Key developments and challenges

Uzbekistan’s economy continues to show strong growth. In 2011 the economy was reported to have grown by 8.3 per cent, driven by strong domestic demand and fiscal stimulus, including through the state industrialisation programme. To support further growth the government approved a number of sector development programmes for 2011-15.

The authorities announced a new privatisation programme for 2012-13. The new programme includes minority and majority stakes in almost 500 enterprises that will be offered to local and foreign investors via open public tenders.

The overall business environment remains difficult, notwithstanding the streamlining of a number of registration and licensing procedures. Firm registration and tax reporting procedures have been simplified and a significant number of licenses and permits have been abolished. At the same time, the overall business environment remains difficult and businesses remain constrained by foreign exchange restrictions.