BAKU, Azerbaijan, July 14. Uzbekistan plans to overhaul pension system with new state-backed savings incentives, the press service of the Uzbek president says.
The initiative was discussed during President Shavkat Mirziyoyev's review of a comprehensive strategic reform package designed to modernize the national pension system by introducing state-backed matching funds for private savings and adjusting long-term benefit calculations.
The targeted structural shift focuses on developing robust funded, private, and corporate pension models to generate sustainable, long-term capital for the national economy while elevating retirement security. Under the proposed framework, the state will introduce an co-financing mechanism where citizens earning up to 7.6 million soms ($629) monthly who contribute 5% of their income to personal funded accounts will receive an additional 2.5% match from state funds.
For higher earners, 1% of their paid social tax will be routed directly into their personal retirement accounts. To ensure broader social equity, the government will phase out the restrictive five-year salary history limit, extending the earnings calculation period to 20 years while systematically raising the maximum salary cap used for baseline pension assessments to 6.6 million soms ($546.89) by 2027.
"The heads of responsible agencies were instructed to thoroughly study advanced foreign experience and submit a draft law on the creation of private and corporate pension systems," the press service stated.
Meanwhile, official statistical report, published by the Central Bank of Uzbekistan, shows that perceived inflation among Uzbekistan’s population declined in May, with respondents estimating annual price growth at 10.3%, down from the previous month.
"According to the results of a survey conducted at the end of May 2026, household inflation expectations decreased compared to the previous month, registering 10.3%." the statement said.
The findings reflect how consumers assess changes in the cost of living based on their everyday spending experiences.
Among demographic groups, pensioners reported the highest perceived inflation at 13%, while students recorded the lowest rate at 8.9%.
