AGP Executive Report

Turkistan Summit Momentum: Leaders of the Turkic world met in Turkistan under “AI and Digital Development,” pushing a digital integration agenda that’s moving from speeches to practical cooperation. Islamic Finance Push: Tashkent is set to host the 5th CIS Islamic banking & finance forum on July 9, positioning Islamic finance as a growth engine for sustainable investment across the region. Trade & Market Expansion: Uzbek ice cream maker ICE AND GOLD is targeting Europe after a 75% production growth surge, with plans to debut at Italy’s TuttoFood Milano. Regional Connectivity: Uzbekistan and Afghanistan discussed faster transit via the Hairatan port, focusing on smoother procedures and better logistics for entrepreneurs. Agriculture & Tax Reform: Uzbekistan will bring 938,000 hectares of rainfed and pasture land into use with auction-based private participation and support financing, while expanding the zero-VAT list for farm products. Energy Transition: Central Asia’s renewables kept climbing in 2025, and Uzbekistan energy officials joined low-carbon seminars in China.

Agriculture Push: President Mirziyoyev signed a decree to bring 938,000 hectares of rainfed and pasture land into use, with $300m in support and auction-based private access to loans. Tax Incentives: Uzbekistan expanded its zero VAT list for farm products, adding 14 categories to make agricultural sales more favorable. Trade & Transit: Uzbekistan and Afghanistan discussed faster cargo transit via the Hairatan port, focusing on simplified import/export procedures and better port operations. Energy & Industry Safety: Uzbekistan and ROSEN agreed to strengthen oil and gas infrastructure safety through risk-based inspections and international standards. Textiles Digital Upgrade: Uztextileprom and a Chinese firm signed an MoU to modernize Uzbekistan’s textile sector with automation and digital pilots. Logistics Hardware: Uzbekistan is set to receive three TEM9 shunting locomotives to modernize industrial rail transport. Regional Integration: Uzbekistan presented investment potential in Shanghai, pitching cooperation in logistics, green energy, textiles, agro-industry and IT.

Tourism Push: Uzbekistan is rolling out a new tourism model built around infrastructure, with the sector’s targets set to lift tourism’s GDP share to 7%, reach 20m foreign visitors, and push service exports above $6bn by 2030. Turkic Digital Integration: At the OTS summit in Turkistan, leaders doubled down on digital passports, digital IDs, and deeper customs/logistics digitization—positioning tech as the next integration engine rather than politics. Aviation Link: Etihad is set to codeshare with Uzbekistan Airways, extending Abu Dhabi’s reach into Uzbek cities from August, tightening UAE–Uzbek air connectivity. Industry on the Ground: Ferghana is courting Chinese tech for robotics and farm drones, while Tashkent’s Sergeli car market is installing 24/7 digital monitoring to digitize trading and improve security. Regional Diplomacy: Uzbekistan’s FM Bakhtiyor Saidov praised Pakistan’s mediation role in Middle East peace efforts in a call with Ishaq Dar.

Tourism Push: Uzbekistan is rolling out a new tourism model built around infrastructure, with the sector’s targets set to lift tourism’s GDP share to 7%, reach 20m foreign visitors, and push service exports above $6bn by 2030. Turkic Integration, Now Digital: At the OTS informal summit in Turkistan, leaders doubled down on the “Middle Corridor” and digital integration—electronic transit, customs simplification, and e-passports/digital IDs—while rejecting any idea that OTS is becoming a military bloc. Pakistan Mediation, Uzbek Praise: Uzbek FM Bakhtiyor Saidov praised Pakistan’s mediation role in Middle East peace talks in a call with Ishaq Dar, with both sides pledging close coordination. Regional Investment Talks: Ferghana Region met Chinese investors on housing, hotels, and education, and discussed high-tech agriculture with Fly Sky Technology (solar-panel cleaning robots and drone production). Industry Updates: AGMK commissioned the Kauldy gold processing plant in Almalyk, and Tashkent’s Sergeli car market is introducing 24/7 digital monitoring for vehicle flows and security. Policy Watch: Uzbekistan Senate plenary is set for 18 May, with bills spanning e-commerce, digital labeling, and protections for children and women.

Turkic Integration Push: At the OTS informal summit in Turkistan, President Mirziyoyev backed a Digital Turkic Corridor and a Turkic AI cooperation network, while leaders also launched the Turkic Civilization Center construction and toured the Khoja Ahmed Yasawi mausoleum—signaling a new phase of digital transformation and connectivity. Security Warning: Russia’s Shoigu told SCO meetings that Afghanistan remains a hub for terrorism and narcotics, citing 18,000–23,000 militants and warning of foreign-fighter flows, keeping regional risk on the agenda. Energy & Costs: Uzbekistan moved to raise electricity and gas tariffs from June, a direct hit to household and business operating costs. Transport & Trade Facilitation: Uzbekistan’s TRACECA role expanded as a single transit permit agreement was signed across corridor states, aiming to cut paperwork and speed cargo. Capital Markets: UzNIF’s $600m IPO (London plus Tashkent listing) marks a major step for Uzbekistan’s fundraising abroad.

Energy Pricing Shock: Uzbekistan will raise electricity and natural gas tariffs from 1 June 2026, lifting power rates for major consumer groups and keeping a differentiated household structure; gas pricing is set at 2,000 soums per cubic meter for most categories. Gas Output Push: Condor Energies says it topped 14,000 boe/d in April after connecting a new horizontal well, with May output averaging 14,042 boe/d. Capital Markets Move: White & Case backed UzNIF’s $600m IPO and dual listing in London and Tashkent—UzNIF’s fund holds strategic stakes across utilities, telecoms, energy, banking and transport. Regional Transport Leap: Uzbekistan’s transport deputy was elected TRACECA Secretary General, and member states signed a single transit permit agreement to cut paperwork and speed cargo along the corridor. Tech & Integration Drive: At the OTS summit in Turkestan, Uzbekistan pushed AI and digital initiatives, including a “Digital Turkic Corridor” and a cybersecurity alliance. Logistics Focus: Tashkent hosted “Logistics of the Future,” spotlighting automation, digital warehousing and cold-chain systems.

Energy Push: Uzbekistan has kicked off a new wave of power projects with AMEA Power under Uzbekistan Energy Week, starting a 150 MW (300 MWh) storage system in Mirzo-Ulugbek, planning a 200 MW (800 MWh) storage site in Gijduvan, and launching a 1,000 MW wind plant in Karakalpakstan with a 40 km transmission line. Renewables Record: On 13 May, solar and wind hit a new daily peak of 62.4 million kWh, with green power reaching 59% of total generation when hydropower is included. Agriculture Intensification: President Mirziyoyev ordered expansion of intensive orchards, targeting higher yields and profitability on limited land and water, with renewal needed for tens of thousands of hectares of outdated orchards. Industrial Tech: Uzbekneftegaz and Yokogawa Electric discussed industrial automation and digital control for oil and gas, while AGMK earned Copper Mark and Molybdenum Mark certifications. Market Signals: Uzbekistan sold 121,601 vehicles in Jan–Apr 2026, and used-car listings show EV and hybrid shares rising to 10% in April.

Energy Push: Uzbekistan kicked off a new wave of power projects at Uzbekistan Energy Week 2026, with AMEA Power launching a 150 MW/300 MWh storage system in Mirzo-Ulugbek, a 200 MW/800 MWh storage plan in Gijduvan, and a 1,000 MW wind plant in Karakalpakstan plus a 40 km transmission line. Renewables Record: On May 13, solar and wind hit a daily peak of 62.4 million kWh—36.0 from solar and 26.4 from wind—about 29% of total generation, lifting “green” power to 59% when hydropower is included. Gas & Industry Deals: Uzbekneftegaz met Condor Energies to boost gas output in the Gazli area, while Uzbekneftegaz and Sinosure discussed expanded export-credit financing for oil-and-gas modernization. Nuclear Ambition: Rosatom showcased an integrated nuclear plant concept in Tashkent, pitching a single-site setup that could cover up to 14% of electricity demand. Agriculture Upgrade: Mirziyoyev ordered expansion of intensive orchards and a shift toward higher yields and water-efficient farming.

Metro Upgrade: Uzbekistan approved a major Tashkent Metro expansion and modernization plan, aiming to lift daily ridership to 1.8 million by 2030, grow to 79 stations and 103 km of track, and cut train intervals to 1.5–3 minutes, with a longer 2027–2035 strategy to double the network. Energy Deals: Mirziyoyev met SOCAR and BP leadership at Energy Week, praising BP’s entry into the Ustyurt project and backing joint exploration, extraction and deep processing; separately, BP also moved into six Uzbekistan blocks via a 40% stake in a North Ustyurt PSA. Labor Migration: Uzbekistan and Saudi Arabia agreed to expand organized recruitment via a joint working group for healthcare, tourism, construction and engineering, with new training and qualification steps for Saudi skill-based visas. EV Boom: Electric vehicle imports surged nearly fourfold in early 2026—23,079 units in Jan–Apr worth $309.3m—signaling a fast shift in transport demand. Trade & Diplomacy: India and Uzbekistan held their 17th foreign office consultations in New Delhi, covering trade, investment, energy, technology and education.

Energy Deal Momentum: bp has officially joined the SOCAR-led North Ustyurt exploration push, buying 40% in six blocks (with Uzbekneftegaz and SOCAR holding 30% each), a clear signal that Uzbekistan’s investor drive is back in fossil-fuel growth mode. Green Transition Push: At Uzbekistan Energy Week, officials reiterated the target of renewables reaching a 54% share by 2026, with solar and wind already exceeding 5.5 GW and renewables at 30% in the mix. Public Transport Upgrade: Mirziyoyev approved plans to expand and modernize the Tashkent Metro—aiming for 1.8m daily riders by 2030, more stations, longer tracks, and safer platform screen doors at a pilot site. Governance & Digital Services: The UAE-backed “Eliminating Bureaucracy—2030” seminar kicked off, tied to Mirziyoyev’s digital administration push. Tax Crackdown: Uzbekistan’s Tax Committee tightened oversight of P2P transfers to curb hidden business income and reduce the shadow economy.

Oil & Gas Deal: bp has signed a Production Sharing Agreement for six North Ustyurt blocks (Boyterak, Terengquduq, Birqori, Kharoy, Qoraqalpoq, Qulboy), taking a 40% stake; SOCAR and Uzbekneftegaz will hold 30% each, with SOCAR as operator and seismic work already underway. Green Power Push: Uzbekistan, Azerbaijan and Kazakhstan are advancing a transregional Green Energy Corridor, aiming to expand renewable generation, upgrade cross-border transmission, and open routes for clean electricity exports. Energy Transition Drive: Uzbekistan Energy Week says the sector has pulled in about US$35bn in investment, added 9 GW of capacity, and is pushing renewables and storage as clean power rises toward 30% of the mix. Trade & Markets: Uzbekistan-Afghanistan trade deals have topped US$1.5bn, while UAE veterinary templates clear the way for Uzbek livestock exports. Business Climate: CERR reports steady improvement in Uzbekistan’s business climate index, supported by stronger real-sector conditions.

EU Sanctions Escalation: The EU rolled out its 20th Russia sanctions package, adding 46 more ships and banning EU entities from selling tankers to Russia—aimed at choking the “dark fleet” and tightening pressure on shipping, ports, and even parts of the financial system. Housing Stability Watch: Uzbekistan’s central bank says no sharp swings are expected in housing prices over the next 2–3 years, citing steady construction plans and mortgage product expansion. Trade Push: Tashkent and Mongolia are targeting $100m in annual trade after a forum in Tashkent, with deals spanning wool/cashmere processing, irrigation tech, and mining cooperation. UAE Market Access: The UAE approved veterinary certificate templates that open the door for Uzbek livestock and poultry exports, including eggs, chicks, poultry meat, and rabbit meat. Energy Momentum: Uzbekistan Energy Week highlighted about $35bn in energy investments, with renewables now around 30% of the power mix and solar/wind capacity expanding fast. Food Export Goal: Uzbekistan is aiming for $10bn in food exports by 2030, backed by food-safety reforms and regulatory modernization. Compliance & Enforcement: Eco Police found violations at a gas processing plant, ordering compensation of 10.834bn soums.

Cross-border Trade & Market Access: Uzbekistan’s livestock push gets a boost as the UAE approves veterinary and sanitary certificates for five product types, opening the door for Uzbek incubation eggs, day-old chicks, table eggs, and poultry and rabbit meat exports. EV Momentum: Uzbekistan’s car market keeps tilting greenward—EV imports in Jan–Apr 2026 jumped nearly fourfold to 23,079 vehicles worth $309.3m, while passenger car imports overall surged 137% year-on-year. Regional Deals: Afghanistan and Uzbekistan signed 13 investment and trade agreements worth over $100m in Kabul, while private-sector talks also produced 10 cooperation deals totaling $112m. Finance Outlook: Fitch says Islamic finance in Central Asia has real room to grow, but needs steady policy support and broader public confidence—Uzbekistan is among the countries building early foundations. Tech & Services: WINGIE expands its travel platform language support from 19 to 27, a reminder that regional digital services are racing to localize faster. Infrastructure & Risk: Tashkent reported localized flooding after heavy rain, with officials pointing to drainage capacity limits and sudden downpours.

EV Boom in Uzbekistan: Imports of electric vehicles surged nearly fourfold in early 2026—23,079 EVs worth $309.3m in Jan–Apr, while passenger-car imports overall jumped 137% to $508.3m, reshaping the market toward EVs and fast-growing hybrids. Construction Crackdown: Tashkent is also dealing with fallout from weak oversight—authorities say inspections found 3,791 illegal construction projects, pushing a new push for electronic alerts and tighter enforcement. Flood Risk in the Capital: Heavy rain triggered localized flooding across eight districts after 35mm fell in under two hours, overwhelming drainage capacity. ADB Backing Development: The Asian Development Bank signed a $12bn program for 78 projects, prioritizing 2,000+ MW renewables and power-grid upgrades plus schools and healthcare. Trade with Afghanistan: Uzbekistan and Afghanistan signed deals worth $100m+ in Kabul, while private-sector agreements totaled $112m—another sign of growing regional business momentum. Tourism Push: Uzbekistan and Pakistan are expanding tourism ties via B2B meetings and new joint routes.

Over the last 12 hours, coverage was dominated by Uzbekistan’s push to modernize regulation and infrastructure while deepening international partnerships—especially around energy and digital systems. A notable business-facing development is the decision to postpone the mandatory “aggregation” stage of digital product marking for digitally labeled water and soft drinks, after authorities found that several major beverage producers were not technically ready; officials also discussed related signage/urban design compliance concerns. In parallel, the government approved proposals to cut bureaucracy in construction, housing and utilities oversight, including reducing the number of documents for construction permits and moving approvals/licensing toward automation to shorten processing times.

Energy and development financing also featured prominently. Uzbekistan’s renewable agenda continued with AIIB approval of a US$107 million loan for the Bash II wind farm (300 MW) and related reporting on wind expansion, while ADB-linked coverage emphasized Central Asia’s potential to become a regional energy hub through cross-border power integration and energy/digital connectivity. Uzbekistan’s cooperation diplomacy also accelerated: multiple items reported talks with Serbia (including plans for an intergovernmental commission in Belgrade and priority sectors such as mechanical engineering, pharmaceuticals, IT, agriculture and tourism) and meetings with ACWA Power on energy efficiency and sustainable urban infrastructure in Tashkent.

The last 12 hours also included economic and market signals. Reporting highlighted a decline in residential land sales on the E-auksion platform in Q1 2026, alongside broader business-environment items such as draft rules to clarify outdoor signs vs advertising. On the macro side, the most recent inflation-related evidence in the provided material points to headline inflation easing to 7.0% in April (with food still a key driver), though this appears in the broader 12–24 hour window rather than the newest items.

Looking across the wider 7-day range, the thread of Uzbekistan’s integration into regional development networks is reinforced by ADB coverage around global value chains and inclusive development, including claims that Uzbekistan is among the stronger performers in poverty reduction over 2000–2023. Connectivity and trade facilitation themes also recur (corridors, rail/transport initiatives, and corridor-focused ADB messaging), while energy transition planning continues with longer-horizon items such as Uzbekistan’s hydropower expansion targets and ongoing renewable financing frameworks. However, within the most recent 12 hours specifically, the evidence is strongest for regulatory/digital adjustments and energy partnership announcements, rather than for a single large, discrete “event” beyond these policy and financing moves.

Over the last 12 hours, Uzbekistan’s news cycle was dominated by economic and energy updates alongside a steady stream of international cooperation. The most concrete domestic macro signal was inflation easing: Uzbekistan’s annual inflation slowed to 7.0% in April (from 7.1% in March), with food remaining the main driver of monthly price growth. In parallel, Uzbekistan’s financial sector saw strong performance reporting from TBC Uzbekistan, which posted 93 billion soums net profit in Q1 2026, alongside growth in users and payments across its digital ecosystem. On the energy front, Uzbekistan reported that green energy output rose 32% in early 2026 (Jan–Apr), and the ADB-backed pipeline continued with financing support for a 300 MW Bash-2 wind farm in Bukhara (with ADB, AIIB and commercial lenders involved in the package).

International engagement also featured prominently in the past day. Uzbekistan discussed investment and trade expansion with partners including AzerSun (agro-processing), Oman’s Nesto retail chain (food exports), and Spain (investment cooperation across energy, industrial equipment, automotive, pharmaceuticals and medical/tech projects). Regional and bilateral connectivity themes were reinforced by deals and memoranda: Uzbekistan and KEXIM (Korea Eximbank) signed a strategic cooperation memorandum covering financing mechanisms in areas such as energy, digitalization, AI and green infrastructure, while Uzbekistan and Türkiye expanded their investment partnership through a business forum involving energy and industrial projects. The period also included a policy/fintech angle, with Uzbekistan considering faster cashback payments on fiscal receipts to improve cashless payment convenience.

A major infrastructure/industrial milestone with clear operational impact also emerged in the last 12 hours: Hyundai Rotem’s high-speed trains began first commercial operation in Uzbekistan, running on the Tashkent–Khiva route (~1,020 km). The coverage frames this as the first overseas commercial service for a Korean-built high-speed train, with expectations of cutting travel time to about seven hours. Separately, Uzbekistan’s engagement with utilities and services modernization continued through talks with Russia’s NPP Antarus on potential projects in Namangan related to heating, water supply and sewage systems, including discussion of localizing production of heating substations.

Looking slightly further back for continuity, the broader ADB-led regional agenda remained a recurring backdrop. Multiple items in the 12–72 hour window emphasized ADB’s push for cross-border power and digital connectivity (including a $70 billion plan for Asia power grids and digital highways) and the bank’s procurement reforms aimed at improving competition and quality—context that aligns with Uzbekistan’s own energy and infrastructure financing momentum. Environmental and land-management cooperation also showed continuity, with coverage of a Central Asia climate/soil protection push involving regional implementation and support mechanisms (including GCF application steps), reinforcing that Uzbekistan’s energy transition and sustainability agenda is being reported as part of a wider regional program rather than isolated projects.