(MENAFN- AzerNews) The European Bank for Reconstruction and Development is
maintaining its 2023-2024 economic growth forecast for Uzbekistan
at 6.5%, the September edition of the bank's Regional Economic
Prospects says, Azernews reports, citing
Interfax.
Uzbekistan's GDP growth will be supported by strong domestic
demand, fueled by an increase in nominal wages and lending volumes,
the EBRD said.
"In H1 2023, the country's economy grew 5.6%. Increased external
demand contributed to the growth of the country's exports (31%
YoY). However, in H1 of 2023, remittances decreased (21.5%), though
from a rather elevated level. Nevertheless, domestic demand was
supported by a 21.9% year-on-year increase in nominal wages in Q2
and strong credit growth," the survey said.
Growth in the retail trade sector in the first half of the year
reached 6.9%, the bank said. Other sectors showing growth were
industry at 5.6%, construction at 4.8%, services at 12.3%, and
agriculture, with a 3.8% increase.
Inflation, after peaking in July 2022, slowed to 9% in June
2023, reflecting global trends and a tight monetary policy.
"From the end of 2022 to July 2023, Uzbekistan's international
reserves fell 5.7% but remain generally adequate. GDP growth is
expected to reach 6.5% in 2023 and 2024. Well-managed IPOs and
privatizations could improve the outlook. However, a further
decline in remittances is a key downside risk in the short term. In
the long term, the country's development is hampered by
deteriorating infrastructure and problems with its water supply,"
the review says.
Uzbekistan's GDP increased 5.7% in 2022.
The country's Central Bank forecasts GDP growth in 2023 will be
5%-6%.
MENAFN28092023000195011045ID1107156543
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.