BAKU, Azerbaijan, Nov. 10
By Klavdiya Romakayeva - Trend:
The European Bank for Reconstruction and Development (EBRD) has revealed the key priorities of for the economy of Uzbekistan for 2021, Trend reports with reference to EBRD Transition Report 2020-2021.
According to the EBRD report the economy of Uzbekistan is proving to be relatively resilient to the impact of COVID-19. Growth slowed but remained positive at 0.4 percent year-on year in the first three quarters of 2020, led by growth in agriculture and construction.
In addition, the Uzbekistan’s economy is less dependent on external developments than some of its Central Asian peers, the report says.
EBRD named continuation of providing support to sectors affected by COVID-19 and sustaining of private sector employment as main priorities for Uzbekistan’s economy for 2021.
Support measures should seek to smoothen income shocks and boost consumption in the hardest-hit sectors, such as recreation and hospitality in order to help businesses stay afloat.
In addition, the authorities should step up efforts to promote digital transformation.
“Investment in broadband infrastructure, and upgrading digital skills and the IT ecosystem are essential to enable remote working and learning for all groups of the population,” the report says.
The report also noted that the government of Uzbekistan should adjust reform priorities in light of post-COVID realities.
In the short term, priority should be given to macroeconomic stabilization, continued improvement of the investment climate, and other measures to build investor confidence.
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