Migrant workers sent $3.3bn to Uzbekistan in the first quarter of 2025, marking an $800mn increase compared to the same period in 2024, the Central Bank of Uzbekistan reported in its latest Monetary Policy Review.
This represents an annual growth rate of nearly 32%, driven by stronger currencies among major trading partners and rising labor migration to higher-income countries. According to the Central Bank, the surge in remittances remains a key factor in the volatility of income growth in the country.
In addition to external inflows, domestic economic indicators showed improvement. Average nominal wages grew by 18% in the first quarter, with sectors such as communications, finance, and insurance outpacing the national average. Meanwhile, wage growth in education, transportation, and storage remained close to the average.
The combined effects of rising remittances and increased wages boosted real income across the population. Real household income grew by 9.8% in the first quarter, while per capita income rose by 7.6% compared to the same period last year.
The labor market also showed positive signs. Job vacancies increased, particularly in retail and services, and job seeker activity remained high. According to the Central Bank’s review, this labor market trend, along with sustained growth in housing transactions since late 2024, reflects improving economic activity.
The World Bank has previously emphasized the critical role of remittances in Uzbekistan’s economy. In a 2024 study, it noted that remittances accounted for 14% of the country’s GDP. Without them, the national poverty rate could have risen from 9.6% to 16.8%.
Labor migration continues to serve as a financial lifeline for millions in Central Asia. In 2024, Uzbekistan received $14.8bn in remittances — a $3.4bn increase from the previous year. Russia remained the largest source, contributing $11.5bn (77% of total remittances), followed by Kazakhstan ($795mn), the United States ($577 mn), South Korea ($534mn), Turkey ($405mn), and the United Kingdom ($135mn).
Follow Daryo's official Instagram and Twitter pages to keep current on world news.
Comments (0)