President Shavkat Mirziyoyev approved the state program for the implementation of the Uzbekistan-2030 strategy on February 21, where several directions for the development of the country were presented such as the inauguration of six photovoltaic plans, circulation of green energy certificates, increasing GDP, and more.
Photovoltaic Power Plants:
In line with its commitment to renewable energy, Uzbekistan plans to inaugurate six large photovoltaic power plants across strategic regions including Tashkent, Kashkadarya, Bukhara, Namangan, and Navoi until the end of 2024. With a combined capacity of 2,700 MW, these facilities will significantly contribute to the nation's energy diversification efforts.
Green Energy Initiatives:
As part of the program, Uzbekistan aims to establish the market circulation of green energy certificates and formalize the procedure for trading carbon credits by April 1. Last year, the country secured a substantial investment of $46.3mn from the World Bank to support these initiatives, alongside comprehensive reforms in the energy sector.
Moreover, the Ministry of Economy and Finance, as well as the Ministry of Energy are tasked to gradually introduce a modern climate change monitoring, reporting, and verification (MRV) system and database from April 1, 2024.
Key Objectives and Investments:
The state program outlines several key objectives, including a target to increase GDP by at least 6% by the end of the year, while simultaneously maintaining inflation below 9% and the budget deficit under 4%. Additionally, Uzbekistan aims to launch over 300 large-scale investment projects valued at $18bn, with investment constituting at least 30% of GDP.
Financial Allocations:
To support economic growth and development, Uzbekistan plans to allocate UZS 275 trillion ($21.9bn) for lending to various sectors, including UZS 41 trillion ($3.3bn) designated for microfinance services. Moreover, efforts will be made to reduce interest rates on bank loans by 2-3% through market mechanisms.
Regulatory Reforms:
Commencing March 1, the Customs Committee will assume responsibilities for quarantine, sanitary-epidemiological, and veterinary control over food products at border customs posts. This administrative restructuring aims to streamline processes and enhance efficiency in border control measures.
Textile Industry Support:
Furthermore, Uzbekistan extends the zero customs duties on fabrics made from linen, synthetic fibers, glass fiber, and other materials for the textile industry until January 1, 2027. This extension underscores the government's commitment to supporting key sectors and fostering economic growth.
Follow Daryo's official Instagram and Twitter pages to keep current on world news.
Comments (0)