

For this generation, regional cooperation is becoming less a diplomatic slogan and more a natural way of thinking and acting.

Tradition Reimagined

‘Mustaqillik Generation’ is also redefining how Uzbekistan presents its cultural identity to the world.

Traditional textiles such as adras and khan-atlas, produced through the distinctive ikat technique, are being reimagined by young designers and combined with contemporary fashion. Uzbek patterns and craftsmanship are increasingly appearing in collections aimed at audiences in Paris, Milan, New York and other global cultural centers.

Young designers such as Nigora Hashimova and Marjona Sadinova illustrate this new creative confidence, bringing Uzbek-inspired designs to international platforms.

Country’s participation in the 2026 Venice Biennale, through its national pavilion The Aural Sea, offers another example. Bringing together Uzbek artists, young creatives and international collaborators, the pavilion explores the ecological transformation of the Aral Sea through contemporary art and storytelling.

Cultural revival is not simply about preserving the past. Traditional crafts, from Rishtan ceramics to Bukhara gold embroidery, are also supporting local communities, creating economic opportunities and sustaining environmentally responsible production.

For international audiences, this creates a different image of Uzbekistan: not a country frozen in its historical heritage, but a living cultural space where tradition and innovation coexist.

The Age of Conscious Maturity

For an individual, 35 can mark the transition from youthful ambition to greater maturity and a clearer understanding of one’s place in the world. For a state, meaning can be much the same.

As Uzbekistan marks 35 years of independence, its transformation is increasingly becoming more than a government-led process. It is being reinforced by a generation that has grown up with greater access to information, greater mobility and a stronger connection to the outside world.

This generation may ultimately prove to be the most important guarantee that Uzbekistan’s opening to the world will continue.

Modern Uzbekistan is therefore revealing itself in a new light. It is no longer simply viewed through the prism of its Soviet past or as an exotic destination along the old Silk Road. It is emerging as a dynamic, increasingly open and future-oriented state, with an expanding role in the economic and diplomatic architecture of Central Asia.

The great legacy of the Silk Road was never only about trade. At its heart was the movement of people, ideas, knowledge and cultures.

Today, a new generation of Uzbeks is carrying that legacy forward - not with caravans, but with technology, entrepreneurship, diplomacy and creativity.

As Uzbekistan celebrates the 35^th Anniversary of its Independence, it is not merely commemorating its past. It is writing a new chapter in its global story.

Recently, President of the Republic of Uzbekistan Shavkat Mirziyoyev received a special letter from President of the United States Donald Trump. In this message, which is of great significance in political and diplomatic circles, the U.S. President highly commended our Head of State’s active and constructive participation in the inaugural meeting of the Peace Council in Washington. The letter specifically acknowledged the innovative reforms being implemented by our esteemed President in New Uzbekistan and the results achieved, and invited him to the next meeting of the Peace Council as well as to the prestigious G20 Summit to be held in Miami.

It concluded with the words, “May the Creator bless you and the great people of Uzbekistan,” expressing the highest respect.

Do you know the geopolitical significance of this development?

It is an open acknowledgment that the leader of the world’s most powerful country regards New Uzbekistan not as a small Central Asian state, but as a strategic partner helping to shape global peace, security, and a new world order. The attention and invitation extended by the head of the White House represent the international community’s true assessment of the balanced, enlightened, and pragmatic foreign policy pursued by our President.

What force lies behind this diplomatic success? Why is Washington listening so closely to Tashkent’s views and position today, at a time of intensifying rivalry among global powers?

The answer is clear and well founded: humanity stands on the threshold of a profound paradigm shift. Indeed, the world’s geopolitical architecture is currently undergoing a stage of fundamental renewal, transformation, and restructuring.

Traditional methods in international relations—the use of force, financial pressure, and artificially constructed political alliances—are losing their value. At a time when humanity is caught in a vortex of unexpected global crises and conflicts, a new form of peace diplomacy—grounded in reason, science, rational analysis, enlightenment, and logic—is emerging on the geopolitical stage.

Therefore, President Donald Trump’s letter is far more than a matter of ordinary diplomatic courtesy or symbolic protocol. It demonstrates that New Uzbekistan is becoming a firm pillar of the global political architecture.

Those of us in the academic and scientific community must examine this process at a deep, fundamental level: Why is the leader of the world’s most powerful country paying such close attention to Uzbekistan’s voice and to its balanced, enlightened position?

It should be noted that the international community has recently come to recognize Tashkent’s foreign policy as a “phenomenon of pragmatism grounded in humanism and enlightenment.” Uzbekistan is therefore no longer a mere observer at global flashpoints. Tashkent proposes addressing problems through clear, systematic solutions based on reason and knowledge. This is precisely why Donald Trump attaches fundamental importance to Tashkent’s role in the Peace Council established in Davos and at the Washington summit. His views indicate that Uzbekistan has already moved beyond the status of a “geopolitical player in the shadows” or a “small state.” Our country is emerging as a pillar of stability in Central Asia and a strong bridge for peace in global diplomacy.

In his historic address at the Peace Council’s first summit in February of this year, our Head of State stated clearly and firmly: “We must seize this historic opportunity to build a New Gaza—a prosperous region with decent living conditions for its people.”

The Uzbek leader’s initiative to build homes, kindergartens, schools, and hospitals in crisis-stricken areas is a fundamental concept conveying to the world that war and destruction can be overcome only through enlightenment, education, socioeconomic recovery, and science diplomacy.

Clear evidence of this can be seen in the period from 2022 to 2026, which has been marked by entirely new initiatives, major investments, and the rapid expansion of academic exchanges in education and science. Data from the Ministry of Higher Education, Science and Innovation of the Republic of Uzbekistan, the U.S. Embassy in Tashkent, and international organizations such as American Councils clearly demonstrate the scale of this growth.

In recent years, thousands of local English-language teachers have been retrained in accordance with international standards through the English Speaking Nation (ESN) program, implemented with the support of the U.S. Department of State. American specialists—English Teaching Assistants (ETAs)—have been directly involved in teaching at schools and universities across various regions of Uzbekistan.

With U.S. support, modern teaching and learning packages for English and computer science (IT), meeting international standards, were also developed and introduced for grades 1–11 in general education schools.

Cooperation in higher education has advanced beyond student exchanges to the level of institutional development:

• The expansion of the Fulbright and FLEX programs significantly increased the quotas for academic exchanges intended for researchers, graduate students, and schoolchildren. Young Uzbek scholars and teachers gained opportunities to conduct research at leading U.S. universities, including the University of California, Berkeley, and the University of Texas.

• Franchising and partnerships with American universities have developed, while the network of joint educational programs—including double-degree programs—and academic cooperation with U.S. higher education institutions has expanded. The Tashkent branch of Webster University has further broadened its activities and continues to train highly qualified professionals through its undergraduate and graduate programs.

The number of joint research projects between the Ministry and U.S. higher education institutions in IT, alternative energy, agricultural technologies, and sociolinguistics has increased. Educational resources open to the wider public have also been developed beyond formal educational institutions. A network of modern libraries, STEM laboratories, and free language-learning centers has been established in Tashkent, Karshi, Namangan, Termez, and other cities. These centers have become free platforms for young people to acquire knowledge and exchange information. Special grants and training programs have also been introduced to increase the participation of women and girls in STEM—science, technology, engineering, and mathematics.

In addition, from July 13 to 18, a delegation from the Ministry of Higher Education, Science and Innovation was sent on an official visit as part of the international Future 100 internship program.

The program arranged internships at the world’s leading universities, technology companies, accelerators, and other organizations. In particular:

• Visits were organized to the Massachusetts Institute of Technology (TOP 1), Stanford University (TOP 3), Harvard University (TOP 5), the University of California, Berkeley (TOP 17), and San Francisco State University.

• The delegation learned about the work of Coursera, Google, OpenAI, the StartX Accelerator, the Office of the Mayor of San Francisco, and the United Nations, and took part in seminars.

Recent years have marked a fundamental shift, both quantitative and qualitative, in Uzbek-American educational relations. This cooperation serves as an important driver for developing human capital in Uzbekistan, training professionals who can compete in the global labor market, and modernizing the education system.

Today, we can say with confidence that a strong foreign policy rests upon strong enlightenment and a powerful economic foundation. In this regard, the scale of past and present economic and social cooperation between Washington and Tashkent deserves particular recognition. The agreements reached within the framework of the Tashkent International Investment Forum and business dialogues in Washington—with the leadership of the Export-Import Bank of the United States and the U.S. International Development Finance Corporation (DFC), as well as with such global corporate giants as BlackRock, John Deere, Traxys, and Valmont Industries—are no coincidence.

Major projects in healthcare, critical-mineral processing, green energy, artificial intelligence, digitalization, data centers, and the construction of a new airport hub in Tashkent are the practical fruits of intellectual power grounded in science and technology.

The United States’ view of Uzbekistan as a strategic partner is also closely linked to the reforms underway in our country’s higher education and research sectors. In modern competition, it is not raw materials but intellectual capital and advanced technologies that are becoming decisive. Science is the only universal human phenomenon that knows no borders and can show the way toward rational compromise in any situation. The global peace initiatives advanced by Uzbekistan embody the following three principal enlightened solutions:

• Resolving conflicts not through political or military pressure, but by rebuilding society’s social and cultural fabric and establishing educational infrastructure.

• Ensuring that every peace mechanism—including efforts such as the reconstruction of Gaza—is supported by the local population and founded on sustainable economic models.

• Demonstrating New Uzbekistan’s readiness to assume geopolitical responsibility and offer solutions at the world’s most painful flashpoints.

This is precisely why the United States and the international community see Shavkat Mirziyoyev as a new, reliable, and balanced guarantor of global stability.

It is evident that, in the twenty-first century—when global competition is becoming increasingly fierce—our country has its own voice, its own conceptual model, and a firmly established place on the world stage. We believe that the G20 Summit in Miami and the upcoming meetings of the Peace Council will elevate Uzbekistan’s active participation in shaping the global political agenda to an even higher level.

For our part, we must support this honorable and prudent diplomatic course led by our esteemed President through science, innovation, and a highly skilled workforce, while demonstrating to the world the strength of the Uzbek tradition of enlightenment.

Thus, New Uzbekistan is a new global center of peace, enlightenment, academic intellect, and international cooperation. This message will continue to resound from international platforms and unite the entire world around the cause of goodness.

Fazliddin MUMINOV
Head of Department, Ministry of Higher Education, Science and Innovation

Transforming water from an object of competition into a factor of cooperation is a vital condition for regional stability.

Water is a precious resource and a source of life. It is not merely a natural resource but also a strategic factor that determines a country's food and energy security, economic development, environmental stability, and the well-being of its people.

Against this backdrop, there is a growing need for political dialogue and practical cooperation aimed at the rational, equitable, and mutually beneficial use of transboundary rivers and shared water resources. In other words, water diplomacy is needed to turn water into a tool of cooperation that brings states together rather than a source of conflict.

The founding documents of the Shanghai Cooperation Organization list the rational use of natural resources, including water, environmental protection, and the implementation of joint ecological programs as main areas of cooperation. Therefore, the issue of water is not a topic that was later added to the SCO agenda, but one of the organization's initial priorities.

In recent years, the political and legal foundations of this area have been further strengthened. The SCO's Dushanbe and Samarkand Declarations identified access to safe drinking water and the integrated, rational management of water resources as important conditions for sustainable development.

At the seventh meeting of the heads of ministries and agencies of SCO member states responsible for environmental protection, held in Bishkek on April 3, 2026, issues of climate change adaptation, glacier preservation, and water resource management were discussed. This indicates that the topic of water is taking on an increasingly important role in the organization's practical agenda.

At the same time, representatives of the SCO member states are seeking practical solutions to water-related issues through meetings, consultations, and negotiations in various formats. On August 7, 2026, the 94th meeting of the Interstate Commission for Water Coordination (ICWC) was held in the city of Turkestan, Republic of Kazakhstan.

The water management ministers and officials from Kazakhstan, Tajikistan, Turkmenistan, and Uzbekistan reviewed proposals for water limits and operating regimes for reservoirs in the Syr Darya and Amu Darya basins for the 2026 growing season, as well as a plan to introduce an automated water accounting system in the Syr Darya basin. The development of the document was approved, and special working group is expected to be established by September of this year.

Furthermore, the parties discussed the implementation of the $20 million Regional Cooperation for Improving the Efficiency of Water Resources Use in Central Asian Countries (CAWEC) grant project, in partnership with the World Bank, as well as the execution of tasks stemming from the decisions of the Council of Heads of the Founding States of the International Fund for Saving the Aral Sea.

With the support of the German Agency for International Cooperation (GIZ), measures are being taken to implement a pilot project to automate the water resources monitoring and accounting system at transboundary water facilities between Kazakhstan and Uzbekistan.

From August 10-12, 2026, a three-day regional training was held in Tashkent on the topic "Introduction of Water-Saving Irrigation Technologies and Digital Solutions in the Water Management Sector of Central Asia under Climate Change."

The training was organized at the initiative of the Ministry of Water Resources of the Republic of Uzbekistan, within the framework of the National Water Resources Management Project in Uzbekistan and the Blue Peace Central Asia (BPCA) project, with the participation of the "Suvchilar maktabi" (School of Water Professionals).

Water management specialists from Kazakhstan, the Kyrgyz Republic, Tajikistan, Turkmenistan, and Uzbekistan participated in the event.

The primary objective of the event was to enhance the professional capacity of water management specialists from Central Asian countries, expand the mutual exchange of experience, and strengthen practical cooperation in the efficient use of water resources, the introduction of modern irrigation technologies, and the digitalization of the sector, as well as to familiarize them with the advanced solutions being implemented in Uzbekistan.

It is important to emphasize that Uzbekistan views water diplomacy not only as an instrument of foreign policy but also as a logical continuation of the large-scale reforms being implemented domestically. Indeed, to promote the idea of efficient water use in regional dialogue, each state must first reduce water waste within its own territory and establish a modern management system.

In his Address to the Oliy Majlis and the people of Uzbekistan, President Shavkat Mirziyoyev noted that water scarcity is becoming an increasingly urgent global issue; for this reason, the rational use of water was elevated to the level of state policy from the very first days of the reforms.

The results achieved in the sector in recent years are reflected in the figures . In 2025, construction and reconstruction work was carried out at 258 irrigation and melioration facilities, and 723 kilometers of canals were lined with concrete. Additionally, 158 kilometers of irrigation and 303 kilometers of collector-drainage networks were built or reconstructed. As a result, the water supply for 364,000 hectares of land was improved, and the loss of more than 500 million cubic meters of water was prevented.

In 2026, a total of 2 trillion 199 billion soums were allocated from the state budget for construction and reconstruction work under 308 irrigation and melioration projects.

As of August 1 of the current year, construction work worth 1.3 trillion soums has been completed, which constitutes 59% of the established annual plan. Specifically, 637 kilometers of canals were lined with concrete and reconstructed. Furthermore, 52 kilometers of irrigation networks—flumes and pipes—and 27 hydraulic structures were built and reconstructed. To increase the energy efficiency of water management facilities and ensure uninterrupted water supply, pumping stations with a capacity of 13 m3/sec, 31 irrigation wells, 33 kilometers of pressure pipelines for pumping stations, and 268 kilometers of collector-drainage networks were built and reconstructed.

Significant progress is also being made in the introduction of water-saving technologies. By the end of 2025, the coverage of such technologies reached 2.6 million hectares, or 61% of irrigated areas. Of this, drip irrigation technology was introduced on 664,000 hectares. Thanks to these technologies, 3 billion cubic meters of water were saved. By the end of 2026, the goal is to increase the coverage of water-saving technologies to 3.1 million hectares and save 5 billion cubic meters of water. To date, water-saving technologies have been implemented on a total of 638,000 hectares across the republic.

These figures are significant not only for the national economy but also for the regional water balance. Every cubic meter of water saved in one country reduces the pressure on the entire basin. In this sense, lining irrigation canals with concrete and implementing water-saving technologies are not only national-level initiatives but also diplomatic contributions that strengthen regional trust.

To manage water effectively, it must be accurately measured. Where there is no accounting, it is difficult to assess savings, identify losses, and ensure fair distribution.

From this perspective, the digitalization efforts underway in Uzbekistan's water management sector not only increase the efficiency of domestic management but also create a technological foundation for the reliable exchange of transboundary water data in the future.

In 2025, the Center for Digitalization and Monitoring of Water Management was established, and a modern Situational Center was launched to consolidate industry data at a single point. Ten information systems were introduced. The "State Water Cadastre" and "Melioration" information systems were enhanced with the capability to analyze data, generate forecasts, and develop recommendations using artificial intelligence.

Forty-four sensors were installed in reservoirs, enabling remote monitoring of water levels and volumes. A design organization is conducting nationwide studies for the installation of 272 devices to measure water intake across the state border in real time, as well as for the installation of specialized equipment at 1,895 points for the online management and monitoring of inter-district water resources.

The significance of such projects goes beyond technical convenience. Reliable real-time data increases transparency in water distribution, reduces the human factor, and prevents contentious situations.

In the future, it may be possible to coordinate the national information systems of the SCO member states. This does not mean transferring all data to a single center. On the contrary, it envisions the formation of a mechanism for exchanging necessary hydrological indicators in an agreed-upon format, while respecting the sovereignty and national legislation of each state.

The water-energy-food nexus is a prerequisite for sustainable development. Within the framework of the SCO, it is advisable to form a permanent mechanism that integrates cooperation between water, energy, and agriculture agencies. Such a mechanism would enable the joint analysis of seasonal reservoir operation, electricity exchange, irrigation needs, and ecological flows.

The SCO region has accumulated extensive experience in using drip and sprinkler irrigation, canal lining, closed pipeline networks, smart water meters, energy-efficient pumps, and forecasting systems based on artificial intelligence.

By consolidating this experience, it is possible to implement model projects adapted to various climatic conditions. For example, within the SCO, it would be beneficial to establish pilot zones to demonstrate water-saving technologies, train specialists and farmers, and evaluate the results based on a unified methodology.

Sound decisions on water issues must be based on scientific research. Therefore, it is important to implement joint scientific programs among the research institutes, universities, and water management organizations of the SCO countries.

When managing water resources, considering only today's needs is insufficient. The impact of every decision on future generations, natural ecosystems, and the interests of neighboring states must also be thoroughly assessed.

Today, it is not enough to view water diplomacy solely as a means of preventing conflict. It must also stimulate economic development, attract investment, accelerate the exchange of technologies, and strengthen food and energy security.

The SCO is a major regional structure capable of uniting these opportunities. Cooperation within the Organization must transition from negotiations over water distribution to the stage of creating common economic benefits and ensuring sustainable development through water.

Indeed, water does not recognize state borders. Its flow interconnects the destinies, well-being, and futures of peoples.

The rational use of water is economic development, its just management is good neighborliness, and conserving every drop is our shared responsibility for the future.

Zokir Ishpulatov,

First Deputy Minister of Water Management of the Republic of Uzbekistan

Over the past five years, the open dialogue between the President of Uzbekistan and entrepreneurs has evolved from a new feedback format into a stable mechanism of economic policy. Its importance is defined not only by the number of appeals received or proposals voiced. The main result has been a consistent transition from removing individual barriers to changing the rules of doing business themselves – in taxation, lending, access to land and infrastructure, export support, digitalization of services, and protection of entrepreneurs’ rights.

The logic of the five meetings held so far is clearly reflected in their dynamics. The first dialogue in 2021 focused on removing the most urgent post-pandemic restrictions and restoring trust between the state and the private sector. The second established a categorized approach to businesses and territories. The third set the goal of helping companies grow from microbusiness to small business, from small to medium-sized and large enterprises. The fourth expanded access to capital, land, energy, and markets. The fifth focused on legalizing entrepreneurial activity, developing digital financial services, simplifying tax administration, supporting startups, and protecting investments.

It is important to note that entrepreneurship indicators are the result of the full range of economic reforms, not only the annual meetings. However, the open dialogues have become the platform where business problems are translated into specific decisions, and their practical implementation is reviewed at the next meeting.

As Uzbekistan approaches the upcoming sixth dialogue, scheduled for August 2026, the country has a fundamentally different business climate from the one with which this process began.

2021: The First Dialogue

The first open dialogue took place on August 20, 2021. At that time, entrepreneurship was emerging from a difficult pandemic period, and businesses needed affordable financial resources, predictable taxation, simplified exports, protection of property, and reduced administrative pressure.

More than 15,000 appeals were received before the meeting, and about half of them were resolved on the spot. Following the discussion, the President outlined seven main areas of work and proposed holding the open dialogue annually. August 20 was designated as Entrepreneurs’ Day.

One of the central issues was access to financing. To strengthen banks’ resource base, $600 million was allocated through the Fund for Reconstruction and Development, and Eurobonds worth about $417 million were placed in the national currency. Foreign-currency loans of around 6,000 entrepreneurs, totaling about $1 billion, were converted into the national currency. This reduced currency risks for borrowers and expanded opportunities for long-term local-currency lending.

Conditions for microfinance organizations were simplified, while in the tax sphere the reduction of the tax burden and simplification of administration continued. For exporters, a mechanism was introduced to refund 80% of VAT within 7 days instead of 60 days, without additional inspections.

Significant changes also affected exports and logistics. Enterprises exporting goods with high added value were given the opportunity to receive compensation for up to 50% of transport costs for deliveries to neighboring countries and up to 70% for deliveries to the EU. The requirement for repeated national certification of a number of types of equipment, components, and raw materials already certified in countries with advanced quality control systems was abolished.

In regulation, more than 40 duplicating control functions were eliminated. The digitalization of permitting procedures expanded, while the process of receiving subsidies was transferred to a Single Window system.

As a result, by August 2022, the number of exporting enterprises reached 7,500, while total exports grew by 30%. In the first seven months of 2022, exporters received about $14.2 million in transport subsidies, and the geography of exports expanded by another 32 markets. A total of 15,800 land plots were put up for online auction, while more than 54,000 vacant land plots with a total area of over 22,000 hectares were entered into the YerElectron system.

2022: The Second Dialogue

The second open dialogue took place on August 22, 2022. Before the meeting, more than 12,000 appeals were received. Entrepreneurs were mainly concerned with issues related to financing new projects, working capital, connection to infrastructure, allocation of land, tax administration, and inspections.

The main decision of the dialogue was the categorization of businesses. Enterprises were divided by annual turnover: up to about $83,000 as microbusinesses, up to about $834,000 as small businesses, and up to about $8.3 million as medium-sized businesses. This made it possible to apply differentiated regulatory and support measures based on the scale, financial capacity, and stage of development of each enterprise. As a result, smaller companies no longer had to bear the same regulatory burden as larger businesses.

Starting in 2023, a single turnover tax rate of 4% was introduced for microbusinesses, replacing the previous range of 4% to 25%. For enterprises moving to the general taxation regime as their turnover increased, a twofold reduction in profit tax for one year was introduced. This measure helped 370,000 entrepreneurs move to the next stage of development.

Another major decision was the reduction of the VAT rate to 12% from January 1, 2023. At the same time, about $167 million of debt arising from the application of increased tax rates on unused buildings and land plots was written off.

The categorization of districts and cities according to business conditions was also important. Territories were divided into five groups, for which different regimes of taxation, subsidies, interest compensation, guarantees, and infrastructure connection began to be formed. Special tax, credit, and financial conditions were introduced in 60 districts of the republic.

A principle was also established under which a decision to allocate land or property to an entrepreneur can be canceled only by a court. In addition, criminal liability for violating trade rules was abolished.

By August 2023, the results of the second dialogue were already reflected not only in regulatory acts but also in measurable indicators. State support measures began to depend on the scale of a company and the conditions of a territory, while business growth no longer automatically meant a sharp increase in the regulatory burden.

2023: The Third Dialogue

The third open dialogue was held on August 18, 2023. It announced the creation of a comprehensive system for training entrepreneurs, preparing projects, providing financing, and finding new markets and partners.

Fourteen small business centers were established in each region with the aim of helping 150,000 small business entities get on their feet, moving 25,000 companies into the medium-sized category, and creating 250,000 permanent jobs.

To support the transition from small to medium-sized business, an industrial mortgage system was launched, providing businesses with ready-made production facilities. The program “New Uzbekistan: A Country of Competitive Products,” which previously covered 100 leading exporters, was expanded to 500 enterprises. The state moved from general export support to targeted work with companies capable of entering new markets and introducing international standards.

By August 2024, more than 700 issues, initiatives, and new projects proposed by entrepreneurs had been supported. An additional about $667 million was allocated, while another about $1.5 billion was directed to industry, agriculture, services, and entrepreneurial infrastructure.

The turnover of entrepreneurs grew by 25% over the year and reached about $82.2 billion. The number of medium-sized enterprises with turnover from about $834,000 to $8.3 million doubled, while the number of large companies with turnover above about $8.3 million exceeded 2,200, also roughly doubling compared to the previous year.

Joint work by the tax, banking, and financial-economic systems at the level of mahallas and clients helped 16,000 previously loss-making enterprises earn about $542 million in profit in half a year. The number of enterprises in categories “A” and “B” in the entrepreneurship rating increased by 91,000, while another 170,000 companies moved out of the lowest “D” category.

The level of business sustainability was especially telling: the share of enterprises operating for more than three years reached 76%, while the number of such active entities approached 300,000 for the first time.

2024: The Fourth Dialogue

The fourth open dialogue took place on August 20, 2024, in Nukus. During the year, the government, the Chamber of Commerce and Industry, the Business Ombudsman, and khokims worked with entrepreneurial initiatives on a permanent basis. As a result, a number of effective economic measures were adopted.

The amount of microcredit was tripled to about $25,000, while collateral was no longer required for part of the loan up to about $8,300. Work began on preparing a law on Islamic finance, which was estimated as a source of an additional $5 billion in resources. VAT on land purchased through auctions was abolished. Installment payment terms for land were set at up to 3 years in Tashkent and regional centers, up to 5 years in other regions, and up to 10 years in districts of the fourth and fifth categories.

For industrial enterprises, the procedure for paying for electricity and gas when consumption limits were exceeded was softened. To launch the production of new types of domestic products based on long-term orders, $100 million was allocated.

As a result, by August 2025, 1,600 microenterprises had increased their turnover above about $834,000 and moved into the medium-sized category. Another 143 microenterprises exceeded turnover of about $8.3 million and became large businesses, while 122 small enterprises also entered the large business category.

In 2024 alone, 16 types of licenses and permits were abolished, which, according to estimates, saved entrepreneurs about $29.2 million.

By the time of the fifth dialogue, more than 600 startups were operating in the country. In the first seven months of 2025, they attracted $264 million in foreign investment, four times more than in the whole of 2024.

2025: The Fifth Dialogue

The fifth open dialogue took place on August 20, 2025, in New Tashkent. In preparation for the dialogue, meetings and consultations were held with almost 7,000 entrepreneurs representing 26 sectors. In addition, more than 13,000 appeals and initiatives were received through call centers.

The main result of the five-year cycle was that hundreds of entrepreneurial initiatives had already been enshrined in legislation. The agenda of the fifth meeting focused on further reducing the cost of doing business and supporting the transition from the informal sector to the legal economy.

The largest changes affected 300,000 individual entrepreneurs and 5.5 million self-employed people. A special legal regime was introduced for them until 2030, with digital services from registration to reporting, remote biometrics, electronic wallets for salary payments, and a universal QR code for accepting payments.

In addition, starting from January 1, 2026, individual entrepreneurs and self-employed people with annual turnover of up to about $83,000 pay turnover tax at a rate of 1% instead of 4%. Thus, the tax burden for businesses with turnover of up to about $83,000 was reduced by 3 to 4 times.

According to Presidential Decree No.214 of November 14, 2025, the principle of “Starting a business in 15 minutes” is introduced from January 1, 2026. Under this approach, when registering a business, an entrepreneur immediately receives an electronic digital signature, a bank account, the ability to formalize a lease, register a cash register, and submit the necessary notifications. This further simplifies the start of entrepreneurial activity and makes opening one’s own business more accessible.

It is important to note that 2025 data show that 493,000 enterprises were operating in the country, while 82,400 new enterprises were created during the year. The share of small business amounted to 52.2% of GDP, 36.6% of exports, and 28.5% of industrial production. In construction, its share reached 75.6%; in trade, 83%; and in services, 47.2%.

These figures show that entrepreneurship has become one of the pillars of Uzbekistan’s economy, accounting for a significant share of production, trade, construction, services, and exports. The scale of the private sector that has been formed creates a solid foundation for the further expansion of business activity, higher competitiveness, and sustainable economic growth in Uzbekistan.

Conclusion

The five open dialogues have formed a new tradition of interaction between the state and the business community. Its key feature is continuity: each new year begins with an assessment of already implemented decisions and then expands the horizon of new tasks.

During this period, many effective and useful decisions for business development have been adopted. However, the main outcome lies not so much in the number of measures taken as in the formation of a stable class of entrepreneurs capable of creating jobs, investing, introducing new technologies, and competing in foreign markets.

The sixth dialogue will be important precisely as the next stage of this trajectory. It is expected that particular importance will be attached to decisions that help introduce artificial intelligence and digital technologies into business, train managerial and engineering personnel, improve energy efficiency, implement international standards, and create competitive national brands.

If these expectations are translated into measurable decisions and implemented with the same continuity as in previous years, the open dialogue format will continue to perform its main function: turning the accumulated experience of entrepreneurs into a practical development program for the entire economy.

Khurshed Asadov,

Deputy Director of the Center for Economic Research and Reforms