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Uzbekistan — Daily

Uzbekistan Daily: 1% turnover tax, tax amnesty & lower VAT, and pro‑business overhaul pledged

,   and  Lexica
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Politics

President Pledges Pro‑Business Overhaul with Tax Cuts, Tourism Push, and New Financing Tools

Published: 2025-08-20

President Shavkat Mirziyoyev held his fifth annual open dialogue with entrepreneurs in New Tashkent, unveiling regulatory, tax, and financing measures aimed at accelerating private‑sector growth and exports. Authorities reported 1,000 prior business proposals embedded into laws since 2021 and cited 7.2% GDP growth in H1. Key steps: a 1% turnover tax for micro‑businesses from January, a moratorium on penalties for overdue export receivables at private firms through 2026, a universal QR for mobile payments from 1 November, an alternative credit scoring system from May 2026, and a new investment platform enabling non‑founder equity participation. Tourism incentives include land auctions for 5,000 hectares, soft loans for hotels, expanded subsidies, and a $1 million annual hotel award. The President also decorated leading entrepreneurs and signed a decree to channel 270 trillion soums to SME financing and industrial infrastructure in 2026–2027.

"New Tashkent will become a hub of opportunities, ideas, markets, innovation and investment... its green infrastructure will serve your new initiatives. Its gates will always be open to those who want to do business." - President Shavkat Mirziyoyev (kun.uz)

"We created conditions for entrepreneurship; they became the state’s shoulder. In the last 4–5 years, 7.5 million people gained employment." - President Shavkat Mirziyoyev (uzdaily.uz)

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Courts to Allow Extraterritorial Filings as Daily Penalties Enforced for Late Business Payouts

Published: 2025-08-20

Uzbekistan will let businesses file cases with economic and administrative courts on an extraterritorial basis, reducing venue constraints and potentially speeding dispute resolution. In parallel, a French-style “astreinte” mechanism will be introduced: if court-ordered compensation or debts are not paid on time, a daily penalty will accrue until full payment. The move aims to curb delays in enforcing judgments that erode firms’ cash flow and confidence in legal remedies. Officials highlighted that entrepreneurs are increasingly using courts as legal literacy improves, yet enforcement bottlenecks persist. The penalty will be specified in judgments, creating clearer incentives for timely compliance and aligning with international practice on judgment enforcement.

"We will pursue a firm policy to ensure judicial independence... Every delayed day works against the entrepreneur." - President Shavkat Mirziyoyev (gazeta.uz, kun.uz)

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Draft Law Elevates Atomic Energy Agency as Lead Regulator, Aligns Governance with International Standards

Published: 2025-08-20

Uzbekistan’s lower house approved in first reading a draft law to overhaul governance and oversight of civilian nuclear use, designating the Cabinet’s Atomic Energy Agency as the authorized executive body to implement unified state policy. The bill refines institutional mandates, brings terminology in line with existing legislation, and seeks compliance with international norms, including clearer safety measures and coordination of sectoral programs. The Energy Ministry would track nuclear energy sources and its share in generation and consumption statistics. Lawmakers emphasized non‑power applications—industry, nuclear medicine, agricultural sterilization, and cultural heritage conservation—signaling a broader nuclear agenda beyond electricity. The move advances Uzbekistan’s legal architecture for prospective nuclear projects and regulatory harmonization, with further readings pending before enactment.

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Government to Centralize Food Safety Oversight and Ease Business Access to Public Procurement

Published: 2025-08-20

Uzbekistan will merge sanitary, veterinary, and quarantine oversight into a single, fully digital food safety control and laboratory system under the “farm-to-table” principle, introducing a one-stop window for all documentation. Authorities say this aims to streamline compliance for businesses, improve domestic product quality, and support export ambitions. The government also plans to address barriers to participation in public procurement and commodity exchange trading, with preparations underway to resolve accumulated issues. New protections will require all standard contracts with state bodies and natural monopolies to undergo mandatory review by the Business Ombudsman, the Ministry of Justice, and the Antimonopoly Committee, enhancing equal protection of entrepreneurs’ rights.

"Entrepreneurs have many questions about participating in state purchases and exchange trading; comprehensive solutions will be prepared soon." - President of Uzbekistan (uza.uz)

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Economy

Small Businesses to Get 1% Turnover Tax, Universal QR Payments and Simpler Filing as Reforms Roll Out

Published: 2025-08-20

Uzbekistan announced a package of SME-focused measures: from 1 January 2025, all businesses with annual turnover up to 1 billion UZS will pay a flat 1% turnover tax, significantly cutting burdens now ranging from fixed payments to higher rates. From 1 November 2024, merchants will receive a universal QR code usable across all mobile payment apps, streamlining cashless acceptance in a market with 40+ e-payment providers. Additional steps include expanding tax authority-prepared filings: from 2026, reports for land, property, social and income taxes will be pre-filled by the tax service, with firms able to amend within five days; late-filing penalties will shift to a single, lower fine structure to ease pressure on small firms. Sector support spans export pre-financing, working capital lines, and branding for certified products to boost international market entry.

"From November 1, entrepreneurs will receive a universal QR code enabling settlement through all mobile payment apps... From January 1, those with turnover up to 1 billion UZS will pay a unified 1% tax." - President Shavkat Mirziyoyev (gazeta.uz)

"From 2026, entrepreneurs will be freed from the obligation to prepare certain tax reports—these will be completed by the tax authorities free of charge." - Presidential press secretary Sherzod Asadov (gazeta.uz)

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Tax “Amnesty,” Lower VAT, and Softer Prepayments Announced to Ease Business Cash Flow

Published: 2025-08-20

Uzbekistan unveiled a package to reduce tax compliance burdens and improve liquidity for SMEs and larger firms. The government will not penalize errors found in tax inspections affecting over 20,000 businesses (worth 16 trillion soums), granting time until 1 November to voluntarily correct them. Profit tax prepayment thresholds will rise so only companies with annual turnover above 20 billion soums must pay in advance, leaving an estimated 1 trillion soums in working capital for roughly 14,000 firms. VAT at 12% is being complemented by a one-year transition for businesses moving from turnover tax to VAT: exemption from profit tax, no fines for reporting mistakes, and deductibility of up to 5 million soums of a bookkeeper’s monthly salary for six months. Financing measures include preferential loans and guarantees aimed at expanding small and medium enterprises.

"We are declaring a kind of ‘amnesty’; no penalties will be applied for these inspections. Instead, until November 1, entrepreneurs can voluntarily correct all mistakes, and from then, they start with a ‘clean slate’." - President Shavkat Mirziyoyev (gazeta.uz)

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Licenses, Certifications Cut as Compliance Shifts to Declarations and Market Surveillance

Published: 2025-08-20

Uzbekistan will abolish 10 more licenses and permits from 2026 and scrap conformity certificates for 32 product categories under sanitary, veterinary and quarantine control—including seedlings, mineral fertilizers, footwear, and animal feed. The list of goods requiring mandatory certification has already been reduced by 459 items and will shrink by a further 288. Authorities will pivot from certification to declarations of conformity and introduce market surveillance focused on product quality, while consolidating and digitizing food safety laboratory functions under a single system. Business registration will be overhauled under a “start a business in 15 minutes” model, bundling five services at the point of registration. Contracts with state bodies will undergo mandatory expert review to protect business rights.

"The technical regulation system will be completely transformed... From now on, the object of control will not be the entrepreneur, but the product itself." - President Shavkat Mirziyoyev (gazeta.uz)

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Som Strengthens as Central Bank Sets Lower Dollar Rate Following Export Receipts uptick

Published: 2025-08-20

Uzbekistan’s som continued to firm, with the Central Bank setting the U.S. dollar’s official rate at 12,466.44 som for 21 August, down 58.48 som from the prior fixing. The euro fell 113.19 som to 14,517.17, and the Russian ruble slipped to 155.42 som. The dollar had briefly rebounded after two sessions of declines, but remains below the 12,500 threshold and above the year’s low of 12,410.99 recorded on 24 June. Local coverage links the som’s recent support to higher export proceeds, particularly a sharp rise in gold sales. For businesses with foreign currency exposure, the easing dollar rate may modestly reduce import costs and FX-linked liabilities, while exporters could see tighter margins in local-currency terms if the trend persists. No official provided an on-record statement in these reports.

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Excise and Customs Duties Waived on Polymer Feedstock to Boost High-Value Manufacturing

Published: 2025-08-20

Uzbekistan approved temporary tax relief to support domestic producers of high value-added products from ethylene and propylene polymers. Under a presidential resolution effective 18 August 2025, imports of polyethylene granules not produced locally will face a zero excise rate from 1 September 2025 through 1 January 2028, based on a technical-parameter list. Customs duty is also set to zero through 1 January 2028 for specified primary forms of ethylene (HS 3901 10 900 0, 3901 30, 3901 40) and propylene polymers (HS 3902 10 000 0). Authorities tasked the Customs Committee and the Technical Regulation Agency to block low-quality counterfeit flexible packaging via ex officio enforcement. The decision aims to lower input costs, enhance competitiveness, and sustain exports, while ensuring equal tax treatment for domestic polyethylene granule producers versus imports. The resolution is published in the national legal database and is in force.

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Investment Code Planned as New Platform Opens Direct Funding Channel for Businesses

Published: 2025-08-20

Uzbekistan will consolidate fragmented investment regulations into a single Investment Code to strengthen investor protections and streamline procedures, following a presidential dialogue with entrepreneurs. The code aims to unify rules, guarantees, and processes to improve the business climate and spur capital inflows. In parallel, a state-backed investment platform will allow companies to raise funds directly from investors without adding them as shareholders in LLCs, shifting some financing burden away from banks. Authorities expect the mechanism to mobilize about $1 billion annually and boost startup financing alongside tax incentives, open banking plans, and VAT refunds for sales.

"It is time to combine all documents into a single, directly applicable law and adopt an Investment Code" - President Shavkat Mirziyoyev (gazeta.uz)

"A simplified platform will let firms post projects and investors choose where to invest" - President Shavkat Mirziyoyev (gazeta.uz)

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Tariff Review Ordered on Raw Materials and Components; Compliance Certificates Shift to Contract-Based Issuance

Published: 2025-08-20

President Shavkat Mirziyoyev directed a comprehensive review of tariffs on raw materials and components, instructing deputy prime ministers for economy and investment to assess sectoral and regional enterprise needs and propose adjustments by November 1. The move follows 130 submissions from entrepreneurs ahead of his open dialogue and aligns with World Bank advice that tariff policy should stimulate production. The government also extended duty exemptions on mixed fabrics and textiles until January 1, 2028, to lower input costs. Import procedures will be eased as conformity certificates transition from per-shipment to contract-quantity issuance, reducing administrative burden for manufacturers and importers. These steps signal a push to improve cost structures and supply chain efficiency across industry, potentially enhancing competitiveness and attracting investment.

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One-Year Moratorium Halts Penalties on Exporters’ Overdue Receivables

Published: 2025-08-20

Uzbekistan announced a one-year moratorium on calculating and collecting penalties for overdue foreign receivables from companies without state ownership, easing pressure on exporters facing delayed payments due to market volatility and logistics disruptions. The measure follows appeals from textile and fruit-vegetable exporters and was unveiled during a presidential dialogue with business. The government is coupling relief with sector support: a $200 million pre-export financing facility under a forthcoming “trusted exporter” program, plus $500 million in working capital for priority industries. Mixed fabrics will be exempt from customs duties until January 1, 2028, and conformity certificates will shift from per-shipment to contract-volume basis. Authorities will also review tariffs on inputs by November 1 to stimulate manufacturing.

"We are declaring a one-year moratorium on calculating and collecting penalties for overdue export receivables for non-state-owned firms." - President Shavkat Mirziyoyev (gazeta.uz)

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Five-Year Leases Planned for State Assets as Rental Law Undergoes Overhaul

Published: 2025-08-20

Uzbekistan will draft a new edition of the Law on Leasing to balance landlord and tenant rights, replacing the 1991 statute that largely protected state interests. Starting in 2026, state assets are to be leased for five years, with termination allowed only if the tenant opts out or fails to meet obligations—providing greater business certainty on rent terms that have been volatile. The initiative follows consultations with entrepreneurs who cited difficulty planning amid rapidly changing lease prices and conditions. The reform aims to standardize longer lease horizons and limit unilateral cancellation, potentially improving investment planning for SMEs needing additional space and equipment.

"State assets will be leased for five years, and contracts will be terminated only if the tenant wishes or fails to fulfill obligations" - President Shavkat Mirziyoyev (gazeta.uz)

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$200m Pre-Export Finance Launched for “Trusted Exporters” in Textiles, With $500m Working-Capital Pool for Other Sectors

Published: 2025-08-20

Uzbekistan will roll out a “trusted exporter” program in textiles, introducing pre-export financing backed by $200 million, following consultations with representatives of over 200 textile firms and the unveiling of support measures totaling 7 trillion soums. The mechanism will extend to other underutilized high-potential sectors—electrical equipment, building materials, food processing, and pharmaceuticals—paired with $500 million in working-capital support for entrepreneurs. Authorities also plan a national branding push: each sector will designate 10 competitive, quality-assured products to receive an “O‘zbekiston ramzi” mark for global promotion. The initiative targets liquidity bottlenecks ahead of shipments and aims to lift export competitiveness through finance and marketing.

"A 'trusted exporter' program in textiles will begin soon, with a $200 million pre-export finance facility." - President Shavkat Mirziyoyev (gazeta.uz, uza.uz)

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Tourism Program Eases Hotel Levies and Expands Guesthouse Capacity, With Land and Credit Incentives for New Projects

Published: 2025-08-20

Uzbekistan announced a new tourism program to scale visitor capacity and investment. President Shavkat Mirziyoyev said foreign arrivals could reach at least 15 million annually in 3–4 years, prompting incentives for accommodation and destinations. Over the next three years, 5,000 hectares will be auctioned for hotels and tourism facilities; the state will take an equity stake equivalent to the land price if developers opt not to pay upfront, with a 10-year buyback option and a 20% discount for immediate payment. Concessional loans up to 30 billion soums (priority districts) and 10 billion soums (other areas) will be offered for seven years with a two-year grace period. Tourist levy obligations are scrapped for hotels outside Tashkent, regional centers, and major tourist zones. Family guesthouses can host up to 20 guests (from 10). New resort zones are planned across several regions, backed by $150 million in infrastructure support.

"We will launch a new program to develop tourism as foreign tourist flows are set to reach at least 15 million annually in the next three to four years." - President Shavkat Mirziyoyev (gazeta.uz)

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Private Firms Win Two Gold Exploration Licenses After Competitive E‑Auctions

Published: 2025-08-20

Uzbekistan’s E-auksion platform closed two high-stakes sales of gold exploration rights, underscoring strong private interest in greenfield mining. In Tashkent region’s Akhangaran district, the “Terekli” site (approx. 2 tons in estimated reserves over 65 hectares) attracted 377 bids across nearly 12 hours, with Toyloq Toza Hudud offering 81.79 billion soums—about 19.8 times the starting price. Corporate registry data list the company, founded in 2021 in Samarkand region, as operating in residential property management and controlled by businessman Bakhtiyor Marupov. A day earlier, the “Temirchi” deposit in Navoiy region (around 6 tons) drew 309 bids and sold for 67.78 billion soums to newly registered Zauris LLC, far above its 4.12 billion soum opening. The outcomes highlight deepening investor appetite following reforms to liberalize subsoil access and monetize exploration rights via transparent auctions.

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Power and Gas Disruptions Remain Top Business Constraint as Lending Expands and Capacity Use Falls

Published: 2025-08-20

Uzbekistan’s Central Bank reports that electricity and gas interruptions continue to be the primary obstacle for businesses in Q2 2025, even as operating conditions improved in Tashkent city and region. A majority (51%) saw a better business climate, driven by higher-quality banking services and expanded lending, noted by 56% of respondents. However, regulatory processes, market concentration, tax administration, and licensing showed little change. Energy supply showed modest improvement after three quarters of deterioration, and road infrastructure perceptions improved. Orders rose notably in agriculture, tourism, household services, and IT, with stronger hiring in agriculture, logistics, and manufacturing. Credit burdens increased (firms reporting higher debt rose from 26% to 36%), while capacity utilization slipped—companies operating at full capacity fell from 52% to 43%—weighing on communications, utilities, education, and construction. Key pain points cited were energy outages, rising rents, higher fuel prices, and increased administrative intervention. Forward-looking sentiment improved: 57% expect better business prospects over three years, while pessimists halved to 9%.

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Single Certificate to Cover Entire Contract Volume for Imports; $700M Working-Capital Support Earmarked for Exporters

Published: 2025-08-20

No direct quotes were provided in the source.

Uzbekistan will shift import conformity procedures from per-shipment certification to a single certificate covering the full volume specified in each contract, reducing administrative friction and costs for importers. Authorities will also review tariffs on raw materials and components, signaling potential input cost relief for manufacturers reliant on imported supplies. In parallel, the government plans to allocate $700 million in working-capital financing to exporters across five sectors, aiming to bolster liquidity and sustain order fulfillment. For businesses, the streamlined certification process could shorten customs clearance times and improve supply-chain predictability, while tariff adjustments may enhance competitiveness. The new export financing facility is poised to support production cycles and help firms manage currency and payment risks in external markets.

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Private-Sector Salaries Near 5 Million Sums as Formalization Drives Job and Wage Growth

Published: 2025-08-20

Uzbekistan’s private-sector average monthly wage has approached 5 million sums, up from 4 million last year, according to figures presented during President Shavkat Mirziyoyev’s August 20 dialogue with entrepreneurs. Authorities credit expanded formalization mechanisms for boosting jobs by 811,000 across 139,000 firms and lifting wage funds by 22% (4.6 trillion sums) at 273,000 companies. Rapid scaling is evident: 1,600 micro firms surpassed 10 billion sums in annual turnover to become medium-sized, while 143 exceeded 100 billion to become large; an additional 122 small firms moved into the large category. The number of enterprises with turnover above 1 trillion sums reached 203 last year, with 47 more hitting the 400–500 billion range in the first half of 2024. State awards recognized 49 entrepreneurs and 112 “Active Entrepreneur” medalists.

"Philanthropic entrepreneurs who build schools and hospitals, support low-income families, and help young people reach international sporting heights are the true devotees of our nation." - President Shavkat Mirziyoyev (qalampir.uz)

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Simplified Customs Clears 79% of Cargo as Incentives Expand for Businesses

Published: 2025-08-20

Uzbekistan is accelerating customs facilitation following the president’s dialogue with entrepreneurs, with tangible shifts in Tashkent region data for the first half of 2024. Authorities assessed 8.2 trillion soums in customs duties, of which 4.4 trillion soums were granted as exemptions to businesses, signaling widened fiscal support. Notably, 79% of cargo was processed under simplified procedures, reducing clearance times and compliance burdens. Local manufacturers placed 214,800 tons of raw materials, valued at $117 million, under the “processing in customs territory” regime—an instrument that allows duty deferral during value-added production. These results align with recent economic reforms aimed at easing administrative barriers and boosting industrial competitiveness. For importers and producers, the combination of higher facilitation rates and targeted incentives suggests lower operating costs and improved supply-chain predictability in the near term.

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Tatarstan Retail Push Agreed as Uzbekistan Expands Construction Materials Exports to Russia

Published: 2025-08-20

Uzbekistan’s construction materials industry is set to deepen its footprint in Russia following talks in Kazan between acting chair of O‘zsanoatqurilishmateriallari Ilyos Rakhimov, Russia’s Construction and Housing Minister Irek Fayzullin, and Tatarstan leader Rustam Minnikhanov. The sides discussed broadening cooperation on building materials, strengthening trade ties, boosting export–import flows, and launching large investment projects, with a specific focus on expanding shipments to Tatarstan. Uzbekistan presented its sector capabilities and outlined its growing network of overseas trade houses, showrooms, and warehouses. A key outcome was an agreement to open and scale retail points in Tatarstan selling products under the “made in Uzbekistan” label, signaling a coordinated push to increase market access and visibility for Uzbek producers in Russia’s construction supply chain.

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Diplomacy

China Flight Rights to Expand as Bilateral Capacity Rises to 130 Weekly Services

Published: 2025-08-20

Civil aviation talks in Astana under the Central Asia–China (S5+1) framework advanced market access between China and Uzbekistan, with draft agreements to raise permitted weekly flights to 130 and increase Chinese destinations available to Uzbek carriers. Authorities also plan to expand the number of Uzbek airlines authorized to operate to China to eight. The document will take effect after China completes internal procedures. The moves build on June accords that doubled designated airlines on each side (from three to six), expanded Uzbek access points in China (from nine to 12), raised weekly frequencies to 100 per side, and granted fifth-freedom rights for cargo and select passenger routes via Samarkand, Nukus, Xi’an, and Chengdu. Since June, new entrants (Centrum Air, Qanot Sharq, Air China, China Eastern, YTO Airlines, Northwestern Cargo International) helped lift weekly passenger services from 19 to 61 and cargo/transit flights from 72 to 128, adding direct links beyond Tashkent to Samarkand and Fergana, and in China to Hangzhou, Guangzhou, Shanghai, Sanya, and Haikou.

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Published: 2025-08-20

Uzbekistan’s Tourism Committee under the Ministry of Ecology announced a new cross-border tourist loop connecting Turkmenistan, Khorezm, Karakalpakstan and Kazakhstan. The route is designed as a multi-theme corridor spanning eco-, ethno-, gastronomic and pilgrimage tourism, and includes more than 15 sites of national, regional and UNESCO World Heritage significance. Authorities say travelers and tour operators can organize trips independently or in groups, with a downloadable map available via the committee’s link. The initiative aims to package culturally rich destinations across the Amu Darya and Aral Sea regions, potentially boosting regional tourism flows and encouraging longer stays. It also positions northwestern Uzbekistan as a hub for integrated itineraries that align with growing demand for nature and culture-focused travel. No launch date or visa facilitation details were disclosed.

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Regional Experts Map Next Steps for Central Asia’s Trust, Security and Sustainable Growth

Published: 2025-08-20

Tashkent hosted the 8th Central Asia Expert Forum, the first five-party format aligned with regional leaders’ consultative meetings, expanding to experts from 14 countries and representatives of the UN, OSCE and EU. Discussions emphasized institutionalizing cooperation, harmonizing trade rules, and building societal buy-in through cultural and educational exchanges. Economically, regional GDP is estimated at nearly $500 billion in 2024, with intra-regional trade up about 80% over five years to $11.6 billion, signaling growing project pipelines and nascent capital markets. Logistics connectivity and green transition emerged as core priorities, with proposals for unified customs digitization, coordinated corridor investments, and value-chain development. Analysts cautioned that integration remains a strategic goal, not yet reality, citing development gaps, differing memberships in external blocs, and infrastructure constraints.

"How should we continue regional cooperation, and how far are we ready to go on integration?" - Eldor Aripov, Director of the Institute for Strategic and Regional Studies under the President of Uzbekistan (gazeta.uz)

"Central Asia is not yet a common space for trust, security and sustainability, but there is a genuine shared aspiration—and it can only be achieved together." - Kristiina Silvan, Postdoctoral Researcher, University of Helsinki (gazeta.uz)

"Today we need urgent measures: unify trade and customs through digital systems and a regional single window, invest in corridors, and build cross-border value chains." - Kakajan Berdiev, Managing Partner, Maslahatçylar (gazeta.uz)

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Infrastructure

Tax Relief and Infrastructure Push Back New Tourism and Export Measures

Published: 2025-08-20

President Shavkat Mirziyoyev outlined a package of business incentives spanning tax, infrastructure, and tourism. Companies that finance external infrastructure for their facilities will be allowed to deduct those costs from their corporate profit tax base, while public funding for industrial infrastructure rises to 2.1 trillion soums next year, with an additional 2 trillion soums to strengthen Tashkent’s power grid. Exporters in non–state-owned firms receive a one-year moratorium on penalties for overdue receivables, targeting sectors like textiles and fruit-vegetable trade. Tourism measures include auctioning 5,000 hectares for hotels and attractions with the state as an equity partner, concessional loans up to 30 billion soums in priority locations, and exemptions from tourist levies outside major centers. Year-round resort zones in Chortoq, Fergana, Boysun, and Nurobod will get $150 million for infrastructure.

"As the economy grows steadily, demand for new infrastructure will continue to increase." - President Shavkat Mirziyoyev (gazeta.uz)

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Sojitz to Invest $200M in New Tashkent International Airport as Part of $1B Uzbekistan Portfolio

Published: 2025-08-20

"We plan to invest about $200 million in the new international airport, with total investments in Uzbekistan expected to reach $1 billion across power, wind, healthcare, and airport projects." - Kosuke Uemura, President, Sojitz Corporation (gazeta.uz)

Japan’s Sojitz Corporation will allocate $200 million to the planned new international airport for Tashkent, advancing a broader pipeline of projects in Uzbekistan spanning energy and healthcare. Authorities target commissioning the airport by 2030 to handle up to 20 million passengers annually in its first phase, addressing capacity constraints at the city’s current airport. Government presentations warn a decade-long delay could cost $8.6 billion in GDP and forfeit ambitions to build a regional aviation hub. Site options near Tashkent remain under review, with Orta Chirchiq district discussed. Sojitz’s local presence, a cooperation roadmap with the government, and parallel investments—including Sirdaryo-2 power, a 1 GW wind project, and a Samarkand medical center—signal sustained Japanese involvement in strategic infrastructure.

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Tashkent to Launch Night Bus Network by Late 2025, First Route Debuts This Year

Published: 2025-08-20

Tashkent plans to roll out a dedicated night bus network operating 22:00–06:00, with the first route (T1) starting by year-end. The city will introduce red-colored buses across up to 15 routes serving key hubs such as the airport, the central railway station, and high-traffic tourist corridors. Operations will begin with 30-minute intervals. The project will be implemented in two phases: Phase 1 opens eight routes totaling 136 km with 31 buses (19.1 billion soums), followed by Phase 2 adding seven routes over 98 km with 23 buses (14.2 billion soums). Routes will be labeled with letters and numbers (T1, T2, etc.). T1 will run from Husayn Boyqaro Street (Bektemir district) to the “Qoʻyliq” market, later extending via Xonobodtepa Street. City officials previously flagged the introduction of night buses during a municipal council session, underscoring growing focus on late-hour mobility and tourism connectivity.

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Society

Court Sentences Organizers of Secret Cross-Border Pipeline Between Kazakhstan and Uzbekistan

Published: 2025-08-20

A Kazakh court has issued verdicts against individuals who organized a clandestine underground pipeline that funneled Kazakhstan’s petroleum products into Uzbekistan over a two-month period, according to kun.uz. The ruling underscores ongoing regional efforts to curb fuel smuggling networks that exploit porous borders and pricing differentials between neighboring markets. While specific sentences and the number of defendants were not disclosed, the case highlights the use of concealed infrastructure for sustained illicit flows rather than ad hoc trafficking. For businesses, the decision signals tighter enforcement around refined products, potential checks on cross-border logistics, and closer scrutiny of intermediaries in the fuel supply chain. The development may also influence wholesale fuel pricing and availability in border regions as authorities move to dismantle smuggling routes and enhance monitoring of energy transit.

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Founder of ADWorld Detained Following Fraud Probe Into Overseas Job Scheme

Published: 2025-08-20

Tashkent police have detained Dilmurod Yusupov, founder of ADWorld, as a preventive measure in an ongoing investigation into alleged fraud involving promises of employment in the U.S., U.K., South Korea, and several European countries. The case follows a Kun.uz investigation reporting that hundreds were allegedly defrauded through purported overseas job placements. Authorities urged affected individuals to file complaints with the investigative division of the Chilonzor district Department of Internal Affairs. The move signals a tightening stance on recruitment scams and may prompt broader scrutiny of private intermediaries facilitating foreign employment. While formal charges were not detailed, the detention indicates the case has advanced to a criminal inquiry phase, with potential implications for consumer protection and labor migration oversight in Uzbekistan.

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Environment

Water Management Program Sets 2025–2028 Overhaul with Digital Monitoring and Energy Upgrades

Published: 2025-08-20

A presidential decree (PQ-250, dated 15 August 2025) approved a 2025–2028 program to modernize water resource management and the irrigation sector. Key targets include reconstructing 2,551 km of irrigation canals; allocating at least UZS 1.3 trillion annually from the state budget and absorbing $300 million from international financial institutions; replacing 562 pumps and 578 electric motors with energy-efficient models; and installing alternative energy at 15 pump stations. The plan aims to reduce poorly supplied irrigated land from 424,000 to 276,000 hectares, expand water-saving technologies, cut salinized areas, and return 67,000 hectares of irrigated land to use. Digitization measures introduce unified online water accounting, at least 300 digital flow meters at borders integrated into a central database, monitoring at 12,080 observation wells and 1,750 pump units, and automation at 12 major facilities. Private-sector management is expected to trim PPP operating costs by 15%. A national water council’s composition and mandate were approved. The decision takes effect on 18 August 2025.

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Comprehensive Water Code Enacted, Reshaping Access, Permits and Governance

Published: 2025-08-20

President Shavkat Mirziyoyev signed a new Water Code on July 30, consolidating existing laws and decrees into a single framework effective October 31. The code defines water as a national asset under state protection, streamlines permits, and expands private-sector roles, including auctioning small pump stations and wells (up to 1 m³/s). It introduces long-term water quotas, water-sharing mechanisms among users, and a legal regime for water servitudes to ensure public access along shorelines. Oversight will center on the Water Management Ministry, which will maintain the state water cadastre and lead monitoring alongside geology and other agencies. Priority of use formally balances hydropower with agriculture. Violations face stronger fines, with fivefold increases for repeat offenses. Water bodies may be granted for temporary use for 3–49 years under PPPs. A national and basin-level water councils will coordinate policy. The code also defines “extreme water scarcity” and “drought,” aligning planning with climate risks.

"By 2030, Uzbekistan could face a 7 billion cubic meter water deficit, risking inclusion among 33 severely water-stressed countries... we must fundamentally revise water management policy and take short- and medium-term measures to ensure resource sustainability." - Anvar To‘ychiyev, Chair of the Senate Committee on Agrarian, Water Management and Ecology (gazeta.uz)

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Cherry Exports Reach 25,200 Tons Valued at $51 Million in First Seven Months

Published: 2025-08-20

Uzbekistan exported 25,200 tons of cherries worth $51 million to 17 countries during January–July 2025, according to the National Statistics Committee. Russia led destinations with 18,200 tons, followed by Kazakhstan (3,600 tons) and the Kyrgyz Republic (2,700 tons). Smaller volumes went to Belarus (232 tons), Iraq (127 tons), the UAE (126 tons), Latvia (34 tons), and other markets (93 tons). The figures underscore Central Asia’s regional demand patterns and Uzbekistan’s continued reliance on neighboring markets for fresh produce exports, with limited penetration into higher-margin destinations further afield. Seasonal logistics, cold-chain capacity, and market access are likely determinants of the current export mix, while the breadth of 17 markets suggests gradual diversification in trade relationships within and beyond the CIS.

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Innovation

‘Start a Business in 15 Minutes’ to Launch in 2026 with Streamlined Registration and Easier Credit Access

Published: 2025-08-20

President Shavkat Mirziyoyev announced a 2026 rollout of a “Start a Business in 15 Minutes” regime that consolidates company registration steps into a single digital process: issuing e-signatures, opening bank accounts, optional lease registration, fiscal cash register registration with tax authorities, and automated notifications to regulators. The reform shifts compliance from firms to product quality via market surveillance, expands international-standard labs, and replaces many mandatory certifications with conformity declarations, cutting the mandatory certification list by 459 items and soon by another 288. Sanitary, veterinary, and quarantine labs will be unified and digitized under a “farm to table” approach. Contracting with state bodies and natural monopolies will undergo mandatory legal and competition review. Credit access will also ease with an alternative scoring model incorporating tax and utility payment discipline, formal turnover, and export data starting next year.

"From 2026, we will fully introduce the ‘Start a Business in 15 Minutes’ principle." - President Shavkat Mirziyoyev (anhor.uz)

"An alternative scoring model will be launched next year, simplifying lending conditions." - President Shavkat Mirziyoyev (gazeta.uz)

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Open Banking, Startup Strategy and New Investment Platform Advance Digital Finance Reforms

Published: 2025-08-20

Authorities will roll out an open banking ecosystem connecting banks, fintechs and startups to expand digital financial services, alongside a five-year strategy to scale and support fintech startups (gazeta.uz, uza.uz). The government also plans an investment platform linking entrepreneurs and investors where backers can share profits as shareholders without becoming LLC founders (kun.uz). Exporters selling via domestic and foreign marketplaces will become eligible for VAT refunds, aligning e-commerce exports with traditional export incentives (all three). Officials say marketplace growth has accelerated, and measures aim to increase startup investment tenfold in coming years. The state will allocate $100 million to elevate 100 startups to international level (kun.uz). Presidential engagement with entrepreneurs continues as policy instruments are finalized (uza.uz).

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Central Bank Mandates Dedicated Cybersecurity Units at All Banks Following New Minimum Standards

Published: 2025-08-20

Uzbekistan’s Justice Ministry registered a Central Bank regulation setting minimum cybersecurity requirements for banks, making dedicated information and cybersecurity services mandatory across credit institutions. The units will safeguard information assets, prevent unlawful changes to payment data, and mitigate harm to banks and customers. Banks must adopt internal information-security policies, reduce configuration error risks in databases, and counter threats such as unauthorized access, password leaks, tampering with system files, malware installation, and remote attacks on servers and databases. Network firewalls and proxy servers must be actively monitored, with any external attack indicators reported immediately to the Central Bank. The move aligns with President Shavkat Mirziyoyev’s earlier directive to prioritize customer financial safety in daily banking operations and to roll out antifraud systems by 1 September, alongside expanded Central Bank powers against cybercrime.

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Private Preschool Push, Investment Platform, and Expanded Credit Guarantees Announced for Business Growth

Published: 2025-08-20

Uzbekistan unveiled a package to spur entrepreneurship and private education, channeling 1.1 trillion soums to accelerate development in 16 districts, with the World Bank adding $250 million and a further $500 million expected. In 80 districts, land for private preschools will be granted rent-free for up to 30 years; state subsidies will cover half of public preschool costs, and preferential supports include concessional loans up to 5 billion soums, 1% social tax, and state-funded salaries for educators for up to three years. A new leasing framework will give state assets on five-year terms with contracts canceled only for non-compliance, replacing the 1991 law. A special investment platform will allow enterprises to attract investors as shareholders, targeting $1 billion annually. Banking measures include $6 billion in resources for business this year and a dedicated $1 billion for SMEs in 2026. The Entrepreneurship Development Company will add 7 trillion soums to finance 10,000 projects, offer up to 10 billion-soum concessional loans via banks, and refinance commercial loans up to 500 million soums for manufacturing, services, and green projects, aiming to lower lending rates to 6% for over 100,000 entrepreneurs annually. Credit guarantees will expand to large firms up to 10 billion soums, with higher guarantee limits (1.5x) for borrowers with strong repayment history.

"This year banks are bringing $6 billion in resources for entrepreneurial projects; by 2026 they will attract a separate $1 billion on favorable terms specifically to support small and medium-sized businesses." - President Shavkat Mirziyoyev (gazeta.uz)

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Private Preschool Build-Out Advances with Incentives in 80 Low-Coverage Districts

Published: 2025-08-20

Uzbekistan will permit entrepreneurs to construct private preschools on vacant land at existing kindergartens and schools in 80 districts where preschool coverage remains below 70–80%. The initiative, announced during President Shavkat Mirziyoyev’s open dialogue with entrepreneurs, combines land-use privileges and financing to accelerate early childhood capacity. Developers building on school or preschool plots will receive 30-year rent exemptions and subsidies covering half of per-child costs benchmarked to public preschools. For projects elsewhere in those districts, authorities will extend seven-year concessional loans up to 5 billion soums at 18%, allocate land free of charge conditional on maintaining activity, reduce social tax to 1%, and co-fund teacher salaries for up to three years. Officials also flagged new medical clusters at border areas to support health tourism, bundling clinics, rehabilitation centers, hotels, and labs.

"Private sector expansion has lifted the number of private kindergartens to 31,000 and schools to 645 over the past eight years." - President Shavkat Mirziyoyev (gazeta.uz)

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Health

Neuro Center and AI-Driven Stroke Care Plan Announced with JICA Financing

Published: 2025-08-20

Uzbekistan will establish a 250-bed National Neurology and Neurorehabilitation Medical Center in Tashkent, backed by a $150 million JICA concessional loan (0.5% over 40 years, 10-year grace) within a $174.4 million project. The facility aims to perform over 3,000 surgeries annually and serve as Central Asia’s specialist hub for stroke and neurological care, with Japanese managers and clinicians supporting the first years of operations. The health system overhaul includes adapting 1,500 clinical protocols to international standards, digitizing patient pathways, and deploying EKG telemetries, telemedicine, thrombolysis, stenting, and thrombectomy at the primary level. Authorities plan centralized laboratories nationwide by 2030 and expanded free tests. Training reforms include international accreditation, NCLEX-based nurse certification, and sending 150 specialists abroad. Annual stroke incidence is cited near 60,000 cases, with 85% leading to disability, underscoring urgency.

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Government Approves Overhaul of Health System with Centralized Labs and Blood Service Reforms by 2030

Published: 2025-08-20

President Shavkat Mirziyoyev approved a package to restructure healthcare, introducing a master plan to map and digitize the system, standardize facility designs, and review 210 sanitary norms. To address low trust in diagnostics, the plan establishes 198 centralized laboratories by end-2030, implements internal and external quality controls, fully digitizes processes, and expands free tests. Public health priorities will shift toward non-communicable disease prevention, maternal and child mortality reduction, and injury prevention via a new national NCD program. Blood services will be upgraded under a 2026–2030 program to achieve 100% hospital supply, launch domestic plasma-derived products, and adopt virus inactivation and irradiation for safety. Pharmaceutical reforms will recognize registrations aligned with WHO criteria, require bioequivalence for generics, tier device registration by risk, enable notification-based market entry, foster contract manufacturing and tech transfer, and modernize pharmacovigilance. Nurse training will be elevated through a new Professional Medical Academy with international certification.

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