The World Bank has issued a recommendation to Uzbekistan regarding the necessity of comprehensive modernization of the country's logistics sector. The goal of these measures is to reduce transportation costs, eliminate the shortage of modern warehouse facilities, and increase Uzbekistan's attractiveness for private investment.
These recommendations are outlined in a new report by the World Bank Group titled 'Diagnosis of Uzbekistan's Private Sector.' According to this report, Uzbekistan's strategic position along the Eurasian Middle Corridor, connecting China and Europe, opens up significant opportunities for the development of international logistics. In 2022, the volume of international road freight reached 12.2 million tons, with a projected growth to 20 million tons by 2030.
Nevertheless, the existing infrastructure is not keeping pace with the growing demand. The World Bank estimates that logistics costs in Uzbekistan are 15%–25% higher than on leading Eurasian transport routes, and the shortage of Class A warehouse space is about 90%.
To enhance sector efficiency, the World Bank proposes implementing a certified carrier system, fully digitizing the issuance of permits for international road transport through the Dozvol system, and creating a unified mechanism for obtaining land plots and construction permits for warehouse infrastructure. The report authors note that implementing these steps could attract over one billion dollars in private investment and create approximately 110,000 new jobs, thereby strengthening Uzbekistan's position as one of Eurasia's key transport and logistics hubs.
Representatives from Uzbekistan and Poland held discussions on the potential creation of a logistics center in Poland. The goal of this project is to simplify the delivery of Uzbek products to the markets of the European Union and other international destinations.
The negotiations took place as part of a business mission of the delegation of Uzbekistan to Poland. The meeting was attended by Davron Vakhabov, Chairman of the Chamber of Commerce and Industry of Uzbekistan, Amirsaid Azamkhodzhayev, Honorary and Plenipotentiary Ambassador of Uzbekistan to Poland, and Michał Kaminski, Deputy Marshal of the Senate of Poland.
The parties discussed prospects for deepening trade and economic ties, expanding investment cooperation, and strengthening contacts between the business communities of the two countries.
One of the key issues raised at the meeting was the creation of a logistics center that should improve the supply process of Uzbek goods to the European market. Participants emphasized that this initiative will increase export opportunities for Uzbek producers, accelerate product distribution, and open new supply routes.
At the conclusion of the meeting, all parties confirmed their readiness to continue practical work on the implementation of the project, strengthen ties between business communities, and promote joint initiatives.
The President of Uzbekistan, Shavkat Mirziyoyev, reviewed a presentation dedicated to implementing a unified integrated digital platform for public administration, developing the startup ecosystem, and optimizing the telecommunications environment.
During the event, an initiative was presented to create its own national navigation system. It was noted that the country currently relies heavily on foreign navigation platforms. The proposed national system will allow for the generation of geospatial data based on a single standard, which will increase efficiency in the fields of transport, logistics, emergency services, urban planning, and the provision of public services.
The presentation also included plans to expand the export of IT services and support the startup ecosystem. The government aims to increase the volume of IT service exports to 5 billion US dollars by 2030, support 5 thousand active startups, and attract investments amounting to 2 billion dollars.
To accelerate industrial growth, it was proposed to launch the 'Talent Hub' program, which will allow foreign specialists and investors to remotely register a company, open a bank account, and obtain an international bank card. Furthermore, it was suggested to extend tax benefits for employees of companies registered in the IT Park until 2040, as well as expand the scope of the IT Visa and Zero Risk programs.
Additional mechanisms for supporting IT service exporters were also provided. Specifically, proposals include partial compensation for salary-related expenses, coverage of relocation costs for foreign clients and specialists, and costs associated with obtaining international certification. Among the initiatives presented were plans to launch over 20 acceleration programs in Bukhara and Fergana aimed at growing startups and entering international markets.
At the conclusion of the presentation, the President approved the submitted proposals and instructed relevant agencies to ensure the integration of public data, improve the quality of digital services, strengthen cybersecurity and personal data protection, and create more favorable conditions for the growth of the private sector in the IT industry.
