Here's a comprehensive overview of Uzbekistan's economy, investment climate, and business environment — drawing from the latest data available as of early 2026.
Uzbekistan is a rapidly developing lower-middle-income economy in Central Asia that sees foreign direct investment as crucial to its development goals, which include eradicating poverty and achieving high middle-income country status by 2030.
The country has maintained average GDP growth of 6.4% from 2000 to 2023, outperforming many lower-middle-income peers. That momentum has only accelerated recently.
Real GDP rose by 7.6% year-over-year in the first three quarters of 2025, driven by strong investment and household consumption. GDP growth is expected to exceed 7% for the full year and remain robust at around 6% in 2026.
The economy became more diversified in 2025. Construction output rose by 14.2%, market services expanded by 14.7%, industrial production grew by 6.8%, and agriculture by 4.4%. Inflation slowed to 7.3% — one of the lowest levels in nine years. Real household incomes rose by 9.2%, and unemployment declined to 4.9%.
Uzbekistan's exports increased by 23% in 2025, reaching around $33.8 billion, despite slower global trade growth. According to the World Bank, Uzbekistan is projected to rank among the three fastest-growing developing economies in the Europe and Central Asia region in 2026.
Foreign investment inflows reached €39.7 billion in 2025, while total investment accounted for 31.9% of GDP. Over the past nine years, Uzbekistan has attracted around €120 billion in foreign investment, compared with just €4.1 billion in 2017.
New investments are being directed mainly toward technology transfer, export-oriented production, energy efficiency, and workforce training.
Since President Mirziyoyev came to power in 2016, Uzbekistan has undertaken sweeping liberalization. Key achievements include liberalization of the foreign exchange regime, adoption of modern investment legislation, judicial reforms, and enhanced e-government services. Strategic frameworks such as the Uzbekistan Strategy 2030 and the 2022–2026 Development Plan guide reform efforts.
In only five years, Uzbekistan completely restructured the legal framework on investment, adopting the Law on Investment and Investment Activity (2019), the Law on Public-Private Partnerships (2019), and the Law on Special Economic Zones (2020).
The government has created over 750 Small Industrial Zones and 24 Free Economic Zones, as well as other special business facilitation territories across all regions. The introduction of one-window and online registration practices and electronic reporting systems has simplified and streamlined business registration procedures.
Minerals and mining are important economic sectors. Uzbekistan is the world's seventh-largest gold producer, mining about 80 tons per year, and holds the fourth-largest gold reserves in the world. The country also has significant natural gas, copper, lead, zinc, tungsten, and uranium reserves.
Other important sectors include textiles and cotton (with international bans on Uzbek cotton having been lifted in 2022), agriculture, construction, and a rapidly growing services sector.
About 45% of SOEs were privatized by the end of 2023, including two commercial banks, chemical plants, food processing, manufacturing, and service companies. The government is now shifting its approach by offering sizable minority stakes in SOEs via public offerings on capital markets.
In the banking system, three large state-owned banks — Asakabank, SQB, and Alogabank — were actively working with international consultants to complete privatization by end-2025. As of March 2025, 36 commercial banks operate in Uzbekistan, and S&P, Fitch, and Moody's all rate Uzbekistan's banking sector as stable.
Foreign direct investment remains concentrated in capital-intensive sectors such as energy. Spillovers to the domestic economy are constrained by informality, regulatory uncertainty, and limited SME capacities.
The IMF notes that risks include procyclical spending of higher-than-budgeted revenues from gold, and pressures to expand directed and preferential lending programs, which could lead to overheating. Downside external risks include an uncertain global outlook, geopolitics, and commodity price volatility.
The banking sector remains vulnerable to potential economic shocks due to weak corporate governance, fast recent asset growth, and significant directed lending.
Uzbekistan is one of Central Asia's most dynamic reform stories. With a young and growing population of 38 million, strong GDP growth, an ambitious privatization agenda, and a government actively courting foreign capital, it offers real opportunities — particularly in energy, mining, agribusiness, textiles, logistics, and digital services. The business environment is improving rapidly, though navigating state-dominated sectors and regulatory uncertainty remains part of the landscape.
