Uzbekistan’s poverty rate falls to 6.8% with 2.1 pp drop in 1H25   

The announcement was made during a presentation focused on population employment, where President Shavkat Mirziyoyev was briefed on the country's progress in reducing poverty to 6.8%—a 2.1 percentage point drop in the first half of 2025—and on ongoing efforts to create jobs and strengthen the labor market.

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Uzbekistan's poverty rate has dropped to 6.8% as of July 1, 2025, marking a 2.1 percentage point decrease in the first half of the year, according to data presented at a meeting on employment and social policy chaired by President Shavkat Mirziyoyev.

Source: Presidential Press Service

 

The announcement was made during a presentation focused on population employment, where the president was briefed on the country’s progress in addressing poverty and creating job opportunities. According to the presidential press service, more than 3mn people were engaged in gainful employment between January and June 2025.

Officials noted that the system established to reduce poverty and the financial resources allocated toward these efforts are now yielding results. One of the key strategies has been the close involvement of banks in local communities, helping to create employment opportunities through access to financial tools and programs.

However, the presentation also addressed ongoing challenges in the labor market. It highlighted that vocational education often fails to meet the actual demands of the economy, resulting in a shortage of skilled personnel. In addition, current labor regulations and reporting requirements were said to hinder small businesses and create unnecessary obstacles for employers.

Source: Presidential Press Service

 

To address these issues, the government is preparing to overhaul its employment services. Under the new strategy, labor authorities will shift from a punitive to a service-oriented role. It is proposed to abolish penalties for employers who fail to submit mandatory job vacancy information or decline to hire referred candidates. This approach is expected to encourage transparency and improve the accuracy of labor market data.

As part of this reform, a special electronic platform has been developed to connect job seekers with real vacancies. The platform will be piloted in Tashkent and later expanded across the country. Through this system, employment agencies will receive truthful information directly from employers and help match them with suitable candidates. Employers will retain the final decision on hiring.

In addition, measures are being taken to strengthen the quality of vocational education. The government plans to involve private sector representatives in the operation of Vocational Skills Centers and to convert some of these into specialized institutions. The development of free online video lessons and the introduction of a "vocational voucher" program will provide more opportunities for working citizens to gain new skills or retrain.

Source: Presidential Press Service

 

President Mirziyoyev emphasized during the presentation that training qualified personnel is essential for reducing both unemployment and poverty. He called for a transformation of vocational education into a three-tier system to ensure better alignment with the needs of the labor market.

The Ministry of Employment previously reported a steady decline in the poverty rate, which fell from 17% in 2021 to 11% in 2023. By the end of 2024, the rate had dropped further to 8.9%, with 719,000 people lifted out of poverty in just one year. The most significant improvements were recorded in the regions of Bukhara (from 11.8% to 8.7%), Samarkand (from 10.5% to 7.5%), Namangan (from 10.4% to 7.6%), and the Republic of Karakalpakstan (from 13.6% to 10.8%).

Looking ahead, the government has set a goal of reducing the poverty rate by another 7 percentage points by the end of 2026, signaling its continued commitment to improving living standards across the country.

 

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