Economy
Electricity and gas tariffs to increase in Uzbekistan starting May 1
From May 1, electricity and gas tariffs in Uzbekistan will increase for the first time since August 2019. The subsequent increase is set for April 2025. The government is also introducing “social norms” for gas and electricity use.
Uzbekistan, Kazakhstan and Kyrgyzstan to establish joint company for Kambarata HPP-1 construction
Governments of Uzbekistan, Kazakhstan, and Kyrgyzstan are set to establish a joint company for the construction of the Kambarata Hydroelectric Power Plant (HPP-1) along the Naryn river. Upon completion of the project, ownership of the plant’s shares and assets will be transferred to Kyrgyzstan.
World Bank slightly reduces Uzbekistan’s 2024 GDP growth projection
World Bank revised Uzbekistan’s 2024 GDP growth forecast down from 5.5% to 5.3%. Inflation is expected to rise due to higher energy prices. WB also identifies such risks as reduced growth in Russia and China, and increase in potential financial liabilities for state-owned enterprises and banks.
President initiates construction of industrial zone and solar power plant in Jizzakh region
President of Uzbekistan participated in the ceremony launching construction of an industrial zone specializing in metallurgy and a solar power plant in the Jizzakh region.
“Uzbekistan's budget should be result-oriented,” says Timur Ishmetov
By 2026−2027, Uzbekistan aims to transition its state budget fully to “result-oriented budgeting”, first deputy advisor to the president Timur Ishmetov stated. The primary objective for 2024 is to ensure macroeconomic stability, he added.
Heads of Uzbekistan and Kazakhstan approve establishment of joint venture between railway administrations
Presidents of Uzbekistan and Kazakhstan discussed Central Asian security and supported the establishment of a joint venture between the countries' railway administrations. It will be involved in the development of the trans-Afghan railway.
Uzbekistan government presents new support initiatives for labor migrants
Government of Uzbekistan is developing support for citizens seeking work abroad and assistance to those returning home. Initiatives include embassy liaison roles, 24/7 call centers, language and job training, and partial expense reimbursements.
Uzbekistan’s March monthly inflation is below 1%, annual rate drops below 8% first time since May 2016
Uzbekistan saw an eight-year low inflation rate of 0.67% in March, with annual inflation dipping below 8%. Meat prices fell for the fifth consecutive month, the cost of milk, sugar, flour, potatoes, onions, carrots, gasoline, air travel, and rail transportation increased, the Statistics Agency says.
Uzum becomes first unicorn company in Uzbekistan
Uzum ecosystem raised over $100 million for its development, with half from equity and the rest borrowed, becoming Uzbekistan’s first tech “unicorn” with a valuation surpassing $1 billion. Uzum is also the first company originating from Uzbekistan that TechCrunch reported on.
Gas, oil, electricity and gasoline production decreases in Uzbekistan in February
Gas, oil, electricity, and gasoline production in Uzbekistan dropped in February. In a month, gas output decreased by 284.4 million cubic meters, gasoline by 8,100 tons and electricity by 626.6 million kWh. c
“100 tons of gold is mined annually in Uzbekistan, but only 6% is processed,” president says
During a visit to a jewelry factory in Namangan region, President Mirziyoyev stated that Uzbekistan mines 100 tons of gold annually, yet processes only 6%. He noted the creation of additional conditions for the industry and its further development.
Uzbekneftegaz sees net profit halve in 2023
Net profit of Uzbekneftegaz dropped by more than half to 611.6 billion soums (about $49.6 million) by the end of last year, marking a fivefold decrease over the past three years.
Uzbekistan targets production of 500,000 BYD hybrid and electric cars per year
President approved the agreement to establish the production of hybrid and electric cars in Uzbekistan jointly with China’s BYD. The plan aims for 50,000 units by 2024 and 500,000 in the future through a complete knock-down (CKD) approach. The expected investments amount to $160 million.
BYD car imports to Uzbekistan might be restricted
BYD, which in collaboration with Uzavtosanoat initiated the assembly of hybrid and electric vehicles in Uzbekistan, asked the government to limit the “disordered” influx of electric cars. The company cited concerns that imported models are not suitable for the local climate and road conditions.
Tashkent airport welcomes first flight from Warsaw
LOT Polish Airlines launched regular flights from Poland to Uzbekistan, operating three times weekly. The first flight from Warsaw arrived in Tashkent in the morning of March 14. Uzbekistan Airports CEO Javlonbek Umarkhodjaev called the move crucial for enhancing air connectivity to Europe. Photos.
Central Bank of Uzbekistan maintains key interest rate at 14% per annum
The Central Bank of Uzbekistan kept the key interest rate steady at 14%. The regulator noted the slowdown in food production, raising concerns about potential supply-demand imbalances or import pressures. The trade balance deficit is also expected to persist.
Uzbekistan plans to establish Trade Development Company to support exporters
Uzbekistan intends to create a Trade Development Company, aiming to engage foreign technologists and marketers. The objective is to align local products with international requirements, facilitate the entry of exporters into new markets as well as provide subsidies and compensation.
How much taxes Google, Netflix, Amazon and other Internet companies pay in Uzbekistan
Foreign Internet companies, including Meta, Google, Apple and Netflix, doubled their revenue in Uzbekistan to 635 billion soums in 2023. They also paid 1.5 times more taxes than in 2022.
Uzbekistan’s gold and foreign exchange reserves decreased by additional $2.37 billion since beginning of year, partly used for Eurobonds redemption
Uzbekistan’s international reserves fell by $2.37 billion in two months to $32.2 billion, the lowest since September last year. Physical volume of gold is unchanged, but the value of gold reserves and foreign currency reserves decreased. Funds were partly used to redeem Eurobonds worth $500 million.
“Bakhtiyor Fazilov remains main beneficiary of Gazli Gas Storage,” says company
Gazli Gas Storage commented on the change of founders at Gazli, the operator of Uzbekistan’s largest gas storage facility. “Bakhtiyor Fazilov was and remains the main beneficiary of Gazli Gas Storage and no sanctioned individual has ever held a shareholding in the company,” the statement said.
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