Uzbekistan has undergone a period of profound economic transformation since the initiation of widespread reforms in 2017. Data comparing the current landscape to 2016 reveals a significant expansion, with nominal GDP rising from approximately €21 billion to roughly €130 billion. During the same period, exports grew from €2.3 billion to an estimated €28.5 billion. This progress is reflected in the country’s global standing, as Uzbekistan climbed 66 places in the Index of Economic Freedom between 2018 and 2026.
Francis Malige, Managing Director and Head of the Financial Institutions Business Group at the European Bank for Reconstruction and Development (EBRD), attributes this success to sustained investor confidence built over several years. According to Malige, the country’s appeal stems from its young, growing population, entrepreneurial spirit, and overall dynamism, confirming that the reforms are moving in the right direction.
The Ministry of Economy and Finance reports that the number of enterprises with foreign capital more than doubled in five years, growing from about 9,000 in 2020 to nearly 20,000 by mid-2026. Small business investment also saw a massive surge, climbing from €1.5 billion in 2016 to €25.5 billion in 2025, while start-up funding reached a record €290 million last year. Saidislom Saidkhonov, a department head at the Ministry, noted that the structure of the economy has become increasingly diversified. He highlighted that all sectors are expanding, with services and construction leading overall economic growth. Furthermore, he noted that foreign direct investment has increased significantly, while special economic zones, technoparks, and industrial clusters are successfully channeling private investment into manufacturing and agro-processing.
Entrepreneurship has also shown increased resilience, with more than 1.24 million businesses operating in Uzbekistan by the middle of 2026, which is around 55,000 more than at the beginning of the year. The exporter base has expanded to nearly 6,000 companies, with small businesses now accounting for over 42% of total exports. Government data further indicates a shift toward more established entities, with a rising number of profit-tax-paying companies and a growth in businesses operating for more than ten years. Medium-sized enterprises employing between 11 and 99 workers have also expanded, suggesting that growth is spreading beyond microbusinesses.
To ensure that growth improves living standards, the government has focused heavily on employment, labor-market formalization, and household incomes. Marat Jurayev, First Deputy Minister of Poverty Reduction and Employment, stated that programs and research aimed at reducing informal employment and expanding entrepreneurship are intended to improve both the quality and quantity of jobs. He noted that over nine million people have been lifted out of poverty, with an ambitious goal to eliminate absolute poverty in the near future.
Legislative changes have also expanded economic participation for women. Akiko Fujii, Resident Representative of the United Nations Development Programme (UNDP) in Uzbekistan, highlighted that new laws have introduced equal pay for work of equal value and removed previous employment restrictions in a number of industries, shifting the opportunity landscape for women dramatically.
For many households and businesses, the most visible impact of economic reform has been in the financial system. Since the liberalization of the foreign exchange market in 2017, the country has introduced a unified exchange rate, expanded currency convertibility, and moved toward a more flexible exchange-rate regime. The IMF now classifies Uzbekistan's exchange-rate system as floating. According to the Central Bank, the number of businesses carrying out foreign exchange operations rose from around 29,000 in 2019 to approximately 90,000 by the end of 2025. Fayoz Gafurov, Head of the Monetary Operations Department, stated that this reflects a more developed financial market, noting that the number of businesses conducting foreign exchange operations has more than tripled. He added that improvements in market infrastructure and conditions for participants have contributed to a more flexible exchange-rate environment.
Financial reforms have also changed how consumers pay for goods and services as digital payment infrastructure expands. Djamshid Usmanov, Director of the Central Bank's Payment Systems Development Department, noted that one of the flagship projects has been the introduction of a universal QR-code system. This system allows new digital services to be tested efficiently while creating greater competition and improving services for the public. As the nation pursues its next stage of growth, the focus is shifting from the pace of expansion to how consistently those reforms translate into stronger businesses, better jobs, and broader economic opportunities.
Recent government data point to a gradual shift towards more established businesses. The number of profit-tax-paying companies has continued to rise, while businesses operating for more than ten years have increased. Medium-sized enterprises employing between 11 and 99 workers have also expanded, suggesting growth is spreading beyond microbusinesses.
