Overall Economic Context
In 2025, Uzbekistan’s economy continues to demonstrate solid growth, directly supporting a favorable investment climate. According to the International Monetary Fund (IMF), real GDP growth reached 6.5% in 2024, accelerating to 6.8% year-on-year in the first quarter of 2025, reflecting strong domestic demand and sustained economic activity. www.imf.org
Inflation remains broadly under control: as of April 2025, annual inflation stood at approximately 10.1% and has been gradually easing as a result of ongoing macroeconomic policies. uz.kursiv.media
GDP growth forecasts from various analytical agencies remain positive, with experts from different financial institutions expecting around 6.7% economic growth in 2025. www.upl.uz
Foreign Direct Investment (FDI) Inflows
Capital inflows remain one of the key indicators of the investment climate. In 2024, foreign direct investment (FDI) into Uzbekistan increased by 53.6%, reaching USD 11.9 billion, while the share of FDI in GDP rose to 10.3%.www.kun.uz
In addition, investment in fixed capital grew by 27.6% year-on-year, indicating increased activity from both international and domestic investors. monitor.kun.uz
Priority Sectors for Investment
In 2025, strong investor interest continues in the following sectors:
- Industry and manufacturing — production modernization and export-oriented projects.
- Agro-industrial complex — expansion of agricultural processing and logistics.
- Tourism and hospitality — robust growth in tourist arrivals and related infrastructure.
- Infrastructure projects — transport, energy, and logistics (public and private initiatives).
These sectors are a core focus of the National Development Strategy through 2030, which aims to enhance productivity and export capacity.
Government Support and Regulatory Measures
In 2025, Uzbekistan continues to offer investors a wide range of incentives, including:
- Tax incentives and preferential regimes — stable benefits for new projects and strategic investments.
- Free economic zones (FEZs) and industrial parks — reduced tax rates and customs preferences, developed infrastructure, and access to logistics.
- Legal guarantees for foreign investors — protection of capital and the right to repatriate profits.
In addition, the authorities announced the creation of a tax-free zone for artificial intelligence and data center projects (in Karakalpakstan). Companies investing at least USD 100 million will be exempt from taxes and duties until 2040. www.reuters.com.
Legal Environment and Risks
The legal framework continues to evolve, with simplified business registration procedures and strengthened investor protection mechanisms, making the market environment more predictable and transparent.
Nevertheless, investors should consider certain risks:
- Potential regulatory changes and the need for ongoing legal monitoring.
- Increasing competition in priority sectors.
- Local business practices and market specifics.
Conclusion for Investors
Uzbekistan’s investment climate in 2025 remains one of the most attractive in Central Asia due to:
— Forecast GDP growth of approximately 6.5–6.8%. www.imf.org
— Strong growth in foreign direct investment (+53.6%, USD 11.9 billion). www.kun.uz
— Systematic government support and tax incentives.
— Continued improvements in the legal and regulatory environment.
Compared with other countries in the region, Uzbekistan demonstrates sustained momentum and continues to strengthen its position as an attractive investment jurisdiction. This makes the country particularly appealing for long-term strategic investments, provided that investors carefully consider local market specifics and plan their market entry thoroughly.