(MENAFN- Trend News Agency)
The Central Asian country plans to increase its export
of IT services to $5 billion by 2030 (compared to $344 million in
2023). A special economic zone, IT Park, has already attracted
over 400 foreign firms to base themselves there thanks to
attractive policies implemented by the Uzbekistan
Government. The Ministry of Digital Technologies and IT Park of
Uzbekistan jointly hosted their first US event this week to attract
more American companies to outsource their IT needs to the
country.
Uzbekistan is planning to become the world's IT outsourcing hub,
displacing traditional locations India and China, delegates heard
at the first Uzbekistan Outsourcing Conference on 7 March in New
York.
In India, escalating labor costs and high levels of employee
churn are eroding its competitive edge while China's outsourcing
landscape is fraught with regulatory complexities and intellectual
property concerns, casting a shadow of uncertainty over foreign
investments.
In contrast, Uzbekistan offers a stable and welcoming
environment, underpinned by a supportive government and a
burgeoning tech workforce. Its strategic location, competitive
labour costs, and proactive business incentives present an
attractive proposition for foreign companies seeking to optimize
costs and access top-tier talent. Uzbekistan plans to boost the
export of IT services to $5 billion by 2030 (compared to $344
million in 2023).
The event, jointly hosted by The Ministry of Digital
Technologies and special economic zone IT Park of Uzbekistan,
outlined to an array of US firms the special incentives
Uzbekistan's government has put into place that have already
attracted more than 400 foreign firms to IT Park.
International companies already based at IT park include Esokia,
Optimo, AMCBridge, Dyninno, Vention, Gcore, and Reasunta
Technology.
Minister of Digital Technologies of Uzbekistan Sherzod Shermatov
said“We are pleased to continue strengthening our cooperation
with the technology sector of the United States and present the
unique opportunities offered by our country. Uzbekistan is fast
positioning itself as a reliable partner ready to compete with
recognized IT hubs such as .
Alongside the comprehensive support we have introduced, our
main asset is out educated and talented youth. Of a population of
Uzbekistan's population of 36 million, 60% are young people with an
average age of 29. We already have more than 1800 companies at IT
Park, and we look forward to welcoming new US companies.
Incentives already being offered to foreign companies who choose
to base their IT outsourcing needs at IT Park include exemption
from corporation and social tax (up to 25%), 7.5% income tax (as
opposed to 12%) and a VAT waiver on import or services.
In 2024, the Uzbekistan government also launched "Enterprise
Uzbekistan", a special legal regime designed to further encourage
digital innovation and R&D.
Key areas covered include customs and taxation, labour
relations, finance and banking, data use and protection,
intellectual property protection, and the resolution of commercial
and civil disputes.
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