TASHKENT, Uzbekistan, December 30. 2025 was a watershed moment for Uzbekistan, paving the way for economic growth and bolstering the nation’s stature in the region. The year ended with high growth rates, a record inflow of investments, and a notable strengthening of the energy sector, which became one of the key drivers of economic transformation. At the same time, Uzbekistan expanded international cooperation and improved its positions in global rankings, reinforcing confidence among foreign partners and investors.
According to President Shavkat Mirziyoyev, Uzbekistan’s gross domestic product exceeded $145 billion for the first time in history. For comparison, GDP was estimated at more than $121 billion at the end of 2024, indicating a significant acceleration in economic dynamics. Exports grew by 23% in 2025, while the volume of attracted foreign investments reached $43.1 billion, equivalent to nearly one-third of the country’s economy.
Importantly, accelerated growth came along with a slowdown in inflation. Inflation stood at 7.5% in January–November, significantly lower than in the same period of 2024 (11.1%). Annual inflation also stabilized at 7.5%, while the Central Bank expects it to be around 7.3% by year-end—well below earlier forecasts. The easing of inflationary pressure resulted from a more restrained monetary policy and improved conditions in the foreign exchange market. Throughout the year, the Uzbek soum strengthened against the US dollar, reducing pressure from imported prices and increasing the predictability of the macroeconomic environment.
One of the main drivers of growth in 2025 was a gold rush of investments. A total of $43.1 billion was attracted to the economy—one of the highest figures in Central Asia—Uzbekistan Emerges as a Leader in Investment and Energy Projects: 2025 Results reflecting growing confidence among international investors. A significant role was played by the upgrade of Uzbekistan’s sovereign credit rating from BB- to BB, which reduced the cost of external borrowing and eased debt servicing expenses. As a result, public finance resilience strengthened, and access to long-term capital sources expanded.
The landscape of investments has also shifted gears. The bulk of funds was directed to capital-intensive and infrastructure sectors—energy, transport, industry, and digital projects. The energy sector became the central element of economic transformation. Electricity generation reached 85 billion kilowatt-hours, almost one-third higher than in 2017. Over recent years, about $35 billion in foreign investment has been attracted to the sector, while new generating capacity increased by nearly 9,000 MW. A significant share of this growth came from solar and wind power plants, as well as hydropower, raising the share of green energy in installed capacity to around 30% in 2025.
Energy development was accompanied by modernization of grid infrastructure and the expansion of distributed generation. The installation of solar panels in the private sector and at social facilities helped increase electricity output and reduce pressure on the power system. At the same time, the energy breakthrough generated spillover effects for related industries. Local companies actively participated in the construction of power plants and grids, supplying materials, equipment, and engineering services. This creates a foundation for the emergence of national industrial companies and a gradual reduction of import dependence in infrastructure projects.
Foreign trade also showed positive dynamics in 2025. Over ten months, foreign trade turnover increased by 21.5% to $66.5 billion. Exports grew at a faster pace, exceeding $33 billion, while the negative trade balance narrowed. Rising gold prices and increased gold sales played a significant role in boosting export revenues, ensuring foreign currency inflows and the growth of international reserves. For the first time in history, Uzbekistan’s international assets exceeded $61 billion, with the value of gold in the Central Bank’s reserves surpassing $50 billion.
Simultaneously, a more sustainable shift took root in the export landscape. Exports of services, primarily tourism, grew significantly. The tourism sector expanded by about 1.5 times over the year, indicating gradual economic diversification and reduced reliance on raw materials. However, non-commodity industrial exports continue to grow at a moderate pace, highlighting persistent structural constraints and the need for further reforms.
Notable progress was also achieved in reducing the shadow economy. According to official estimates, its share declined from 45–50% to about 28% as a result of implemented measures. The expansion of cashless payments, digitalization of public services, and strengthened tax administration increased economic transparency and broadened the tax base. At the same time, authorities acknowledge that this progress represents only the first stage, with further reduction of the shadow sector remaining a key task for 2026.
In 2025, Uzbekistan also strengthened its international profile. The country made significant progress in the World Bank’s Technological Maturity Index, climbing 71 positions and entering the global top ten. This reflects advances in digitalization, the development of e-government services, and institutional reforms. At the same time, programs aimed at boosting productivity and efficiency, as well as initiatives to introduce Industry 4.0 technologies, were announced.
Uzbekistan’s regional and international standing also improved. The country hosted major international and regional events, including a session of the UNESCO General Conference and the Central Asia–EU Summit. A key milestone was the signing of a trilateral border agreement with Tajikistan and Kyrgyzstan, resolving a long-standing regional issue. Cooperation with the European Union was also expanded under the Enhanced Partnership and Cooperation framework, strengthening Uzbekistan’s role as a platform for regional dialogue.
At the same time, 2025 highlighted a number of unresolved challenges. Uzbekistan did not complete its accession to the World Trade Organization, with negotiations postponed to 2026. This continues to limit deeper integration into global value chains and constrains the growth potential of non-commodity exports. In addition, many investment projects remain long-term and capital-intensive, with their full impact expected to materialize only in the medium term. The economy also remains sensitive to external price fluctuations, particularly in global commodity markets.
Overall, the results of 2025 point to a qualitative shift in Uzbekistan’s economic model. The country has placed energy, infrastructure, and investment at the core of its growth strategy while strengthening macroeconomic stability and international positions. The reforms initiated in 2025 have the potential to lay the groundwork for long-term growth and improved living conditions if the current pace of reform is sustained and systemic obstacles are overcome, especially in international commerce and the elimination of the shadow economy.
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