Economy
UzTransGaz: Uzbekistan’s underground gas reservoirs are 98% full
In preparation for the fall-winter period, Uzbekistan’s UGSS Gazli and Khojaabad are 98% full. Gas extraction from them has not yet started due to warm weather. Energy Minister has earlier noted that extraction capacity will be increased from 18−20 million to 30 million cubic meters.
Energy Minister claims Uzbekistan has no long-term plans on 'giving up on gas'
Despite plans to increase the share of solar, wind and hydropower in electricity generation, Uzbekistan “will not give up gas,” Minister of Energy Jurabek Mirzamakhmudov declared. He said the country is aiming to almost double gas-fueled power generation.
Uzbekistan imports about 300 million cubic meters of gas from Russia
Since October 7, Uzbekistan has imported about 300 million cubic meters of gas from Russia under a contract with Gazprom, Energy Minister Jurabek Mirzamakhmudov said. He again refused to reveal the price of imported “blue fuel.”
Uzbekistan opens trade house in Lithuania
Uzbekistan opened UZ Euro Trade House in Vilnius (Lithuania). The trade house is expected to intensify practical partnership and substantive dialogue between the business communities of the two countries.
Uzbekistan increased gas exports to China in May, despite falling production
Uzbekistan increased its natural gas exports to China in May, with supplies rising to $78.16 million, almost double the amount exported in April. Despite this increase in exports, the country’s gas production continues to fall.
Uzbekistan sees decline in gas production and record high increase in electricity production
Gas production in Uzbekistan fell by 9.8% in the first five months of the year compared to the same period last year, with production falling for the second consecutive month in May. Meanwhile, electricity production showed record growth in May, while growth in oil production slowed to 3.1%.
Raiffeisenbank to stop euro transfers to Uzbekistan and other countries
“Raiffeisenbank,” a Russian subsidiary of the Austrian banking group Raiffeisen Bank International, announced that it will stop making euro transfers to Uzbekistan, Russia, Kazakhstan, Kyrgyzstan and several other countries. The decision will take effect on July 3.
Uzbekistan Airways expands fleet with new A320neo
Uzbekistan Airways received its 18th Airbus aircraft, an A320neo. Four more due to arrive by the end of the year. They will have the simplified fuselage color due to the carrier’s plans to refresh its corporate livery.
Russia to supply 2.8 billion cubic meters of gas to Uzbekistan annually
The Energy Ministry of Uzbekistan announced details of a two-year gas agreement with Gazprom. It will supply 9 million cu.m. daily and an annual volume will reach almost 2.8 billion cu.m. This is in contrast to earlier reports by Kommersant, which stated that the volume would be twice as much.
Uzbekistan Airways to purchase LET aircraft from Czech manufacturer
Uzbekistan Airways signed an agreement with Czech aircraft manufacturer LET Aircraft Industries to purchase up to four LET L-410-E20 light turboprop aircraft. They are to be used for flights within Uzbekistan.
Uzbekistan to write off penalties for personal property and land tax arrears
President of Uzbekistan signed a resolution that stipulates writing off penalty amounts accrued on personal property tax and land tax. Additionally, the decree terminates court and enforcement proceedings related to the collection of tax arrears, penalties, and fines.
Duties on imports of some cars reduced in Uzbekistan
President Mirziyoyev signed a decree that stipulates the reduction of customs duties for cars with engines under 1,200 cc until January 1, 2028, resulting in a decrease in total customs duties for these types of vehicles.
Central Bank of Uzbekistan keeps main interest rate at 14%
The Central Bank of Uzbekistan kept its main interest rate at 14%. The bank stated that the economy continues to experience a slowdown in inflation due to fundamental and seasonal factors, with the likelihood of sharply rising inflation reduced if current trends persist until the end of the year.
ILO and IFC launch Better Work programme in Uzbekistan to bolster country’s textile and garment industry
The International Labour Organization and the International Finance Corporation launched a new Better Work programme in Uzbekistan, aimed at improving working conditions and competitiveness in the country’s textile and garment industry through compliance assessments, training, and advisory services.
Hungary’s OTP Bank buys majority stake in Uzbekistan’s Ipoteka Bank
Ipoteka Bank, Uzbekistan’s fifth largest bank, was acquired by Hungary’s OTP Bank. They bought 73% of Ipoteka Bank’s shares from the Uzbek Ministry of Economy and Finance for $324 million, and plans to buy the remaining 26% within three years. The bank also changed its logo as part of the deal.
Uzbekistan’s international reserves shrink second month in a row
Uzbekistan’s international reserves dropped by $837.9 million to $34.37 billion in May, as the value of its gold reserves fell by nearly $1 billion. The decline in gold did not lead to a corresponding rise in foreign exchange reserves.
Uzbekistan among key sources for seasonal migrant workers in the UK
In 2022, nearly a quarter of seasonal workers came to the UK from Central Asia. Uzbekistan was the second-largest source of migrant workers after Ukraine.
CBU chief highlights decrease in dollarization of deposits
The Chairman of the Central Bank of Uzbekistan said that bank deposits in foreign currency decreased by 9% in 2022. The bank attributed the decrease in dollarization to the geopolitical situation, the attractiveness of soum interest rates and the stability of the exchange rate.
New modern district near airport to be built in Samarkand
President Mirziyoyev visited Samarkand and reviewed the master plan of the “Shirin” modern district, which will be built on 389 hectares near the international airport. He instructed to improve the project based on urban planning experience and to expand social services in the new area.
World Bank improves GDP growth forecast for Uzbekistan
The World Bank revised its forecast for Uzbekistan’s GDP growth this year to 5.1%, up from 4.9% in January. The report also notes that the growth of remittances from labor migrants in Russia may slow down this year, especially for Central Asian and South Caucasian countries.
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