Uzbekistan reported capital investments totalling UZS 107.1 trillion ($8.5 bn) in 1Q24. This amount represents a 174.5% increase compared to 1Q23, illustrating a substantial rise in economic activities within the country, Invexi reports. The majority of the investments, amounting to UZS 81.3 trillion ($6.4 bn) or 75.9% of the total, were sourced through active investment strategies and the mobilization of external financial resources.
The remaining 24.1%, or UZS 25.8 trillion (over $2 bn), came from the internal funds of enterprises, organizations, and individuals, reflecting confidence in Uzbekistan’s economic environment.
Investments were financed through both centralized and decentralized sources. Centralized funding accounted for UZS 7.6 trillion (almost $601 mn), while decentralized sources contributed UZS 99.5 trillion ($7.9 bn), indicating a broad support base for investment activities across the country.
Investment volumes have shown variability but general growth over the past five years. Following a peak growth rate of 104.6% in 2020, there was a slight decline to 97.8% in 2021, with a subsequent recovery to 115.2% in 2022 and a further increase to 174.5% in 2024. Foreign direct investment saw the most substantial increase, rising by 258.0% compared to the same period in 2023.
- Investments from enterprises and organizations' funds were UZS 18.8 trillion ($1.5 bn), or 17.6% of the total.
- Contributions from the population amounted to UZS 6.9 trillion ($545.6 mn), or 6.5%.
- Foreign direct investments significantly increased, totalling UZS 33.3 trillion ($2.6 bn) or 31.1% of the investments.
- Additional funding sources included bank loans and both secured and unsecured foreign loans, alongside various developmental funds.
Of the total investments, UZS 54.5 trillion were allocated for the acquisition of machinery, equipment, and inventory, making up 50.9% of the total. Construction and installation work received UZS 42.7 trillion ($4.3 bn), and other expenses totalled UZS 9.8 trillion ($775 mn).
New construction received UZS 66.5 trillion ($5.2 bn), accounting for 62.1% of total investments. Additionally, UZS 25.5 trillion ($1.1 bn) was directed towards the expansion, reconstruction, modernization, and technical re-equipment of existing facilities.
The manufacturing industry was the primary recipient of foreign investments and loans, receiving UZS 27.5 trillion ($2.1 bn) or 37.3% of such funds. The electricity and gas supply sectors were also notable recipients, securing UZS 14.1 trillion ($1.1 bn) or 19.1% of the total foreign investments and loans.
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