Uzbekistan's Investment-Led Growth Shows Strong Momentum, EDB Says

2025-09-19 12:05:51

(MENAFN- Trend News Agency) TASHKENT, Uzbekistan, September 19. Uzbekistan's GDP grew by 7.2 percent year-on-year in the period from January through June 2025, compared to the same period last year (6.6 percent).

The data obtained by Trend from the EDB report indicates that the economic growth was driven by positive dynamics in key sectors. Industrial output increased by 6.6 percent year-on-year, agriculture grew by 4.0 percent, and construction expanded by 10.7 percent amid active implementation of infrastructure and housing projects.

The volume of services provided rose by 13.3 percent year-on-year in the first half of 2025. Retail turnover also demonstrated solid growth of 9.7 percent year-on-year, reflecting stronger consumer demand. The rapid expansion in services and trade was supported by a 9.5 percent increase in household incomes from January through June 2025, alongside the ongoing digitalization of the economy. Consumers are increasingly shifting to cashless payments and online services, which is expanding the market for financial, telecommunications, and other paid services. As a result, domestic demand, particularly in the services sector, remains a key driver of economic growth.

Gross fixed capital investment increased by 5.5 percent year-on-year in the first half of 2025. Although investment growth has slowed compared to the high level recorded a year ago (+36.6 percent year-on-year in H1 2024), the current figure indicates the continuation of an active phase in the investment cycle.

The majority of capital investments were funded from non-budgetary sources: enterprise own funds (16.1 percent of total investment), household contributions (6.3 percent ), and foreign direct investment (40.2 percent). This reflects improving conditions for private businesses and investors.

Government investment also remains significant (9.7 percent of total), focusing primarily on infrastructure and social sectors. Maintaining positive investment dynamics is a crucial factor in supporting the country's long-term economic growth.

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