The challenges facing Uzbekistan's economy largely stem from the Central Bank's failure to maintain a neutral regulatory stance, according to economist Abdulla Abdukadirov. In a recent discussion on Otabek Bakirov's "Dialogue" project on YouTube, Abdukadirov highlighted the Central Bank's involvement in the securities and deposit markets as a significant concern.
Abdukadirov argued that the Central Bank should refrain from participating in these markets. "Many of the problems in our economy originate from the Central Bank's inability to pursue a neutral regulatory policy. Ideally, the Central Bank should not be involved in the securities and deposit markets. However, our Central Bank operates in both markets and does so as a player with the authority to set market rules. Essentially, it dictates the market price," he said.
Abdukadirov, who serves as the First Deputy Director of the Agency for Strategic Reforms, further emphasized the need for the state to prioritize either national economic growth or financial stability, especially at critical stages of economic development. He noted that Uzbekistan has been following a financial stability policy for the past seven years, yet he questioned its effectiveness. "In my view, there is no financial stability today. The primary indicators for me are the rising public spending and increasing foreign debt."
In the same interview, Abdukadirov expressed concern over the growing allocation of state budget funds for pensions in Uzbekistan each year. He suggested that transitioning to a funded pension system could alleviate some of these pressures.
Follow Daryo's official Instagram and Twitter pages to keep current on world news.
Comments (0)