07.02.2025

On February 7, President Shavkat Mirziyoyev chaired a meeting via a video conference line on the development of the service sector in the regions.

The large-scale program launched three years ago is already bearing fruit: in the service sector, an additional 1.5 million citizens have gained a source of stable income, and the volume of services has grown from $19 billion in 2018 to $65 billion. The acceleration is particularly notable in sectors such as information technology, financial services, tourism, aviation, education and medicine.

Despite the positive dynamics, the potential for further growth remains much higher, and the realization of opportunities in regions and sectors is often not conducted with due coherence.

For example, in Khorezm it is planned to attract 6 million tourists, but both air flights and railroad connections are insufficient for this purpose. At the same time, the cost of projects with private sector participation in medicine, aviation and energy has exceeded 20 billion dollars, while there are practically no such initiatives in the spheres of drinking water supply, sewerage and road construction.

The meeting analyzed existing challenges and identified huge opportunities.

It was noted that over the past seven years, the population's income and its purchasing power have doubled, which has led to an increase in demand for services. In this regard, ministries and khokims have been instructed to daily look for ways to expand the range of services and create favorable conditions for entrepreneurs.

Targets for the current year have been set: to increase the volume of services by 15 percent, up to $82 billion, to increase exports to $8.5 billion, provide employment for 2.5 million people in this sphere.

The banking and finance sector holds particular promise. Developers are allowed to convert 10-15 percent of new massifs into non-commercial real estate. To effectively utilize this potential, it is proposed that banks directly buy real estate from developers with subsequent profitable rent or leasing for entrepreneurs. It is estimated that this will allow to put into circulation 50 thousand square meters of non-commercial real estate and create 100 thousand jobs.

It is planned to increase the volume of financial services by 30 percent. The launch of the mechanism of makhalla bankers close to the population will open additional opportunities. In particular, integration of data from cadastre, tax authorities and justice departments into the information systems of banks will improve the quality and volume of services provided.

Starting this year, a new approach to the development of the service sector will be applied in the regions. Local councils have approved 1,156 driver projects, for the implementation of which 1 trillion soums will be allocated.

As part of these initiatives, it is planned to create 72 coastal recreation areas, organize 154 tourist and gastronomic streets with a 24-hour operating mode, bring 62 recreation parks into a modern look, build 364 roadside service facilities, and others.

Two years ago, a social tax rate of 1 percent was established at trade and service enterprises. During this period, the number of such enterprises has increased by 1.5 times. Due to the fact that many entrepreneurs came out of the "shadow" and began to correctly reflect monthly wages, the wage fund increased by 3.2 times, providing additional budget revenues in the amount of 2.1 trillion soums.

With a view of these results, it was proposed to extend the preference for another three years. Now it will apply to employees of service enterprises under 30 years of age, receiving at least 3 million soums per month. Construction, trade and public catering enterprises will be able to conclude short-term, simplified employment contracts with employees.

Over the past three years, 27 types of public services have been transferred to the private sector. However, there are still many services in the ministry system that can be provided by entrepreneurs. This year, it is planned to transfer another 29 public services to the private sector.

In addition, the task has been set to develop open, transparent and favorable conditions for the lease or privatization of land plots and state property.

The Decree of the President of Uzbekistan dated December 20, 2024 on a new system for ensuring high rates of economic growth and employment in the regions has created significant opportunities. According to it, from March 1 of this year, state-owned facilities in districts with an area of up to 10 thousand square meters that have not been sold for six months will be provided to entrepreneurs for direct lease for 10 years. Subject to timely payment of rent for four years, the entrepreneur will be able to privatize this property. Young entrepreneurs teaching young people IT and foreign languages with the issuance of international certificates are provided with free rent in the first year.

The Head of State stressed the need to increase the export of remote services. To achieve this, the task has been set to study the foreign services market and train specialists meeting its requirements.

This year, $50 million has been allocated for startup projects in the creative economy, which is aimed at supporting youth initiatives and attracting compatriots working in foreign companies. In general, it is planned to increase the volume of IT services by 30 percent (up to 80 trillion soums) and bring exports to more than $1 billion, as well as continue the digitalization of services in regions and industries.

Service development is impossible without a well-developed transport infrastructure. Last year, the volume of transport services increased by 8.6 percent and amounted to 145 trillion soums, which is still not enough to ensure high rates of economic growth.

In this regard, additional measures will be implemented: increasing the number of flights and trains between cities, building multimodal logistics centers, increasing the share of transit cargo and expanding the taxi network.

Due to these measures it is estimated that the volume of transport services this year could reach 185 trillion soums, and exports – $2.3 billion.

Tourism remains the largest service sector. In recent years, thanks to the establishment of contacts with more than 90 countries, the number of foreign tourists has grown almost fourfold, and the export of tourism services last year amounted to $3.5 billion.

The country's potential, however, is much higher. For instance, citizens of Malaysia and Indonesia want to visit the mausoleums of our great scientists before performing Umrah, for which it is planned to launch the "Umrah Plus" tour package. Holding international concerts and forums in the tourist complexes of Samarkand, Shakhrisabz, Bukhara, Khiva and Tashkent will attract a large number of visitors, which will contribute to the development of the hotel business, restaurant sector, trade and other leisure spheres.

Great opportunities are also opening up in the social sphere. Thus, last year the program "Medical Hospitality" was launched aimed at attracting foreign citizens for treatment and increasing the export of medical services.

Over the past eight years, 125 new higher education institutions have been opened, but exports in the educational sector remain significantly below existing capabilities. In addition, some unused cultural and art centers can be transferred to the private sector.

At the meeting, the President heard reports from responsible persons and held a dialogue with entrepreneurs. Industry leaders reported on plans to employ 2.5 million residents of the regions in the sector this year.