Today.Az » World news » Uzbekistan becomes leader in inflow of foreign investments among Central Asian countries
27 August 2021 [13:35] - Today.Az
As of 2021, the amount of accumulated investments during the pandemic and crisis in the countries of Central Asia increased by 6.7 percent while the largest growth in accumulated foreign investment is observed in Uzbekistan (+ 29.8 percent), Trend reports citing Uzbek media.
In Kazakhstan, the growth was only 3.6 percent and 1.6 percent in Tajikistan.
According to experts, in the pre-crisis period, the amount of foreign investments in the country increased by 2.3 times and amounted to $ 4.2 billion.
The World Bank predicts that the global economy will expand by 5.6 percent in 2021, following a 3.5 percent decline in 2020. In Central Asian countries, economy growth is projected by 3.7 percent per year.
The largest economic growth is forecasted for Uzbekistan (+ 4.8 percent) and Tajikistan (+ 5.3 percent).
According to experts from international institutional companies, attracting investment is a key factor in economic recovery after the crisis in Central Asia.
So, in the "pre-coronavirus" 2019, Uzbekistan became the leader in the growth of the inflow of foreign investment. Over the year, the amount of foreign investment increased immediately by 2.3 times and amounted to $4.2 billion. Investors in Uzbekistan are attracted by the oil refining, oil production and chemical industries. The greatest interest was shown by China, Germany, the USA, Russia.
It was also noted that unprecedented measures are being taken in Uzbekistan to further form a favorable investment climate and increase investment attractiveness, which contribute to an increase in the inflow of foreign investment. These measures allowed the country to improve its position in the international ranking of ease of doing business Doing business: in 2020, Uzbekistan rose by 7 positions and took 69th place, which is one of the best indicators in the region.
The rating notes that Uzbekistan has made great strides in improving at least four main indicators.
For example, Uzbekistan has strengthened the protection of minority investors by increasing the rights of shareholders and their role in major corporate decisions, clarifying ownership structures and increasing corporate transparency. They also simplified the payment of taxes by combining the two types, and stimulated cross-border trade by introducing risk-based checks and simplifying the requirements for import documents.
At the same time, Kazakhstan improved its position in the rating from 28th to 25th place - this is the best result in the region, although the country is inferior to Uzbekistan in terms of the speed of development and attraction of investments.