High expectations in Uzbekistan

Subscribe to global connection, ivailo izvorski ivailo izvorski practice manager, global debt and macro unit - world bank @ivailoizvorski.

February 8, 2022

Uzbekistan’s economic transition from plan to market started three decades ago when it became an independent country. But for much of this time, economic modernization proceeded at a snail’s pace. In late 2016, Uzbekistan surprised everyone. It started structural reforms—how it managed macroeconomic policy, how it regulated enterprise, and how it provided public services—with a breadth and speed that exceeded even what we had observed in some of the earlier reformers like Kazakhstan at a similar stage of the process. In 2019, The Economist declared Uzbekistan the most improved economy—the country of the year .

Where is Uzbekistan today? How far has it come over the last four years and what’s ahead? These questions about Uzbekistan’s transition are answered in a new World Bank Country Economic Memorandum .

Starting with weaknesses

The Uzbek government started by focusing on the main vulnerabilities of the economic model that had guided their development strategy. The state had planned and led the distribution of resources and outputs among state-owned enterprises (SOEs). Apart from exports of commodities such as gold that connected the country with global markets, the economy was closed. The model and mindset were inward-looking, with little reliance on competition in markets and, consequently, little economic and social dynamism. The past development model was dominated by heavy industry, abundant use of natural resources and physical capital, and a neglectful attitude toward the employment and development of human capital. Jobs were scarce. Resources were misallocated. Labor mobility was restricted.

Under the old model, the government rationed basic services to all, without linking budget outlays to results, paying little heed to efficiency, accountability, and productivity. In other words, the government was too present in some areas, too little involved in others, but its role throughout the economy lacked adequate effectiveness, efficiency, and support for inclusive and sustained growth.

In late 2016, newly elected President Mirziyoyev began an ambitious economic modernization program to reinvigorate economic growth. This was followed by the November 2018 Reform Roadmap which outlined the government’s economic reform priorities for 2019-2021. The roadmap contains five major pillars: (i) maintain macroeconomic stability; (ii) accelerate the market transition; (iii) strengthen social protection and citizen services; (iv) align the government’s role with the needs of a market economy; and (v) preserve environmental sustainability. The reform priorities within each pillar draw on lessons learned from the market transitions of other countries but are also firmly based in Uzbekistan’s unique context.

Similar sequencing

Where is Uzbekistan today in its transition from plan to market? The sequencing of reforms has been similar to the first reformers in Eastern Europe and East Asia. The government proceeded most resolutely with liberalizing prices and foreign trade and unifying the exchange rate. It has taken more time to reorganize the structure of government finances and revamp the government’s role in the economy. Public spending has changed through the reorientation of capital expenditures toward priority areas for reform and a large increase in social sector—education, health, and government assistance—outlays. The tax system has been simplified and made more neutral through a complete overhaul of tax policy and improved tax administration. Fiscal and debt transparency has substantially improved. The changes in fiscal policy and the structure of government finances have supported the transformation of the economic model and have laid the groundwork for future economic expansion.

Progress with enterprise restructuring, privatization, and introducing a supportive investment framework for new private firms has been a lot slower. Private enterprises have started to spring up and become a bit bigger, but private entrepreneurship is still constrained. Firm entry lags regional comparators and after entry, enterprises are struggling to grow. Similarly, the restructuring of the financial sector and bank privatization have been sluggish. Weak corporate governance, lingering directed lending, and capacity gaps faced by the banking supervisor are the key areas for reforms.

Shifting to more effective delivery of education and health has progressed least rapidly. According to the World Bank’s Human Capital Index , a child born in Uzbekistan today will be only 62 percent as productive when she grows up as she would be if she had complete education and full health. Uzbekistan has a favorable demographic structure: The median age is just 28, and two-thirds of the population is between 15 and 64 years old. But without empowering the younger generation through investing in their education and health, a sustained economic transformation will be hard to engineer.

Mixed outcomes

This outcome—its sequencing if not its pace—is not surprising. Countries in both Eastern Europe and East Asia have had similar experiences. Changes that require more fundamental restructuring and deeper rethinking of the role of the government take longer. What may be more worrying is that in Uzbekistan the speed and breadth of reforms have sometimes been emphasized more than their depth and their careful implementation. As a result, Uzbekistan’s performance has been mixed.

Reforms depend on experience with markets and prices, initial conditions, and institutional strength. In countries such as Estonia, Poland, and Russia, the first year of transition was dedicated to market liberalization, small privatization, the building of essential market institutions, and controls of medium/large SOEs to forestall asset stripping. During the second and third years, the authorities further developed market institutions and started medium/large privatization. During the fourth year, large and medium privatization continued, and best practices of corporate governance were introduced for the remaining SOEs. Based on this timeline, Uzbekistan’s transition proceeded in line with comparators in terms of market and trade liberalization, small privatization, and the building of essential market institutions. By contrast, large and medium privatization of both SOEs and the state-owned commercial banks is just gearing up, four years after the transition began.

Uzbekistan’s efforts have delivered some of the results that were expected, but they’re definitely raising expectations a lot more. Impressively, the reform momentum has not slowed during the coronavirus disruptions. The next stage of market and institutional reforms is aiming to increase the efficiency of labor, capital, land, and resource markets. It should be starting soon.

Related Content

Lilia Burunciuc, Wolfgang Fengler, Wiebke Schloemer, Daria Taglioni

December 20, 2018

Lilia Burunciuc, Ivailo Izvorski

December 13, 2019

Anwar Aridi, Slavo Radosevic

February 26, 2020

Related Books

Malcolm K. Sparrow

May 1, 2000

Masahiro Kawai, Eswar S. Prasad

November 2, 2011

Robert E. Litan, Paul R. Masson, Michael Pomerleano

September 1, 2001

Central Asia

Global Economy and Development

Central Asia Eurasia

Joseph Asunka, Landry Signé

May 15, 2024

Online Only

9:30 am - 10:30 am EDT

Margaret McMillan, Harun Onder

May 14, 2024

New Flagship Report by the World Bank Identifies Key Opportunities for Uzbekistan’s Development

WASHINGTON, May 18, 2022 – The World Bank has released its new Systematic Country Diagnostic (SCD) report for Uzbekistan, which analyzes key challenges and opportunities for the country’s development. The SCD contains policy recommendations for removing barriers to private sector growth, reducing the state’s role in the economy, focusing on people and their human capital, and transitioning to a green economy. The report provides the foundation for selecting priority areas for the World Bank Group’s cooperation with the Government of Uzbekistan throughout the 2022-2026 period.

In April 2022, the World Bank Group completed work on its second Systematic Country Diagnostic for Uzbekistan, following the first one that was produced in 2016. This flagship report is produced for a partner country every five years to identify key challenges and opportunities to ending poverty and boosting shared prosperity.

Since 2017, the Government of Uzbekistan has implemented transformative reforms to liberalize the economy and business environment, improve the well-being of citizens, and steer the state towards meeting people’s needs, most of which are analyzed in the SCD.

Planning the next generation of reforms, Uzbekistan has set ambitious goals of becoming an upper-middle-income country by 2030 and reducing poverty by half by 2026. Achieving these goals requires much higher economic growth than the current level through faster job creation and reduced economic exclusion— especially among youth, women, and people with disabilities.

“The World Bank’s SCD is a rigorous analysis of the key opportunities and challenges we face as a country. As the report notes, the analysis was prepared under a new era of openness, data transparency, and collaboration between the World Bank, the Government, and other development partners. The priority areas it identifies are fully aligned with Uzbekistan’s development strategy for 2022-2026,” noted Djamshid Kuchkarov, Deputy Prime Minister and Minister of Economic Development and Poverty Reduction of Uzbekistan .

The new SCD sets out four development pathways that can help Uzbekistan achieve these ambitious goals: 1) encouraging more private sector growth and job creation; 2) reforming the role of the state in the economy; 3) investing in people-focused policies and human capital; and 4) building an environmentally sustainable and resilient future.

The report also outlines thirteen priority policy areas that emerged from the analysis in the SCD. Some of the key policy priorities recommended by the World Bank focus on the following areas:

  • Encouraging private sector growth. The authorities should improve the allocation of land, labor, and finance, as well as the legal and regulatory framework for competition across the private sector; adopt trade and investment policies that favor the private sector’s global integration; establish strong private sector support services; accelerate agricultural market  reforms that, among other things, will end the state’s interference in the agricultural market.
  • Strengthening the market enabling role of the state. The authorities should accelerate the state’s transition from producer to market enabler with fewer and better performing state-owned enterprises; address infrastructure gaps; reduce corruption and improve governance across the state institutions; decentralize government functions; increase public accountability.
  • Improving human capital. The authorities should address gaps in education quality; improve access to early childhood and tertiary education; strengthen the performance and affordability of the health system; improve water and sanitation services across the country; improve poverty measurement, policy, and targeting; develop labor market policies encouraging the inclusion of vulnerable groups; increase the coverage and adequacy of social safety nets for those in need.
  • Building an environmentally sustainable and resilient future for Uzbekistan. The authorities should manage natural resources more effectively, including water and land, more  efficiently; take measures to decarbonize and modernize the economy, including the energy sector; improve natural disaster management.

“We are grateful to the Government for their close collaboration and for making available all necessary data needed to prepare the SCD. The report serves as an important foundation for the World Bank Group’s new Country Partnership Framework (CPF) for Uzbekistan, which will outline our financial and analytical support to Uzbekistan in implementing crucial reforms in the next five years,” said Marco Mantovanelli, World Bank Country Manager for Uzbekistan .

This site uses cookies to optimize functionality and give you the best possible experience. If you continue to navigate this website beyond this page, cookies will be placed on your browser. To learn more about cookies, click here .

  • Global Assessment Report (GAR)
  • PreventionWeb

Special Events

  • Global Platform
  • International Day for Disaster Reduction
  • World Tsunami Awareness Day
  • Sendai Framework Monitor
  • Voluntary Commitments

Please help us improve PreventionWeb by taking this brief survey. Your input will allow us to better serve the needs of the DRR community.

See the survey

  • Documents and publications

Climate change in Uzbekistan: Illustrated summary

This document illustrates climate trends and developments in Uzbekistan on the basis of images .

Uzbekistan is particularly vulnerable to climate change, and in the absence of additional measures, the nation may face deficiencies in water resources and an increase in land degradation. Climate warming has reduced snow cover and increased evaporation, and Uzbekistan is experiencing an ever greater risk of water deficit. An increase in the frequency and intensity of droughts may lead to instability in agricultural production and threaten the country’s food security. Uzbekistan’s populated areas and important infrastructure can be affected by heatwaves in summer, floods and mudflows in spring, and avalanches in winter. The lower Amu Darya River suffers from unreliable water supply and salt-anddust storms.

Adaptation projects in Karakalpakstan — an area considered among the most vulnerable to climate impacts in Uzbekistan — are helping farmers to modernize irrigation networks, introduce drought resistant crops and diversify sources of income. In the Zeravshan basin, farmers are receiving soft loans to build greenhouses, improve the reliability of the water supply and improve horticultural practices. The Uzbek Government is supporting modernization of hydrometeorological services, and the CAMP4ASB project contributes to the expansion of the automated weather observation network.

  • Climate change in Uzbekistan: Illustrated summary English
  • Russian version: Climate change in Uzbekistan, illustrated summary English
  • Uzbek version: Climate change in Uzbekistan, illustrated summary English

Editors' recommendations

  • Uzbekistan: Consolidated multilateral COVID-19 socio-economic response & recovery offer
  • Uzbekistan : Resilient cultural heritage and sustainable tourism development (English)
  • Climate risk profile: Uzbekistan
  • Uzbekistan’s health care system, economy hit hard by COVID-19

Explore further

global problems in uzbekistan essay

Please note: Content is displayed as last posted by a PreventionWeb community member or editor. The views expressed therein are not necessarily those of UNDRR, PreventionWeb, or its sponsors. See our terms of use

Is this page useful?

Thank you. If you have 2 minutes, we would benefit from additional feedback (link opens in a new window) .

  • Search Menu
  • Conflict, Security, and Defence
  • East Asia and Pacific
  • Energy and Environment
  • Global Health and Development
  • International History
  • International Governance, Law, and Ethics
  • International Relations Theory
  • Middle East and North Africa
  • Political Economy and Economics
  • Russia and Eurasia
  • Sub-Saharan Africa
  • Advance Articles
  • Editor's Choice
  • Special Issues
  • Virtual Issues
  • Reading Lists
  • Archive Collections
  • Book Reviews
  • Author Guidelines
  • Submission Site
  • Open Access
  • Self-Archiving Policy
  • About International Affairs
  • About Chatham House
  • Editorial Board
  • Advertising & Corporate Services
  • Journals Career Network
  • Journals on Oxford Academic
  • Books on Oxford Academic

Article Contents

  • < Previous

Uzbekistan's international relations

  • Article contents
  • Figures & tables
  • Supplementary Data

Ana-Maria Anghelescu, Uzbekistan's international relations, International Affairs , Volume 98, Issue 6, November 2022, Pages 2178–2179, https://doi.org/10.1093/ia/iiac245

  • Permissions Icon Permissions

The botched US withdrawal from Afghanistan in 2021 has brought the central Asian states to the public's attention once again. For great powers, the region presents both an opportunity to create a ring of allies in a contested area, and a potential threat given its own domestic vulnerabilities. Against this backdrop, Oybek Madiyev's book provides a timely analysis of Uzbekistan's relations with the great powers as a post-Soviet independent nation. In it, the author attempts to paint a more nuanced picture of how Russia and China have successfully engaged with this landlocked country.

The literature analysing contemporary central Asian states is divided into two broad strands: one taking a bottom-up perspective (looking at the domestic dynamic of foreign policy-making in the region); and another taking a systemic view concerned with the ‘New Great Game’ (re-enacting the nineteenth-century geopolitical competition for regional influence, then between the British and Russian empires and nowadays between Russia, the US and China). Madiyev undertakes the difficult task of bridging the gap between these two views with a neo-Gramscian reading of Uzbekistan's international relations. He looks at a broader set of domestic and external factors underpinning the country's foreign policy and highlights the interdependence between politics and economic interests. This way, the book's conclusions come full circle and validate Madiyev's chosen theoretical perspective, drawn from international political economy.

The author begins with an overview of post-Soviet state–society relations in Uzbekistan, emphasizing the adoption of democratic rhetoric. The country became independent as the Soviet Union was dissolved in 1991, and national power became visibly centralized around the president while the economy did not liberalize according to western standards. Madiyev expands the concept of society, beyond civil society organizations, to include the (limited) role of youth organizations, traditional neighbourhood communities and religious groups. Thus, the author is able to account for how the state instrumentalized or securitized these actors according to its own interests, namely during Islam Karimov's presidency. The following chapters are dedicated to the analysis of relations with different partners: Russia, China and the United States. Unexpectedly, Japan and the European Union (EU) are analysed in a single chapter. To a certain extent, the choice of external powers featured is justified by their varying levels of involvement and cooperation. However, their own decision-making processes, as well as various state–society relations, can undermine valid comparisons. This is especially true in the case of the EU: it is neither a nation-state nor a traditional international organization. Moreover, its trade policy is a supranational matter, while foreign policy remains a national prerogative of the member states.

Madiyev observes the historical evolution of Uzbekistan's bilateral relations within their geopolitical and geo-economic context. The author aptly balances both the importance of great power interests towards Uzbekistan and the country's agency, navigating between different offers of collaboration. According to Madiyev, it was the structure of Uzbekistan's state–society relations during the Karimov era that paved the way for the country's successful engagements with Russia and China: the three shared similar degrees of centralization and limited pluralism. Moreover, while its partners have been drawn to Uzbekistan by its potential as an energy supplier, with the notable exception of Russia, the different powers adopted varying strategies informed by their other priorities: while Russia and China sought to expand their regional influence, the US, Japan and the EU prioritized democracy promotion and market liberalization.

To a certain extent, the book falls short of delivering on its ambitious goals. In particular, its analysis of the often-invoked globalization, and its implications for Uzbekistan's bilateral relations, could have gone beyond the commercial perspective. While globalization, understood mainly in economic terms, played a significant role in shaping Uzbekistan's foreign policy, little is said about the regional level. In central Asia, globalization facilitated the regional dynamics of hegemony and the spillover effect of domestic evolutions. This is loosely touched upon in the book, but the analysis does not explore how regionalization shaped foreign policy in the region. The author's reflections on current president Shavkat Mirziyoyev, his potential to transform the country and to strengthen its regional and global standing, present further potential avenues of research.

Despite its shortcomings, Madiyev's book is a valuable read for its concise historical analysis of the post-Soviet evolution of Uzbekistan's state–society relations; its engagement with various great powers; and the connection between these two dimensions. The innovative theoretical lenses used for analysing the foreign policy of a small and peripheral state in the international system provide a fresh insight into the effects of global great power competition, which is currently intensifying in central Asia.

The views expressed above are hers alone, and do not reflect any institution she is affiliated with.

Email alerts

Citing articles via.

  • Recommend to Your Librarian
  • Advertising and Corporate Services

Affiliations

  • Online ISSN 1468-2346
  • Print ISSN 0020-5850
  • Copyright © 2024 The Royal Institute of International Affairs
  • About Oxford Academic
  • Publish journals with us
  • University press partners
  • What we publish
  • New features  
  • Open access
  • Institutional account management
  • Rights and permissions
  • Get help with access
  • Accessibility
  • Advertising
  • Media enquiries
  • Oxford University Press
  • Oxford Languages
  • University of Oxford

Oxford University Press is a department of the University of Oxford. It furthers the University's objective of excellence in research, scholarship, and education by publishing worldwide

  • Copyright © 2024 Oxford University Press
  • Cookie settings
  • Cookie policy
  • Privacy policy
  • Legal notice

This Feature Is Available To Subscribers Only

Sign In or Create an Account

This PDF is available to Subscribers Only

For full access to this pdf, sign in to an existing account, or purchase an annual subscription.

  • Get involved

Uzbekistan's National Sustainable Development Goals: Progress and Challenges in Achieving the SDGs

The experts reviewed Uzbekistan's activity in implementing the UN SDGs and discussed a wide range of issues and the importance of new initiatives regarding the relevance of accelerating the achievement of national SDGs.

September 26, 2023

global problems in uzbekistan essay

The Center for Economic Research and Reforms (CERR) organized an International round table on the topic: “National Sustainable Development Goals of Uzbekistan: Progress and Challenges in Achieving the SDGs”. The event is supported by the United Nations Development Programme(UNDP) in Uzbekistan.

The event brought together over 70 delegates, among them experts from reputable international organizations and partner states, including UNDP, WHO, OPHI, ILO, World Bank, UNICEF, FAO, etc.

The International round table has become one of the stages of discussing the progress of the tasks set for the half-way to the SDGs, as well as new initiatives on the relevance of accelerating the achievement of national SDGs, in cooperation with the UNDP and the UN family in Uzbekistan, with the participation of responsible ministries and departments, non-governmental organizations, civil society and media.

The event was organized to discuss and evaluate the progress made in achieving the SDGs, share important best practices, clarify current goals and identify further measures to accelerate the tasks set.

Ms. Consuelo Vidal Bruce – UN Resident Coordinator a.i. in Uzbekistan, Mr. Anas Fayyad Qarman – UNDP Resident Representative a.i. in Uzbekistan, and Obid Khakimov, Director of the Center for Economic Research and Reforms addressed the participants with a welcome speech.

global problems in uzbekistan essay

As Consuelo Visal Bruce, UN Resident Coordinator a.i. noted in her statement,

“The SDG Summit has galvanized renewed commitment from the international community, national governments, civil society, and development partners on a new phase of concerted global efforts in achieving the 2030 Agenda. And Uzbekistan is an active member-state of these processes”.

Welcoming the participants, Obid Khakimov, the Director of CERR , noted that this year the world marks the half-way to achieving the SDGs. 

“This is an important moment to assess the progress made, share important experiences and clarify goals for Uzbekistan.”

Noting the consistent progress on the Sustainable Development Goals of the UN General Agenda 2030, the Director of the CERR designated attainment of the SDGs as one of the main priorities of the state policy of the New Uzbekistan, implemented under the leadership of the President of our country.

“At the General Debate of the 78th Session of the UN General Assembly, President Shavkat Mirziyoyev stated his commitment to continuing the “policy of creating the New Uzbekistan, which is a law-governed, secular, democratic and social state.” The head of our state highlighted the irreversible reforms in Uzbekistan, put forward a number of initiatives aimed at solving the most pressing issues on the global and regional agenda, ” O. Khakimov said.

global problems in uzbekistan essay

Experts noted the large-scale reforms that began in 2022 within the framework of the “Development Strategy of New Uzbekistan for 2022-2026”, are fully in tune with the goals and objectives in the field of sustainable development.

The participants noted that Uzbekistan has made progress in promoting its transformation programme towards sustainable development. This includes changing financial priorities, both public and private, in line with the Sustainable Development Goals.

At the same time, at the round table, changes in the global economy were discussed that resulted in the need of rethinking the needs and priorities of financing the SDGs, while the ongoing tense situation in the world threatens to slow down the progress of achieving the SDGs for Uzbekistan.

In this regard, the participants expressed the need to adopt new initiatives on the relevance of accelerating the achievement of the SDGs, as well as finding ways to address these issues.

To fully implement the SDGs, Uzbekistan is actively seeking investment and technology, at the same time strengthening closer ties with Central Asian countries. These efforts are crucial for achieving water, energy and food security throughout the region.

global problems in uzbekistan essay

Anas Qarman, UNDP Resident Representative a.i. highlighted in his concluding statement,

“Our commitment to the SDGs extends beyond the numbers. UNDP and Uzbekistan's dedication lies in the pursuit of improving the well-being of people. Let us remember that the way towards achieving the SDGs is not just about reaching targets but reshaping the very nature of development.”

“while we are halfway in achieving the sdgs, adjustments need to be made. this includes strengthening the support of developing countries by developed countries for the further development of the private sector, encouraging public-private partnerships and co-financing programmes,” concluded the director of the cerr..

global problems in uzbekistan essay

Press Releases

Undp and the ministry of economy and finance discussed the results of the joint project in 2023 and plans for 2024.

global problems in uzbekistan essay

Uzbekistan's Progress with SDG1: Roundtable Discusses Achievements and Strategies in the Fight Against Poverty for Sustainable Development

global problems in uzbekistan essay

Young people use design thinking to come up with solutions for poverty reduction

global problems in uzbekistan essay

Uzbekistan Issues First Ever Green Sovereign Eurobonds Worth 4.25 Trillion UZS on the London Stock Exchange

global problems in uzbekistan essay

Strengthening capacity for reducing inequalities in Uzbekistan: A Multidimensional Poverty Measurement Workshop

United Nations

The Permanent Mission of the Republic of Uzbekistan to the United Nations

global problems in uzbekistan essay

Problems of the Aral Sea and water resources of Central Asia

  • Google Plus

One of the largest global environmental disasters in the recent history which is being experienced by countries and the population of 62 million people in Central Asia, is the tragedy of the Aral Sea that in its environmental, climatic, socio-economic and humanitarian consequences poses direct threat to the region's sustainable development, health, gene pool and future of the people residing in it.

The Aral Sea, which was once a unique, beautiful and one of the largest closed water reservoirs in the world, is practically on the verge of complete disappearance and turned into an unprecedented disaster and irreparable damage to the life of the population living there, the ecosystem and biodiversity of the Aral Sea.

Until 1960 the Aral Sea had an area of 68.9 thousand km² with the volume of water 1083 cubic km, its length extended to 426 km, width - 284 km, the greatest depth was 68 m.

The Aral Sea area was a region with a wide variety of flora and fauna, 38 species of fish and a number of rare species of animals inhabited the Aral Sea basins, the number of saigas reached 1 million heads, the floristic composition comprised 638 species of higher plants.

In addition, the Aral Sea played an important role in the development of the region's economy, its production sectors, in ensuring employment of the population, and in the formation of a stable social infrastructure. In the past, the sea was among the richest of fishing grounds in the world: the annual catch of fish in the reservoirs of the Aral Sea was 30-35 thousand tons. More than 80% of the inhabitants of the Aral Sea coast were engaged in the production, processing and transportation of fish and fish products. Fertile lands of the delta of the Amudarya and Syrdarya rivers, as well as highly productive pastures provided employment for more than 100 thousand people in the sphere of livestock, poultry farming, growing of agricultural crops.

The sea also served as a climate-adjusting reservoir and mitigated the sharp weather fluctuations throughout the region, which had a favorable effect on the living conditions of the population, agricultural production and the ecological situation. The air masses invading the region during the winter period warmed up, and in the summer were cooled over the water area of the Aral Sea.

In the 1960s the problems of the Aral Sea arose and took on alarming proportions as a result of thoughtless regulation of the major transboundary rivers of the region - the Syrdarya and the Amudarya, which provided the Aral Sea in the past with 56 cubic km of water annually. The significant growth of the population living in this area, the scale of urbanization and intensive development of lands, the construction of large hydrotechnical and irrigation facilities on the watercourses of the Aral Sea basin in the past, without taking into account the environmental consequences, created the conditions for desiccation of one of the most beautiful reservoirs on the planet.

A direct consequence of the desiccation of the sea was dramatic climate change, felt not only in Central Asia, but also in other regions. The Aral Sea crisis zone directly covers the territories of Turkmenistan, Kazakhstan and Uzbekistan, as well as indirectly - Tajikistan and Kyrgyzstan.

On the bare part of the Aral Sea a new salt desert with an area of 5.5 million hectares appeared. Over 90 days a year, dust storms rage over it, spreading over 100 million tons of dust and poisonous salts into the atmosphere for thousands of kilometres each year.

The threatening impact of the Aral catastrophe is observed all over the world today. According to international experts, poisonous salts from the Aral region are found on the coast of Antarctica, on the glaciers of Greenland, in the forests of Norway and many other parts of the globe.

To the great regret, today it became obvious that the revival of the Aral Sea to its full condition is already impossible.

The most important task of the present time is to reduce the destructive impact of the Aral Sea crisis on the environment and livelihoods of millions of people living in the Aral Sea area.

Since the beginning of the 1990s, all countries experiencing the devastating consequences of the Aral catastrophe, from the rostrum of the United Nations and other international and regional organizations, have been constantly drawing the attention of the world community to the Aral problem and its close relationship with regional and global security issues. At the 48th session of the UN General Assembly on September 28, 1993 and at its 50th session on October 24, 1995, representatives of the countries of the Central Asian region appealed to the world community to help save the Aral Sea, drawing the attention of the United Nations to the fact that without support and assistance of international financial institutions and developed countries and without the leading role of the UN it is impossible to solve this problem.

During the United Nations Sustainable Development Summit in September 2015, in New York, the Government of Uzbekistan initiated the establishment of a special Trust Fund for the Aral Sea and the Aral Sea zone under the auspices of the United Nations, its main task will be to coordinate efforts and implement targeted programs and projects in the following key areas:

- protection of health and the preservation of the gene pool of the population, the development of an efficient system of incentives for socio-economic development of the area adjacent to Aral, and to create the necessary decent life conditions for the people living in this region;

- preservation of the ecological balance of the Aral Sea region, adoption of consistent measures to combat desertification and implement the rational water use;

- restoration of biodiversity of animal and plant life, the preservation of unique flora and fauna, which is currently on the verge of extinction;

- the use of limited water resources in the region, especially the transboundary waterways - the Amudarya and the Syrdarya, in the interests of all countries in the region and in strict accordance with the norms of international law.

In order to implement this initiative, together with the UN the programme “Building the resilience of communities affected by the Aral Sea disaster through the Multi-partner Human Security Fund for the Aral Sea” has been developed. An official launch of this programme was held in Tashkent, on February 10, 2017.

Huge efforts are also directed to the practical solution of these tasks at the regional level. A landmark event in this regard was the creation in January 1993 of the International Fund for Saving the Aral Sea (IFAS), the founders of which were Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan.

In order to prevent the negative consequences of the Aral problem, within the framework of IFAS three programs have been implemented to assist the countries of the Aral Sea basin (ASBM-1, ASBP-2, ASBM-3).

At the national level, Uzbekistan is undertaking great efforts to combat the negative consequences of the desiccation of the Aral Sea on the environment and human health.

On August 29, 2015 the Cabinet of Ministers of the Republic of Uzbekistan adopted the Resolution "The comprehensive programme for mitigation of consequences of Aral catastrophe, rehabilitation and social-economic development in the Aral Sea coastal area for 2015-2018" that is envisaged to implement projects worth of $3.9 billion in five main directions: the economical and rational use of water resources and enhancement of the management system, creation of conditions for reproduction and preserving the gene pool and health of the population residing in zones of environmental risk, development of the necessary economic factors and the mechanisms for increase in level and quality of life of the population of Priaralya, protection and conservation of flora and fauna, restoration of ecosystems and biodiversity.

On January 18, 2017 the President of the Republic of Uzbekistan also approved the State program on development of the region Priaralya for 2017 - 2021 aimed at improving the conditions and quality of life of the population of the region, providing for the implementation of projects worth 8.422 trillion sum.

The program includes measures to create new jobs, increase the investment attractiveness of the region, develop water supply, sewage systems, sanitation and recycling household waste, improve public health, housing conditions, improve the territories, create children's and sports play grounds, develop transport, engineering and communication infrastructure of settlements, improve of heat supply systems in Nukus and Urgench.

However, taking into account the planetary nature of the Aral catastrophe, it is necessary to expand joint actions together with the world community in this direction by implementing deeply thought-out, targeted and well-funded projects.

Position of Uzbekistan on the use of water resources of transboundary rivers in Central Asia

The Republic of Uzbekistan believes that the issue of the use of water resources in Central Asia should be considered in accordance with the universally recognized norms of international law that guarantee the rational and equitable distribution of water resources and ensure that the interests of all countries of the region are taken into account.

Given the fact that Uzbekistan currently, like other Central Asian countries located in the lower reaches of transboundary rivers, suffers a serious water shortage, the position of the Government of Uzbekistan on the use of transboundary water resources in Central Asia is as follows:

- the use of water resources of transboundary rivers in Central Asia should be solved taking into account the interests of more than 60 million people residing in all countries of the region;

- any actions carried out on transboundary rivers should not have a negative impact on the existing ecological and water balance of the region;

- the current international legal framework in the sphere of water use and ecology should become the basis for building an effective system for joint use of the resources of the transboundary rivers in Central Asia;

- the implementation of projects should be carried out on the basis of a constructive approach as well as a compromise that does not infringe upon the interests of other interested countries and guarantees two necessary conditions: prevention of the lowering of the water-balance level agreed upon by the parties for downstream countries; prevention of the violation of the ecological balance of the region.

In order to strengthen mutual understanding and trust among all the countries of Central Asia and to establish openness and transparency in relations, the Government of Uzbekistan considers it necessary to take joint efforts to find mutually acceptable and mutually beneficial solutions for resolving the rational and fair use of water resources in Central Asia.

To date, there is no other alternative to addressing the issue of distribution of transboundary water resources in the region, except for achieving a regional agreement by adopting legal instruments that promote constructive and civilized dialogue.

The Government of Uzbekistan is ready to cooperate with the Central Asian countries on the basis of these approaches in the spirit of good-neighbourly relations and friendship.

The Foreign Policy Centre

Economic reforms in Uzbekistan: Achievements, problems, perspectives

Article by Yuliy Yusupov

July 14, 2020

Economic reforms in Uzbekistan: Achievements, problems, perspectives

The Uzbek economic model

As an independent state, Uzbekistan appeared on the world map in 1991. The country launched reforms that were supposed to create a base for running a market economy. In 1996, however the course of the economy was radically shifted towards intensification of state intervention in the economy and the implementation of an import substitution policy. To accelerate industrial development, the state redistributed huge flows of material, financial, monetary and labour resources through:

  • Direct allocation of resources, administrative regulation of commodity prices, interest rates and exchange rates;
  • High taxes and government expenditures;
  • Restricted access to the official exchange rate which is beneficial for currency buyers (usually two to three times different from the market rate); [1]
  • Establishment of artificial monopolies by limiting the access to markets for new players and provision of tax, credit and other benefits to certain enterprises or groups of enterprises;
  • Direct (‘manual’) business management; and
  • Limitation of imports by tariff and non-tariff barriers.

The result was the extremely low level of economic efficiency and economic growth rates, high unemployment and external labour migration, and rampant corruption.

Table 1. GDP per capita, in USD, nominal growth [2]

Due to the policies pursued, market reforms were curtailed and market mechanisms were partially replaced by command and administrative regulation. Limited competition, high business costs, and insecurity of property rights and deals hampered the creation of competitive manufacturing and other businesses. The incredibly large benefits and high level of monopolism stimulated corruption, rapid unearned incomes and the export of monetary capital.

The artificial cheapening of capital (conversions at the lucrative official exchange rate, cheap loans, and tax exemptions) and expensive labour (due to high payroll taxes) led to utilisation of capital-intensive industries instead of labour-intensive ones, which, amongst other factors, contributed to extremely low employment in the formal sector. As the results of a sociological survey conducted in the summer of 2018 showed (no earlier data is available), with about 18.8 million people employed, employment in the official sector of the economy amounted to 5.3 million people (less than 30 per cent of the workforce), while in the informal sector – also about 5.3 million people (including 1.6 million employed in temporary one-off and seasonal jobs), the number of external labour migrants exceeded 2.6 million people. [3]

A very high level of direct government intervention in the economy has been established. The vast majority of large-scale enterprises and financial institutions are state-owned. Many enterprises are controlled by the state through controlling stakes or so-called ‘golden shares’. The scale of state ownership is impossible to estimate due to the lack of respective statistics, but according to some estimates it exceeds 50 per cent of the country’s total production assets. The state also owns more than 80 per cent of all the assets in the banking sector. [4] At the end of 2018, the expenditures of the consolidated budget of Uzbekistan amounted to 35.2 per cent of GDP in 2018, and considering quasi-fiscal expenditures of state enterprises, the volume of state expenditures amounted to no less than 41.2 per cent of GDP. These two figures are one and half to two times higher than similar figures of successfully developing countries with comparable GDP per capita and even higher than analogous figures of some advanced countries in the world (see Figure 1).

Figure 1. Revenues of the state budget and extra-budgetary funds to the GDP of individual Asian countries, in percentage, in 2015

global problems in uzbekistan essay

Source: www.adb.org

Time of reforms

Uzbekistan’s economy needs fundamental, systemic and consistent reforms and the replacement of the entire system of public institutions. The key task is to create environment for normal operation of effective market mechanisms.

Uzbekistan’s economic reforms began after the assumption of power by the new president. The following reforms are most important ones from an economic perspective:

  • Unification of exchange rates, liberalisation of the foreign exchange market and introduction of conversion for current operations (summer – autumn 2017);
  • Removal of various administrative barriers to cross border flow of goods and people (primarily with the neighbours of Uzbekistan) and reduction of customs charges (2017-18);
  • Reforms of banking sector and money circulation (2017-18);
  • Radical tax reform (2019); and
  • Reduction of various administrative costs of doing business.

Several other important areas have already been outlined for reforms to be launched in 2020: administrative reform, agrarian reform, the restructuring and privatisation of state enterprises, a new stage of banking reform, and more. However, due to the COVID-19 pandemic, the timeframe and scope of these reforms became uncertain.

Some of the reforms, both in progress and pending, are described below in more detail.

Liberalisation of foreign economic activity

Up to 2017, the government of Uzbekistan had been implementing the policy of active protectionism, by limiting imports through the absence of free conversion of the national currency, high customs charges and non-tariff barriers. In addition, there were significant formal and informal barriers to the free movement of people and capital across borders. All of this deprived Uzbekistan of opportunities to fully participate in the international division of labour and to establish competitive industries.

As already mentioned, in 2017-18 the government introduced free currency conversion for current transactions, removed a number of administrative barriers to the movement of goods and people and reduced customs charges, which constitute the most important achievements of reforms in Uzbekistan.

However, starting from December 2018, under pressure from industry lobbyists, the government started to restore to some extent the import substitution and protectionism policy: earlier reduced customs charges for a certain range of FEACN codes were increased and new non-tariff barriers to import were introduced. [5] However, zero and low customs tariffs for some categories of goods are combined with rather high tariffs for other categories, which allows to keep the average customs tariff approximately at the level comparable to the average tariffs of the Eurasian Economic Union (EAEU) countries. As a result, in industries with high tariffs and non-tariff barriers, conditions are created for monopolisation of markets by particular companies. [6]

In connection with the COVID-19 pandemic in the spring of 2020, customs charges on a range of essential goods were abolished, the government plans to reduce customs charges on goods for business as well. There is hope that once the pandemic is over, the tendency of liberalisation of foreign economic activity will continue. The government has announced its desire to join the World Trade Organisation (WTO) as soon as possible. Joining the WTO will inevitably lead to the reduction of many tariff and non-tariff barriers to imports.

Reform of Banking Sector

Up to 2017, the bank-credit sector used to be one of the most regulated sectors of the Uzbek economy. Banks had no commercial independence, their activities, including the establishment of interest rates, were strictly regulated by the Central Bank and alternative credit institutions had very limited presence. The monetary system was fragmented and tight restrictions on cash circulation were in place, generating different values for different types of money.

The deregulation and commercialisation of Uzbekistan’s banking sector have taken place over the recent years. The Central Bank has significantly reorganised its activities in terms of control and regulation of commercial banks, regulation of money circulation and currency market. The banks have become more client-oriented, the cost of the banking services significantly reduced, the quality improved and the range of services expanded. The administrative restrictions on the purchase of currency and cash turnover have been removed.

Nevertheless, more than 80 per cent of bank assets are still owned by the state, and the government is actively providing ‘soft’ and ‘bad’ loans (imposed by government agencies) through banks primarily to state enterprises. [7] The credit sector competition is still underdeveloped, new players (both domestic and international) have limited access, and the non-banking sector is represented by only a small number of microfinance institutions and pawnshops.

However, the government declares its intention to denationalise the sector, to privatise some part of the assets of state banks, to cease the practice of concessional lending, to increase access of foreign banks to the sector. Several important reforms were planned to be carried out in 2020. However, the coronavirus pandemic is undermining these plans. Preservation of the practice of concessional lending, administrative interference in the issuance and prolongation of loans (which is often almost inevitable in the conditions of an acute economic crisis) is especially dangerous for the planned reforms.

The key problems of the tax system of Uzbekistan, formed in the previous two decades, were as follows:

  • The overall high tax burden on the economy (mentioned above), especially high payroll taxes, which is burdensome for business; [8]
  • Very complicated taxation rules which increase the costs of tax administration and create unequal game rules for business (a large number of taxes, different taxation regimes, separate rules for calculating the same taxes for different categories of taxpayers, great deviation from international practice in determining the tax base, a huge number of exceptions, additional rules, benefits, including individual ones, when paying taxes);
  • Highly uneven distribution of the tax burden between the simplified and general taxation regimes (transition of an enterprise from the simplified to the general taxation regime increased the tax burden several times), as well as between different sectors of the economy; [9] and
  • Broad application of taxes on gross revenues (turnover), which negatively affect the public division of labour and the formation of long value chains (as the goods move along the chain, the same value was taxed many times, and the longer the chain, the higher the tax burden).

These problems became the key reasons for the low level of registered employment of the population, did not allow to carry out deep processing of raw materials and to create competitive manufacturing by utilising the advantages of economies of scale and narrow specialisation, forced the business to go into the ‘shadow economy’, to split into parts, and destroyed the competitive environment.

On January 1 st 2019, Uzbekistan launched a tax reform process, during which many of the above-mentioned problems were already addressed (partly or completely). [10] The following achievements were particularly important:

  • Drastic reduction of taxation on labour (by one and half to two times);
  • Significant reduction of the tax burden on enterprises under the general taxation regime (the most important ones are the reduction of the VAT rate from 20 to 15 per cent, elimination of contributions to the State Targeted Funds from revenues – 3.2 per cent);
  • Significant reduction in the sphere of influence of turnover taxes (before the reform these taxes were paid by almost all enterprises, now medium and large enterprises do not pay them at all, and small enterprises can choose between turnover tax and VAT); and
  • Work has begun on eliminating a huge number of tax privileges and exemptions, equalising tax conditions for all parts of the economy.

Several mistakes in the preparation and initial phase of the reform were corrected by subsequent adjustments in the second half of 2019. In particular, VAT was reduced from 20 to 15 per cent, the refusal to provide tax benefits and exceptions began, and some mechanisms for paying VAT were improved. Nevertheless, relatively high tax administration costs and overall high level of redistribution of revenues through the budget and quasi-budget funds remain. Due to the coronavirus pandemic, some businesses have been given tax holidays and several inefficient budget and quasi-budget expenditures are being reduced. It is hoped that after the pandemic it will be possible to maintain some positive steps towards reducing state participation in the economy.

Administrative Reform

The existing model of state administration in Uzbekistan is characterised by excessive centralisation of decision making, underdevelopment of self-regulation institutions, which leads to ‘manual management’ of socio-economic and political processes in the country. There is a poor performance of checks and balances, as well as significant informal dependence of the legislative and judicial branches of government on the executive branch.

The main issue of state administration and economic policy in Uzbekistan is that the executive authorities continue to actively use administrative methods of management that are incompatible with the effective functioning of a market economy. Active government intervention is the main factor in high transaction costs for national business and the widespread corruption and, consequently, low competitiveness of domestic products. Accordingly, the main goal of administrative reform is a significant reduction of state participation, as well as modification of functions and methods of state regulation in the economy.

Uzbekistan needs a fundamental administrative reform based on consideration of international experience and functional analysis that will result in:

  • Reconsideration and redistribution of the structure, tasks, functions and responsibilities of central authorities, as well as of administrative bodies at the sectoral level;
  • Reduction, simplification and optimisation of procedures for public service delivery;
  • reconsideration of the principles of social sector financing (combined with the reforms of education, health care and pension system); [11]
  • Fundamental transformation of the public service system; and
  • Redistribution of functions, powers and financial resources between central and local governments. At the same time, it is necessary to conduct a fundamental reform of the local government itself, including addressing the issues of the separation of powers at the local level and increasing the responsibility of local authorities towards the population.

Unfortunately, only some elements of administrative reform have been implemented in Uzbekistan so far. The coronavirus pandemic is inevitably introducing some adjustments into the government’s plans to intensify the reforms in 2020.

Regulation of business, protection of property rights, development of competition

The Uzbek leadership has done much in the last years for the improvement of business environment and reduction of transaction costs. This is mainly reflected in reduction of the tax, customs and administrative burden, simplification of procedures for export-import transactions and obtaining various permits, and the improvement of the money circulation system and the banking sector.

At the same time, the regulatory and legal sphere continues to face many problems related to the lack of transparency, inconsistency and inefficiency of legislation, extremely ineffective judicial and legal protection of property and transactions, and lack of real separation of powers and checks and balances. [12]

Another major issue associated with the imperfection of the regulatory and legal framework is the high level of market monopolisation and unequal business rules. Competition is destroyed by artificial barriers to market access for new enterprises, high tariff and non-tariff barriers to imports, and a wide range of individual and group (for example, for members of industry associations) privileges. Reforms have been extremely slow (mostly just plans for the time being) in the so-called ‘natural monopolies’ (energy, utilities, transport) and extractive industries sectors. State enterprises dominate and there is practically no competition. Meanwhile, healthy competitive environment can be successfully created in the majority of such industries with the involvement of private investors.

Reforms in the agrarian sector and irrigation systems

Agriculture is one of the major sectors of the Uzbek economy. Almost half of the population of the country lives in rural areas. In 2019, the contribution of the agricultural sector to Uzbekistan’s GDP was 25.5 per cent. [13] Nevertheless, agriculture is the sector of economy which is the most regulated by the state. The property rights of major agricultural producers and farmers are poorly protected, methods of regulation of their activities are de facto taken from the Soviet past, and markets for many types of agricultural products, manufacturing resources and services for the sector are underdeveloped. Agriculture desperately needs to be reformed, but no significant changes have taken place so far. [14]

A key feature of the agricultural sector of Uzbekistan is the presence of two agricultural crops produced mainly for state needs – cotton and wheat. In the latest years, there has been a certain reduction in the amount of land mandatorily allocated for cotton, primarily in favour of fruit and vegetable production. However, cotton and wheat still constitute about two thirds of all lands allocated for cultivated areas, orchards and vineyards. The existing mechanisms of forming the state order and the pricing system make the cultivation of cotton and wheat unprofitable for a significant part of farmers. In addition, the existing system of land quotas for mandatory crops does not allow farmers to optimise the structure of production, with due regard for soil and climate peculiarities, water availability, staff qualifications, etc. Often, other crops are more profitable to grow on land allocated for cotton and wheat.

The system of administrative regulation of the industry also extends to resource markets. Agricultural machinery, fuel lubricants, fertilisers, fodder, seeds, biological and chemical agents for plant protection, etc., are supplied to farmers by state monopoly companies. The prices of some resources are often subsidised. The amount of resources that can be purchased at lower (subsidised) prices is limited. Land owned by farmers is excluded from economic turnover, the rights to use it cannot be resold, it cannot be used as collateral (to get a loan) or even be legally subleased.

Soil fertility is continuously decreasing due to its inefficient use and degradation of land is also taking place. A complex, expensive and technologically poor irrigation system is used to deliver water to agricultural land. At the same time, there are no effective incentives for the efficient use of water by end users, persons and organisations responsible for water infrastructure. The main part of the costs of water delivery to agricultural producers is covered by the state budget. The payments by agricultural producers for water delivery services are not directly linked to the volume of water consumption. Their amount is not sufficient to stimulate economic water consumption. The result is that there is a huge loss of water during its delivery and use.

The sector needs a fundamental reform, the main elements of which are as follows:

  • Abandonment of the practice of planned assignments on cotton and wheat production, formation and development of free and competitive markets for these products;
  • Formation and development of free and competitive markets of resources and services for agricultural producers;
  • Strengthening ownership rights of land users, provision of the possibility for the resale, sublease or borrowing against the land; and
  • Introduction of principles of paid water use, public-private partnership mechanisms in irrigation system management.

The strategy for the development of the agricultural sector was adopted at the end of 2019, emphasising the need for fundamental reforms. At the beginning of 2020, the President announced plans to cancel the mandatory state order during the period 2020-23. It is also planned to develop competitive markets for agricultural products, resources and services for the agricultural sector, as well as to create a legal framework for land use. Besides, the draft concept of water sector development, which assumes reformation of the sector, is under discussion. [15] However, in view of the forthcoming removal of the mandatory state order, the question arises about the redistribution of the portions of land which are held by farmers.

In recent decades there have been several redistributions of cultivated lands of former collective and state farms. And all these redistributions were carried out completely arbitrarily without any public discussion and approval. This resulted in the current situation when most of the cultivated land is at the disposal of (on the basis of lease agreements) a very small part of rural residents (farmers). The overwhelming majority of rural population has only small plots (dekhkan farms). At the same time, it should be taken into account that some regions have complicated demographic situation, overpopulation and high unemployment in rural areas.

Most rural residents consider this distribution of land to be illegitimate. The problem becomes very acute due to the forthcoming cancellation of the state order, which will turn farmers into real owners of most fertile and irrigated agricultural land.

One of the options for solving this acute problem is to use the fact that lease agreements state that farmers have no right to freely dispose of lands allocated for cotton and wheat. In fact, this is not their land. And since the state cancels the state order, there is a chance to revise the agreements and redistribute the lands previously allocated for the state order in favour of other rural residents (for example, through auctions). During redistribution of the land, especially when determining the size of land plots to be transferred to new owners, it is necessary to keep in mind a significant number of economic and social circumstances, including: the impact of the size of farms on agricultural productivity, employment and income of rural residents, as well as the interests of adjacent sectors of the economy, the demographic situation in the regions, and so on.

Challenges and prospects of reforms

The country’s leadership is still under strong influence of the philosophy and practice of import substitution and protectionism, as well as traditions of ‘manual management’ of the economy. The importance of separation of government functions from business practices and the need for the government to act as an ‘arbitrator’ defining the rules of the game for business, rather than being a direct participant in business processes, is not understood. There is no unified team of reformers who clearly and equally understand the goals and directions of reforms and methods of their implementation. On the contrary, the positions of industry and individual lobbyists who defend corporate and private interests are very strong.

Many challenges are related to the very low average level of professionalism, initiative and economic literacy of civil servants. For a long time, a) the existing system of selection and promotion of personnel, b) lack of political competition, and c) low salaries in government bodies (with the exception of law enforcement agencies), caused ‘negative selection’ of officials, leaving in management positions the unsolicited performers of someone else’s will with low qualifications and high degree of inclination to corruption. It is extremely difficult to carry out fundamental reforms with such personnel potential and to expect a significant improvement in the quality of public administration.

Nevertheless, the reforms in the country are going on, even if not always consistently and systematically. If at least some of the necessary reforms are implemented relatively successfully, there is hope for the formation of more or less effective inclusive market institutions, the creation of conditions for sustainable economic development, the formation of a ‘middle class’ and civil society. In the future, the ‘middle class’ and civil society will become a social pillar for further economic, legal and political reforms.

In conclusion, the author would like to note that there is an acute objective need for expert and organisational support for reforms in Uzbekistan by international organisations, governments of foreign countries and the international expert community. Without it, it will be quite difficult for the country to build and implement an effective strategy of reforms, which will make it possible to shape a fundamentally new socio-economic system.

Yuliy Yusupov. Director of Centre for Economic Development, a NGO engaged in economic development research, economic policy, business consulting ( www.ced.uz ). He carries out research and consulting in the field of economic development and economic policy (in a broad spectrum of areas), as well as market research and business consulting (in a wide range of markets) in Central Asian countries. As an independent expert he is also hired by various international organisations: UNDP, EBRD, IFC, World Bank, USAID, GIZ, JICA, OSCE, UNICEF, IFAD, UNESCO, etc. He is actively involved as an international consultant, mainly on EBRD projects and programs (more than 40 projects). Author of a number of training manuals and monographs, more than 20 published analytical reports, and more than 150 articles in periodicals and collections.

[1] The currency was distributed at the official exchange rate not on the free market and between ‘selected’ buyers in accordance with decisions of officials who were guided by: a) the development priorities of certain industries defined by state programs, b) corruption interests.

[2] Source: Databank, World Development Indicators, https://databank.worldbank.org/source/world-development-indicators#

[3] Kun.uz, 7.9 million Uzbeks work in informal sector, October 2018, https://kun.uz/ru/69289201 ; The figure for external migrants seems to be substantially underreported.

[4] Nuz.uz, Banking sector transformation: strategic challenges for Uzbekistan, January 2020, https://nuz.uz/ekonomika-i-finansy/45851-transformaciya-bankovskogo-sektora-strategicheskie-vyzovy-dlya-uzbekistana.html

[5] Foreign Economic Activity Commodity Nomenclature, the customs codes used in the post-Soviet Space Additional requirements for properties of imported goods and conditions for their sale, different from the requirements for local goods, or difficult to achieve for importers.

[6] Julius Yusupov, What will result in growth of customs payments, ced.uz, October 2019, http://ced.uz/publitsistika/chem-obernetsya-rost-tamozhennyh-platezhej/

[7] Currently, the share of bank liabilities to the private sector in total liabilities comprises 28 per cent. Decree of the President of the Republic of Uzbekistan, On the strategy for reforming the banking system of the Republic of Uzbekistan for 2020-2025, Uza.uz, May 2020,   http://uza.uz/ru/documents/o-ctrategii-reformirovaniya-bankovskoy-sistemy-respubliki-uz-12-05-2020

[8] Julius Yusupov, Five challenges for the future of Uzbekistan. Why should Mirziyoyev hurry up with tax reform, Fergana News, May 2018, https://www.fergananews.com/articles/9965 ; See also other publications: Julius Yusupov, Tax reform, Centre for Economic Development, http://ced.uz/samoe-glavnoe-predstoyashhee-sobytie-2018-goda-nalogovaya-reforma/

[9] Enterprises with a small number of employees (from 25 to 200 depending on the industry) had the right to work in a simplified taxation regime with a much lower tax burden than under the general taxation regime.

[10] Tax reform is carried out in accordance with the Concept approved by the Decree of the President of the Republic of Uzbekistan, About the concept of improving tax policy of the Republic of Uzbekistan, Uza.uz, June 2018, http://uza.uz/ru/documents/o-kontseptsii-sovershenstvovaniya-nalogovoy-politiki-respubl-30-06-2018

[11] Financing of the social sphere is currently carried out in accordance with the staffing table and is not tied to the performance of institutions.

[12] Publications on the subject: Julius Yusupov, Administrative reform, Centre for Economic Development, http://ced.uz/administrativnaya-reforma/

[13] Data of State Committee on Statistics of Republic of Uzbekistan

[14] Julius Yusupov, The agricultural sector of Uzbekistan: features, key problems, the need for reform, Centre for Economic Development, http://ced.uz/issledovaniya/agrarnyj-sektor-uzbekistana-osobennosti-klyuchevye-problemy-neobhodimost-reform/ . Other publications on the topic: Centre for Economic Development, Agrarian reform, http://ced.uz/uzbekistanu-neobhodima-agrarnaya-reforma/

[15] Julius Yusupov, Water scarcity: can Uzbekistan create an effective water management system, Centre for Economic Development, http://ced.uz/sobytiya/defitsit-vody-smozhet-li-uzbekistan-sozdat-effektivnuyu-sistemu-upravleniya-vodnymi-resursami/

Join our mailing list

Expert briefing: priorities for international support to ukraine, as russia’s war rages into its third year, the transatlantic partnership: looking ahead on the impacts of trade, how international law can reverse the global assault on free speech: a review of a new expert guide,  join our mailing list .

Keep informed about events, articles & latest publications from Foreign Policy Centre

Uzbekistan

  • O'zbekcha
  • High contrast
  • Our partners
  • Join UNICEF
  • Press centre

Files available for download

Related topics, more to explore, implementation of youth and child-friendly local governance initiative starts in uzbekistan, towards my dream: dilnoza's story.

We present another UniSat participant, who is preparing to assemble and launch a nanosatellite in Almaty on March 27, 2022.

From childhood dreams to scientific developments

“As a child, I often saw white stars in the night sky. They flew like airplanes. I always wanted to find out what it was,” says Ikboloy Umarova.

ImkonLab - the way to make your dreams come true

Fatima lives with her mother and sister in Nukus. She was born and grew up in the region most affected by the Aral Sea tragedy.

Arab States

Asia and the pacific, europe & central asia, latin america & the caribbean.

You’re using an outdated browser. Old browsers are unstable, unsafe and do not support the features of of this website. Please upgrade to continue.

Your browser does not support JavaScript. This site relies on JavaScript to structure its navigation and load images across all pages. Please enable JavaScript to continue.

What is climate change mitigation and why is it urgent?

  • Share on LinkedIn
  • Share on Facebook
  • Share on twitter
  • Share via email

What is climate change mitigation and why is it urgent?

  • Climate change mitigation involves actions to reduce or prevent greenhouse gas emissions from human activities.
  • Mitigation efforts include transitioning to renewable energy sources, enhancing energy efficiency, adopting regenerative agricultural practices and protecting and restoring forests and critical ecosystems.
  • Effective mitigation requires a whole-of-society approach and structural transformations to reduce emissions and limit global warming to 1.5°C above pre-industrial levels.
  • International cooperation, for example through the Paris Agreement, is crucial in guiding and achieving global and national mitigation goals.
  • Mitigation efforts face challenges such as the world's deep-rooted dependency on fossil fuels, the increased demand for new mineral resources and the difficulties in revamping our food systems.
  • These challenges also offer opportunities to improve resilience and contribute to sustainable development.

What is climate change mitigation?

Climate change mitigation refers to any action taken by governments, businesses or people to reduce or prevent greenhouse gases, or to enhance carbon sinks that remove them from the atmosphere. These gases trap heat from the sun in our planet’s atmosphere, keeping it warm. 

Since the industrial era began, human activities have led to the release of dangerous levels of greenhouse gases, causing global warming and climate change. However, despite unequivocal research about the impact of our activities on the planet’s climate and growing awareness of the severe danger climate change poses to our societies, greenhouse gas emissions keep rising. If we can slow down the rise in greenhouse gases, we can slow down the pace of climate change and avoid its worst consequences.

Reducing greenhouse gases can be achieved by:

  • Shifting away from fossil fuels : Fossil fuels are the biggest source of greenhouse gases, so transitioning to modern renewable energy sources like solar, wind and geothermal power, and advancing sustainable modes of transportation, is crucial.
  • Improving energy efficiency : Using less energy overall – in buildings, industries, public and private spaces, energy generation and transmission, and transportation – helps reduce emissions. This can be achieved by using thermal comfort standards, better insulation and energy efficient appliances, and by improving building design, energy transmission systems and vehicles.
  • Changing agricultural practices : Certain farming methods release high amounts of methane and nitrous oxide, which are potent greenhouse gases. Regenerative agricultural practices – including enhancing soil health, reducing livestock-related emissions, direct seeding techniques and using cover crops – support mitigation, improve resilience and decrease the cost burden on farmers.
  • The sustainable management and conservation of forests : Forests act as carbon sinks , absorbing carbon dioxide and reducing the overall concentration of greenhouse gases in the atmosphere. Measures to reduce deforestation and forest degradation are key for climate mitigation and generate multiple additional benefits such as biodiversity conservation and improved water cycles.
  • Restoring and conserving critical ecosystems : In addition to forests, ecosystems such as wetlands, peatlands, and grasslands, as well as coastal biomes such as mangrove forests, also contribute significantly to carbon sequestration, while supporting biodiversity and enhancing climate resilience.
  • Creating a supportive environment : Investments, policies and regulations that encourage emission reductions, such as incentives, carbon pricing and limits on emissions from key sectors are crucial to driving climate change mitigation.

Photo: Stephane Bellerose/UNDP Mauritius

Photo: Stephane Bellerose/UNDP Mauritius

Photo: La Incre and Lizeth Jurado/PROAmazonia

Photo: La Incre and Lizeth Jurado/PROAmazonia

What is the 1.5°C goal and why do we need to stick to it?

In 2015, 196 Parties to the UN Climate Convention in Paris adopted the Paris Agreement , a landmark international treaty, aimed at curbing global warming and addressing the effects of climate change. Its core ambition is to cap the rise in global average temperatures to well below 2°C above levels observed prior to the industrial era, while pursuing efforts to limit the increase to 1.5°C.

The 1.5°C goal is extremely important, especially for vulnerable communities already experiencing severe climate change impacts. Limiting warming below 1.5°C will translate into less extreme weather events and sea level rise, less stress on food production and water access, less biodiversity and ecosystem loss, and a lower chance of irreversible climate consequences.

To limit global warming to the critical threshold of 1.5°C, it is imperative for the world to undertake significant mitigation action. This requires a reduction in greenhouse gas emissions by 45 percent before 2030 and achieving net-zero emissions by mid-century.

What are the policy instruments that countries can use to drive mitigation?

Everyone has a role to play in climate change mitigation, from individuals adopting sustainable habits and advocating for change to governments implementing regulations, providing incentives and facilitating investments. The private sector, particularly those businesses and companies responsible for causing high emissions, should take a leading role in innovating, funding and driving climate change mitigation solutions. 

International collaboration and technology transfer is also crucial given the global nature and size of the challenge. As the main platform for international cooperation on climate action, the Paris Agreement has set forth a series of responsibilities and policy tools for its signatories. One of the primary instruments for achieving the goals of the treaty is Nationally Determined Contributions (NDCs) . These are the national climate pledges that each Party is required to develop and update every five years. NDCs articulate how each country will contribute to reducing greenhouse gas emissions and enhance climate resilience.   While NDCs include short- to medium-term targets, long-term low emission development strategies (LT-LEDS) are policy tools under the Paris Agreement through which countries must show how they plan to achieve carbon neutrality by mid-century. These strategies define a long-term vision that gives coherence and direction to shorter-term national climate targets.

Photo: Mucyo Serge/UNDP Rwanda

Photo: Mucyo Serge/UNDP Rwanda

Photo: William Seal/UNDP Sudan

Photo: William Seal/UNDP Sudan

At the same time, the call for climate change mitigation has evolved into a call for reparative action, where high-income countries are urged to rectify past and ongoing contributions to the climate crisis. This approach reflects the UN Framework Convention on Climate Change (UNFCCC) which advocates for climate justice, recognizing the unequal historical responsibility for the climate crisis, emphasizing that wealthier countries, having profited from high-emission activities, bear a greater obligation to lead in mitigating these impacts. This includes not only reducing their own emissions, but also supporting vulnerable countries in their transition to low-emission development pathways.

Another critical aspect is ensuring a just transition for workers and communities that depend on the fossil fuel industry and its many connected industries. This process must prioritize social equity and create alternative employment opportunities as part of the shift towards renewable energy and more sustainable practices.

For emerging economies, innovation and advancements in technology have now demonstrated that robust economic growth can be achieved with clean, sustainable energy sources. By integrating renewable energy technologies such as solar, wind and geothermal power into their growth strategies, these economies can reduce their emissions, enhance energy security and create new economic opportunities and jobs. This shift not only contributes to global mitigation efforts but also sets a precedent for sustainable development.

What are some of the challenges slowing down climate change mitigation efforts?

Mitigating climate change is fraught with complexities, including the global economy's deep-rooted dependency on fossil fuels and the accompanying challenge of eliminating fossil fuel subsidies. This reliance – and the vested interests that have a stake in maintaining it – presents a significant barrier to transitioning to sustainable energy sources.

The shift towards decarbonization and renewable energy is driving increased demand for critical minerals such as copper, lithium, nickel, cobalt, and rare earth metals. Since new mining projects can take up to 15 years to yield output, mineral supply chains could become a bottleneck for decarbonization efforts. In addition, these minerals are predominantly found in a few, mostly low-income countries, which could heighten supply chain vulnerabilities and geopolitical tensions.

Furthermore, due to the significant demand for these minerals and the urgency of the energy transition, the scaled-up investment in the sector has the potential to exacerbate environmental degradation, economic and governance risks, and social inequalities, affecting the rights of Indigenous Peoples, local communities, and workers. Addressing these concerns necessitates implementing social and environmental safeguards, embracing circular economy principles, and establishing and enforcing responsible policies and regulations .

Agriculture is currently the largest driver of deforestation worldwide. A transformation in our food systems to reverse the impact that agriculture has on forests and biodiversity is undoubtedly a complex challenge. But it is also an important opportunity. The latest IPCC report highlights that adaptation and mitigation options related to land, water and food offer the greatest potential in responding to the climate crisis. Shifting to regenerative agricultural practices will not only ensure a healthy, fair and stable food supply for the world’s population, but also help to significantly reduce greenhouse gas emissions.  

Photo: UNDP India

Photo: UNDP India

Photo: Nino Zedginidze/UNDP Georgia

Photo: Nino Zedginidze/UNDP Georgia

What are some examples of climate change mitigation?

In Mauritius , UNDP, with funding from the Green Climate Fund, has supported the government to install battery energy storage capacity that has enabled 50 MW of intermittent renewable energy to be connected to the grid, helping to avoid 81,000 tonnes of carbon dioxide annually. 

In Indonesia , UNDP has been working with the government for over a decade to support sustainable palm oil production. In 2019, the country adopted a National Action Plan on Sustainable Palm Oil, which was collaboratively developed by government, industry and civil society representatives. The plan increased the adoption of practices to minimize the adverse social and environmental effects of palm oil production and to protect forests. Since 2015, 37 million tonnes of direct greenhouse gas emissions have been avoided and 824,000 hectares of land with high conservation value have been protected.

In Moldova and Paraguay , UNDP has helped set up Green City Labs that are helping build more sustainable cities. This is achieved by implementing urban land use and mobility planning, prioritizing energy efficiency in residential buildings, introducing low-carbon public transport, implementing resource-efficient waste management, and switching to renewable energy sources. 

UNDP has supported the governments of Brazil, Costa Rica, Ecuador and Indonesia to implement results-based payments through the REDD+ (Reducing emissions from deforestation and forest degradation in developing countries) framework. These include payments for environmental services and community forest management programmes that channel international climate finance resources to local actors on the ground, specifically forest communities and Indigenous Peoples. 

UNDP is also supporting small island developing states like the Comoros to invest in renewable energy and sustainable infrastructure. Through the Africa Minigrids Program , solar minigrids will be installed in two priority communities, Grand Comore and Moheli, providing energy access through distributed renewable energy solutions to those hardest to reach.

And in South Africa , a UNDP initative to boost energy efficiency awareness among the general population and improve labelling standards has taken over commercial shopping malls.

What is climate change mitigation and why is it urgent?

What is UNDP’s role in supporting climate change mitigation?

UNDP aims to assist countries with their climate change mitigation efforts, guiding them towards sustainable, low-carbon and climate-resilient development. This support is in line with achieving the Sustainable Development Goals (SDGs), particularly those related to affordable and clean energy (SDG7), sustainable cities and communities (SDG11), and climate action (SDG13). Specifically, UNDP’s offer of support includes developing and improving legislation and policy, standards and regulations, capacity building, knowledge dissemination, and financial mobilization for countries to pilot and scale-up mitigation solutions such as renewable energy projects, energy efficiency initiatives and sustainable land-use practices. 

With financial support from the Global Environment Facility and the Green Climate Fund, UNDP has an active portfolio of 94 climate change mitigation projects in 69 countries. These initiatives are not only aimed at reducing greenhouse gas emissions, but also at contributing to sustainable and resilient development pathways.

Explore More Stories

Pacific shores, solar solutions: harnessing renewable energy in the pacific islands.

Photo: Yuichi Ishida/UNDP Timor-Leste

Photo: Yuichi Ishida/UNDP Timor-Leste

West Africa has great potential for solar energy. It’s time to release it.

Two men installing solar panels in Niger

Photo: UNDP Niger

Electric vehicles are driving a greener future in Viet Nam

Ho Tuan Anh delivers goods with his new e-motorbike

Ho Tuan Anh delivers goods with his new e-motorbike. Photo by: Phan Huong Giang/UNDP Viet Nam

Why the Western Balkans are choosing decarbonization

Carbon-intensive industries in Bosnia and Herzegovina are pursuing decarbonization

Photo: UNDP Bosnia and Herzegovina

Six lessons on how to achieve future-smart energy efficient buildings 

Solar photovoltaic systems on roofs in Lebanon.

Solar photovoltaic systems on roofs in Lebanon. Photo: Fouad Choufany / UNDP Lebanon

Six ways to achieve sustainable energy for all

Six ways to achieve sustainable energy for all

Photo: UNDP Zimbabwe

115 Global Issues Essay Topic Ideas & Examples

🏆 best global issues topic ideas & essay examples, ✍️ global issues essay topics for college, 📌 good essay topics on global issues, 💡 interesting topics to write about global issues, ❓ global issues questions.

  • Water Scarcity as a Global Issue: Causes and Solutions Common causes of water scarcity include overpopulation e in regions that have limited water resources, global warming, destruction of water catchment areas by human activities, and pollution of water sources.
  • Tuberculosis as a Global Health Issue Over the years, the bacteria strain that causes tuberculosis has developed a lot of resistance mainly as a result of a lack of compliance to treatment on the part of the patient.
  • Gender Inequality as a Global Issue This essay will examine some of the causes that affect the gap in the treatment of men and women, and its ramifications, particularly regarding developing countries.
  • Homelessness as a Global Social Issue In the US, homelessness is on the increase because of economic melt- down and foreclosures. Moreover, differences in perception of homelessness by liberal and conservative on homeless have increased homelessness in the US.
  • Reflection on Global Issues: Globalization of the Environment The global conflicts, managing the post-pandemic world, and the need to navigate the social injustices to ensure equality for all are among the most pressing ones.
  • The Great Global Warming Swindle: Different Views on the Issue According to the film, the main aim of the scientific organizations is to get funding for the research of this problem and attract additional attention to global warming, while in reality, the climate is changing […]
  • Anthropology in Solving Global Social Issues Artists were moving in the same direction, which excluded the possibility to understand and assess other examples of the art of other nations.
  • Project Cost Management: Global Issues and Challenges The information revealed by the author is likely to be beneficial for those individuals who are occupied in various fields but provide cost management services in the framework of the global construction industry.
  • Global Health Issue in the “Mother Teresa” Movie The movie is devoted to her immense donation to the universal HIV/AIDS struggle in India, but along with the help to HIV infected people, she made the greatest ever contribution to the matters of peace […]
  • Global Issues: Addressing an Aging Population An important issue that is currently facing the world community is aging due to the increasing number of older people. Migration leaves the countries in which people are moving with a significant number of older […]
  • Global Health Issue of Malaria It can be explained due to the higher density of the population in those areas and the low socioeconomic status of most people.
  • Global Health Issues Affecting International Community The HIV and tuberculosis pandemics have caused and will continue to present considerable challenges to emerging nations’ public health care systems, especially in the hardest-hit nations.
  • Global Inequality Issues in Modern Society It was evident during the times of colonization when foreign entities tried to impose their sociopolitical and economic institutions on the developing nations.
  • Global Issues, Climate Justice, and Human Overpopulation On the one hand, globalization has many positive aspects: the mutual enrichment of the world community, the exchange of best practices, and the availability of goods.
  • Sustainability as an Urgent Global Issue Therefore, this shows the importance of integrating technology with other multidisciplinary teams to achieve quick and sustainable designs that can help in solving the urgent global issue.
  • Global Issues, Common Good, and Individualism In such a case, the cohesion and commitment of each individual to shared goals and interests seem to solve the mentioned problems.
  • Global Issues: Politics, Economics, and Culture by R.Payne The next chapter 14 reveals the issue of cultural homogenization and hybridization due to globalization. From the perspective of the biblical worldview, it largely determines the principles of the world.
  • Global Ecological Issues of Covid-19 Pandemic The reduction in carbon dioxide emissions is due to the removal of cars on the streets, which account for about 23% of total CO2 emissions.
  • Environmental and Global Health Issues: Measles Measles is among the most contagious disease in the world and is highly frequent and densely distributed in poor developing nations of Africa and Asia.
  • Solving Global Issues May Not Be as Easy as It Seems The main point of the essay is to demonstrate how the inaction of those with power and money in the face of human suffering is purely immoral.
  • Global Health Issue: The Coronavirus Disease Families have suffered unparalleled grief, anxiety, and distress from the increasing fatality, massive job losses, lockdowns, and movement restrictions to curb the spread of the virus.
  • WHO and Its Impact on Global Health Issues The issues which are the center of attention of the World Health Organization are: Women’s Health Health In Africa Eradication of communicable diseases Dr Margaret Chan, the Director-General of World Health Organization said;”I want my […]
  • Examination of a Global Population Issue of Russia The country is one of the richest in the world. The country also has the largest forest cover in the world, and the largest fresh water lake.
  • Global Health Concerns Overview Title Report 1. Japan nuke risks are minimal The World Health Organization has sent alerts to global health experts to travel to Japan to prevent health hazards caused by radiation. WHO reported the health risks arising from the incident is very low and the current radiation level has no great risk on public health. In […]
  • Global Issues Action Plan in the U.S. While drawbacks are the possibility of losing power that other states can use to influence the United States and the lack of protection from emerging military organizations and countries, such as China and Iran, that […]
  • Global Health Issue Analysis: HIV – A Relatively New Disease Rapid detection and treatment are crucial to limit the spread of HIV and limit the patient’s effects. As the frequency and intensity of symptoms vary from person to person, testing is the only clear way […]
  • Race as a Global Issue in the 1920s The main intention of prohibiting immigrants from entering the country was to block the Germans whom the Americans saw as a threat to their country.
  • Global Digital Divide as a Social Issue That is, if societies around the globe are able to bridge the gap between those who have and those who do not in relation to information technology, then the development problems would be minimized at […]
  • Global Issue: WWF on Bio-Refineries NGO’s and private communities provide most of the funds, along with the government, for the development of these integrated bio-refineries. Integrated bio-refineries come with the promise of a better lifestyle and enhanced working conditions for […]
  • Global Warming Issues Review and Environmental Sustainability Whether it is the melt down of Arctic ice, the damage of the Ozone layer, extra pollution in developing countries; all sums up to one thing in common and that is global warming.
  • Modern Global Issues: Drinking Water Shortage The situation is closely linked with the lack of water, and the offered technology to cope with this problem. This is the only way to use naturally filtered and sprang water.
  • How Has Globalization Impacted on Issues of Human Rights? William Adler closely examines the disrupted lives of the three women who occupy an assembly-line job as the job and its company moves from New Jersey to rural Mississippi and to Matamoros, Mexico, across the […]
  • Malnutrition in Children as a Global Health Issue The peculiarity of this initiative is not to support children and control their feeding processes but prevent pediatric malnutrition even before a child is born.
  • Adolescent Pregnancy as a Global Issue The wider the information system is, the more effective methods of solving problems related to the health of pregnant teens are.
  • The Doha Round Effectiveness in Solving Global Issues Except for the Dispute Settlement Understanding actions, the attendees of the conference agreed that the outcome of all negotiations was to be done as a single undertaking.
  • Cultural Competence in Action: Solutions to Global Health Issues In this paper, the analysis of several case studies about cultural competence will be discussed to clarify how to achieve positive results and reduce the wasting of resources. In the second case, certain attention is […]
  • Polar Transformations as a Global Warming Issue Changes in vegetation due to global warming will be varying as the regions are covered with three main vegetation types: polar desert, boreal forest, and the tundra.
  • Project Cost Management’s Global Issues and Challenges The results suggest the lack of identity for the profession on the global scale due to the lack of consensus regarding the common descriptor, the scarcity of common standards, terminology, and bodies of knowledge, and […]
  • Natural Disasters and Global Social Issues The hurricane led to a major shift in the social arrangement of the populations in the worst affected areas. This led to a significant loss of jobs in the affected areas.
  • Childhood Obesity in Developing Countries – A Global Health Issue Childhood Obesity and the Globe As mentioned earlier, according to the data of WHO, the number of obese children in the world today is more than 42 million, and the vast majority of them are […]
  • Differing Views on Global Warming Issues It is crucial to bring on board the views of those who view global warming as a myth that need not to be addressed.
  • Ethics-Related Global Workplace Issues Child labor also exposes the children to activities that are illegal. Forced labor is a form of slavery and should not be practiced anywhere in the world.
  • Examination of a Global Population Issue Economic Issues The economy of South Africa is one of the fastest developing economies in the world. Being the only African country which is a member of the G-20, this country has been seen to […]
  • Global Population Issues and Population in the UAE The natural resources will face exhaustion due to the great pressure of the population. Consequently, the governments of these countries will be forced to take measures to drive the fertility rates up to cover up […]
  • Global Issues for Global Citizens: An Introduction to Key Development Challenges
  • Are Gender Rights and Gender Discrimination Global Issues
  • Global Issues Regarding the Container Shipping
  • Analysis of the Global Issues in Business
  • Global Issues, Local Solutions: Rethinking Wealth and Health
  • Climate Change and Pollution Are Serious Global Issues
  • Compounded Global Issues: Terrorism, Nuclear Proliferation, and Climate Change
  • Global Issues: Obesity, Inactivity, and Water-Crisis
  • Environment-Related Global Issues: Global and Regional Conventions
  • How Global Issues Are Resolved With the Scopes of Many Disciplines
  • Explaining the Global Issues of Environment and Health
  • Global Crimes Cause Global Issues That Affect the National
  • The Alarming and Troublesome Global Warming Issue
  • Analyzing How Global Issues Affect Tourism
  • The Link Between Global Issues and Change in Human Resource Management
  • The Relations Between the Global Issues and Institutions
  • Global Issues Surrounding the Millennium Development Goals
  • Analyzing Human Trafficking as a Global Issue
  • Global Warming: An Issue That Is Man-Made?
  • Immigration and Migration Described as the Global Issues
  • Analyzing Global Issues That Effect Everyone
  • Environmental Issues: Chevron’s Contribution to Global Warming
  • Global Issues We Are Facing Today
  • Cigarette Smoking Relation to Global Issues of the Future
  • Six Global Issues Associated With E-Commerce
  • Global Issues: The Link Between Water Shortage and Child Mortality
  • Analysis of the Innovation and Global Issues in Social Sciences
  • The Relationships Between Internet, Computers, and Global Issues
  • Global Issues Within the First Civilizations
  • Legal and Global Issues Focused On Treating Undocumented Immigrants
  • Analysis of the Poor News Coverage and Public Opinion on Global Issues
  • Depicting Social and Global Issues and Trends in Adult Education
  • The Global Issues Depicted in “Home”, a Documentary by Yann Arthus-Bertrand
  • Teaching for Sustainable Development Through Ethical Global Issues Pedagogy
  • Terrorism and the Military: Global Issues of Today
  • The Concept, Content, and Nature of Contemporary Global Issues
  • The Gay Marriage Debate: Contemporary Global Issues
  • The Analysis of the Global Issues and Threats of Nuclear Weapons
  • Overview of the Significant Global Issues of Nowadays
  • The Part of the U.S. and India in Global Issues On Women
  • Are Gender Rights and Gender Discrimination Global Issues?
  • What Are the Global Issues in Business?
  • Are Climate Change and Pollution Serious Global Issues?
  • Are Terrorism and Nuclear Proliferation Global Issues?
  • What Is the Role of Third World Countries in Global Environmental Issues?
  • How Are Global Issues Solved With the Help of Many Disciplines?
  • What Are the Social and Global Issues and Trends in Adult Education?
  • What Institutions Can Solve Global Issues?
  • What Are the Global Issues of Immigration and Migration?
  • Do Global Issues Have Local Solutions?
  • How Global Is the Issue of Obesity?
  • What Are the Global Issues Related to Container Transportation?
  • Is Child Mortality a Global Issue?
  • What Are the Global Issues Associated With the Millennium Development Goals?
  • What Were the Global Issues of the First Civilizations?
  • What Global Issues Is Humanity Currently Facing?
  • What Are the Global Issues Related to Human Resource Management?
  • What Does Smoking Have to Do With Global Issues of the Future?
  • How Do Global Issues Affect Individual States?
  • What Is Public Opinion About Global Issues?
  • What Are the Concepts, Meaning and Nature of Modern Global Issues?
  • Gay Marriage: Is It a Modern Global Issue?
  • What Are the US and India Global Issues Affecting Women?
  • Global Issues: How to Fight Addiction to Video Games?
  • What Are the Global Health Issues?
  • Is Organized Crime a Global Issue in the World?
  • How Can National Governments Solve the Global Issue of Climate Change?
  • What Are Starbucks Global Issues?
  • Why Is Global Cooperation Important to Address the Global Issues of Postharvest Losses?
  • Is It Possible to Solve the Global Issue of PTSD?
  • Chicago (A-D)
  • Chicago (N-B)

IvyPanda. (2024, February 26). 115 Global Issues Essay Topic Ideas & Examples. https://ivypanda.com/essays/topic/global-issues-essay-topics/

"115 Global Issues Essay Topic Ideas & Examples." IvyPanda , 26 Feb. 2024, ivypanda.com/essays/topic/global-issues-essay-topics/.

IvyPanda . (2024) '115 Global Issues Essay Topic Ideas & Examples'. 26 February.

IvyPanda . 2024. "115 Global Issues Essay Topic Ideas & Examples." February 26, 2024. https://ivypanda.com/essays/topic/global-issues-essay-topics/.

1. IvyPanda . "115 Global Issues Essay Topic Ideas & Examples." February 26, 2024. https://ivypanda.com/essays/topic/global-issues-essay-topics/.

Bibliography

IvyPanda . "115 Global Issues Essay Topic Ideas & Examples." February 26, 2024. https://ivypanda.com/essays/topic/global-issues-essay-topics/.

  • Environment Research Topics
  • Gender Inequality Research Topics
  • Human Rights Essay Ideas
  • National Parks Research Topics
  • Overpopulation Topics
  • Nuclear Energy Essay Titles
  • Poverty Essay Titles
  • Racism Paper Topics

Home

  • How We're Funded
  • Staff Directory
  • Board of Directors

What World Do We Want in 2050?

Recommended.

View from below of the sky hemmed in by a number of skyscrapers

  • Read my longer note with Zack Gehan
  • Explore our new interactive tool and try out different scenarios for the future
  • Watch this livestreamed event today on the research
  • Catch up on past research in the project

Imagine two different outcomes for the world economy in 2050.

First, one where stagnation in rich countries suffering population decline is accompanied by struggling economic performance in the world’s poorest countries where populations continued to rise. The average global income is actually lower in 2050 than 2020 as a result. The proportion of the world living in low- and lower-middle-income countries remains at about one half, the same share as three decades prior. Many low-income countries remain, especially across the Sahel where climate change has had some of its earliest effects on the people least able to adapt to them.  Still one in five of the population of sub-Saharan Africa lives on less than $2.15 a day, and the proportion of the world under $10 remains similar to its level thirty years before.

Compare a second scenario: Global GNI per capita has doubled since 2020, and Africa’s average income has climbed from $4,800 to $13,300. There are no low-income countries left worldwide, and 85 percent of the world is living in high-income or upper-middle-income countries. $2.15-a-day poverty has been effectively eliminated, and the proportion of the world in $10-a-day poverty has fallen from three fifths in 2020 to one fifth in 2050.

Based on what we know about economic growth and what we can predict about demographics, education, and the climate in 2050, analysis I carried out with my colleague Zack Gehan suggests these two visions of the global economy at mid-century are about equally likely to occur—with the actual outcome most likely to be somewhere in between.

That central forecast itself suggests weaker global growth than in the past, because the world economy is facing headwinds over the next few decades: the working-age population of OECD economies will fall by 92 million people between 2015–50 and countries including South Korea will have more dependents than working-age people by mid-century. We’re already seeing the resulting shortages in fields from agriculture through care services. And old people in rich countries consume services at even higher rates than the average. That’s a problem for them given productivity growth in services is usually considerably below that in industry, but it’s also a problem for poorer countries that hoped to use manufactured exports as a path to rapid growth. Education rates are plateauing in the richest countries, suggesting slower human capital accumulation and technology development. And while peak fossil fuel use appears locked in as an outcome, climate change will continue, and especially in the world’s poorest countries that will be a drag on growth.

But how much we deviate from that central forecast—toward a world free of low-income countries and $2.15-a-day poverty, or a world where incomes are all too close to stagnating—isn’t simply a matter of luck: it is about the policy choices world leaders take over the next quarter century.

Richer aging countries need educated young workers to provide the services and entrepreneurial talent to sustain their quality of life. A growing population of young, increasingly educated people in poorer countries, and especially in Africa, need good jobs and greater opportunities. More trade in services and the greater movement of people can match those needs. Migration can also help provide the workforce to construct and operate the infrastructure of the green economy in richer countries, while global cooperation on innovation can rapidly develop low-cost zero-carbon production not just for energy, but also cement, steel, and aluminum. That’s all part of a suite of advances that could make net zero approaches cheaper than emitting alternatives.  A wealthier world could also easily afford to support those in the poorest countries that are least responsible for climate change but at the bleeding edge of its impact.

On the other hand, we could take choices pushing the world toward the path of stagnation on a hotter world: raising barriers to the movement goods and people, stalling technological advance through subsidy and tariff wars, abandoning low-income countries to their fate.

At the moment it may seem hard to be optimistic, but it isn’t too late to set course for a much more prosperous and sustainable world at mid-century.

CGD blog posts reflect the views of the authors, drawing on prior research and experience in their areas of expertise. CGD is a nonpartisan, independent organization and does not take institutional positions.

View the discussion thread.

More Reading

Ngozi Okonjo-Iweala, General manager of the World Trade Organization

WORKING PAPERS

Ideas to action: independent research for global prosperity

© 2024 Center for Global Development | Privacy Notice and Cookie Policy

Sign up to get weekly development updates:

  • Social Issues

Essay Sample on Global Issues Facing The World

It’s 2050, the teens of 2022 have just inherited the world but it’s in flames, unlivable, we don’t have enough resources to get into space, poverty has reached its peak. Earth, earth’s life, and the human race are doomed.

Now more than ever, we need to be more engaged with the things happening around them today. Issues such as racism,climate change, gender and sexuality equality, animal welfare, displaced people, war, identity security, and so much more are getting worse. We, the present day teens, must engage in these issues because they aren’t going away, we will inherit the mess adults leave behind, and we need to fix these issues now because we cannot afford to wait.

First of all, these issues are not going away. Adults in power are too lazy to do anything about these issues because it could cause them to not get as much money, or in some cases popularity. Politicians are too worried about themselves and the number of votes they get to focus on the real issues that won’t necessarily affect them but will affect younger and future generations. This selfishness and ignorance is causing important and valuable money to go towards the things that are affected- for example the Great Barrier Reef, but not solving the actual problem. They also forget that investing $1.8 trillion for these issues could generate $7.1 trillion in the future. The Selfishness and ignorance of people in power is causing these issues to not go away.

Furthermore, we will inherit this mess. When we, the present day teens, take the world into our hands the world will have fallen apart and the dreams we have now will be crushed. We won’t be able to live our lives and we won’t be able to make our own choices. The mental health of our generation and future generations will become even worse. Therefore future generations won’t be able to live without war and poverty at every corner and will not have a chance to see the beauty of the world at its highest point of joy and prosperity. When we inherit this mess of a world there will be nothing left unless we engage in these issues now.

Ultimately, we need to fix these issues now because we can’t afford to wait any longer. By 2030 the impacts and path of climate change will be irreversible and the Earth will go on a downward spiral to lifeless oblivion.  Additionally, 359 million people will be living in extreme poverty in today’s fragile states (63% of the world's poor) by 2030. The UN’s 2030 agenda is: people, prosperity, planet, partnership and peace - also known as the 5 ps, but the UN’s recent $100 billion promise to stop climate change was broken. The world will be nothing but ashes and rubble by the time we take it into our hands because of the lack of initiative and the slothfulness of those in power and influential people. We must fix these issues now or it will be too late.

To get involved you can educate yourself and others, voice your opinions and concerns to today’s decision-makers and people of influence- for example open letters. You can also help develop trusted sources of information and make a change now to influence those around you.

In conclusion, we must engage in critical issues because they aren’t going away, we will inherit this mess, and we need to fix these issues now because we can’t afford to wait. So get out there, educate yourself, make yourself heard, make a change yourself and save the world!

Related Samples

  • Working Overtime Is Bad (Essay Example)
  • Unethical Aborted Fetal Tissue Research Paper Example
  • Psychological Impact of Sexual Assault
  • Smoking in Public Places Essay Example
  • Research Paper on Immigration
  • Zoo Good Or Bad Essay Sample
  • Women in North Korea Essay Example
  • The History of Racial Discrimination in the United States Essay Example
  • The impact of #MeToo Research Paper
  • Challenges Facing Men in Today's Society Essay Example

Didn't find the perfect sample?

global problems in uzbekistan essay

You can order a custom paper by our expert writers

IMAGES

  1. Global Environmental Issues Free Essay Example

    global problems in uzbekistan essay

  2. Social Transformations and social problems in Uzbekistan by Диана Адагамова

    global problems in uzbekistan essay

  3. ≫ Seasonal Cotton Slavery In Uzbekistan Free Essay Sample on Samploon.com

    global problems in uzbekistan essay

  4. Embodying Moral Superiority: The Master–Apprentice Relationship and

    global problems in uzbekistan essay

  5. econ.essay.c.docx

    global problems in uzbekistan essay

  6. Digital economy and Uzbekistan

    global problems in uzbekistan essay

VIDEO

  1. O'zbekiston-Afg'oniston munosabatlari haqida ekspertlar bilan intervyu

  2. Short Paragraph on Uzbekistan

  3. UZBEKISTAN LEADS GLOBAL GOLD SALES IN FEBRUARY

  4. TOSHKENTDAGI KATTA MUOMMO // BREAKING NEWS GLOBAL PROBLEM IN UZBEKISTAN

  5. Tips of writing an Essay on global problems. By Deepak Sir #doa #rimc #sainikschool #rms

  6. G'arb Putinni do'st deb bilgandi

COMMENTS

  1. PDF United Nations Common Country Analysis: Uzbekistan

    4 United Nations Common Country Analysis: Uzbekistan. This update to the Uzbekistan Common Country Analysis (CCA) takes into account the impact of the COVID-19 crisis in 2020 and its continuing effects in 2021, touching not only public health and the economy, but also many other sectors and multiple socio-economic groups.

  2. High expectations in Uzbekistan

    High expectations in Uzbekistan. Uzbekistan's economic transition from plan to market started three decades ago when it became an independent country. But for much of this time, economic ...

  3. Uzbekistan's Transition to a Green Economy: Challenges and

    February 23, 2023. Credit: World Bank. Uzbekistan has been making significant strides to incorporate sustainable practices into its overall economic planning. The country began transitioning from ...

  4. PDF Greening the Economy in Uzbekistan: State of Play in 2023

    Uzbekistan's economy grew on average by 6% annually between 2011 and 2022. The growth rate has slowed since 2015, with 4.4% in 2017 and around 5.5% and 6.0% in 2018 and 2019, respectively (Figure 2.5). The slowed-down GDP growth rate in 2017 reflects more accurate accounting than a sharp contraction (EBRD, 2017).

  5. Navigating New Horizons: Uzbekistan's Role in Global Connectivity

    The meeting comes at a time of disruptions in the Red Sea shipping route, a crucial artery handling 10 percent of global trade. Beginning in November 2023, attacks by Houthi rebels on merchant ...

  6. Uzbekistan Overview: Development news, research, data

    In May 2022, the World Bank Group's new Country Partnership Framework for Uzbekistan (CPF) was endorsed by the World Bank's Board of Executive Directors. The document outlines the World Bank's financial and analytical support to the Government of Uzbekistan for the next five years in support of the National Development Strategy for 2022-26.

  7. New Flagship Report by the World Bank Identifies Key Opportunities for

    WASHINGTON, May 18, 2022 - The World Bank has released its new Systematic Country Diagnostic (SCD) report for Uzbekistan, which analyzes key challenges and opportunities for the country's development. The SCD contains policy recommendations for removing barriers to private sector growth, reducing the state's role in the economy, focusing on people and their human capital, and ...

  8. Uzbekistan`s contribution to the global fight against climate change

    In recent years, addressing the challenges posed by climate change and finding ways to adapt and mitigate its negative impacts have become crucial priorities for global sustainable development, including our country. Uzbekistan, being one of the lands most vulnerable to climate change, has consistently highlighted these issues at various international and regional summits.

  9. Climate change in Uzbekistan: Illustrated summary

    This document illustrates climate trends and developments in Uzbekistan on the basis of images.. Uzbekistan is particularly vulnerable to climate change, and in the absence of additional measures, the nation may face deficiencies in water resources and an increase in land degradation. Climate warming has reduced snow cover and increased evaporation, and Uzbekistan is experiencing an ever ...

  10. Uzbekistan's international relations

    Uzbekistan's international relations. By. pp. £130.00. Isbn 978 0 36734 743 7. Available as e-book. The botched US withdrawal from Afghanistan in 2021 has brought the central Asian states to the public's attention once again. For great powers, the region presents both an opportunity to create a ring of allies in a contested area, and a ...

  11. Uzbekistan's National Sustainable Development Goals: Progress and

    And Uzbekistan is an active member-state of these processes". Welcoming the participants, Obid Khakimov, the Director of CERR, noted that this year the world marks the half-way to achieving the SDGs. "This is an important moment to assess the progress made, share important experiences and clarify goals for Uzbekistan."

  12. World Report 2023: Uzbekistan

    At least 21 people were killed and over 270 were injured in early July in Uzbekistan's autonomous region of Karakalpakstan, following protests over proposed constitutional amendments that began ...

  13. PDF UZBEKISTAN: Annual Economic Report

    In 2020, Uzbekistan's foreign trade was $36.3 billion and decreased by $5.45 billion (-13.1%) compared to 2019. Total export amounted to $15.13 billion (13.5% fall against 2019) and total import was $21.17 billion (12.8% fall against 2019), resulting in a $6.04 billion negative balance. As of July 2021, foreign trade recovered and increased by ...

  14. Problems of the Aral Sea and water resources of Central Asia

    The Aral Sea crisis zone directly covers the territories of Turkmenistan, Kazakhstan and Uzbekistan, as well as indirectly - Tajikistan and Kyrgyzstan. On the bare part of the Aral Sea a new salt desert with an area of 5.5 million hectares appeared. Over 90 days a year, dust storms rage over it, spreading over 100 million tons of dust and ...

  15. Economic reforms in Uzbekistan: Achievements, problems, perspectives

    Uzbekistan's economic reforms began after the assumption of power by the new president. The following reforms are most important ones from an economic perspective: Unification of exchange rates, liberalisation of the foreign exchange market and introduction of conversion for current operations (summer - autumn 2017);

  16. (PDF) The global logistics challenges

    1. Introduction. In this report not only will we analyze Uzbekistan's challenges in logistics sector, but we also try. to explore the promising sides of the current field as well. To this end ...

  17. Uzbekistan: Staff Concluding Statement of the 2024 Article IV Mission

    Washington, DC: An International Monetary Fund (IMF) mission led by Mr. Yasser Abdih conducted discussions for the 2024 Article IV consultation with Uzbekistan from April 23 to May 7 in Tashkent.At the end of the visit, the mission issued the following statement: Recent developments, outlook, and risks. Uzbekistan's growth has remained strong.

  18. Ecological Situation in Uzbekistan: Problems and Solutions (on the

    The article provides information on the environmental policy pursued in Uzbekistan during the years of independence, the impact of environmental risks on nature and human health, the measures taken in the country to stabilize the environmental situation and their results ... Annaeva, Z. M. "Ecological Situation in Uzbekistan: Problems and ...

  19. PDF Impact of Globalization on International Trade of Uzbekistan

    (Stiglitz, 2017).Globalisation requires global governance, as Britain was able to impose in the 19th Century. But now the situation is very different. Global economic governance until recently was concerned primarily with issues like tariffs, quotas and subsidies that affected global movements of goods and services,

  20. Youth of Uzbekistan: Challenges and Prospects

    Highlights. The study 'The Youth of Uzbekistan: Challenges and Prospects' is a joint effort by UNICEF, the Nationwide Movement Yuksalish, and the Youth Union of Uzbekistan that aims to strengthen youth policy development and implementation by providing in-depth findings on key areas of young people's life and actionable recommendations ...

  21. Uzbekistan

    Uzbekistan - Agriculture, Industry, Trade: Uzbekistan is among the world's leading cotton producers. It is known for its orchards and vineyards and is also important for raising Karakul sheep and silkworms. Uzbekistan's mineral and oil and gas reserves are substantial. The country produces and exports a large volume of natural gas. The central bank issues the national currency, the sum.

  22. The main ecological problems in the Republic of Uzbekistan

    As you know, President of the Republic of Uzbekistan Sh.M.Mirziev delivered a speech at the 72nd UN Assembly, where he raised the issue of the Aral Sea: «Uzbekistan supports the draft conventions on the use of water resources in the Amudarya and Syrdarya river basins developed by the UN Regional Center for Preventive diplomacy.

  23. What is climate change mitigation and why is it urgent?

    What is the 1.5°C goal and why do we need to stick to it? In 2015, 196 Parties to the UN Climate Convention in Paris adopted the Paris Agreement, a landmark international treaty, aimed at curbing global warming and addressing the effects of climate change.Its core ambition is to cap the rise in global average temperatures to well below 2°C above levels observed prior to the industrial era ...

  24. 115 Global Issues Essay Topic Ideas & Examples

    The global conflicts, managing the post-pandemic world, and the need to navigate the social injustices to ensure equality for all are among the most pressing ones. Homelessness as a Global Social Issue. In the US, homelessness is on the increase because of economic melt- down and foreclosures.

  25. What World Do We Want in 2050?

    A growing population of young, increasingly educated people in poorer countries, and especially in Africa, need good jobs and greater opportunities. More trade in services and the greater movement of people can match those needs. Migration can also help provide the workforce to construct and operate the infrastructure of the green economy in ...

  26. Essay Sample on Global Issues Facing The World

    Essay Sample on Global Issues Facing The World. It's 2050, the teens of 2022 have just inherited the world but it's in flames, unlivable, we don't have enough resources to get into space, poverty has reached its peak. Earth, earth's life, and the human race are doomed. Now more than ever, we need to be more engaged with the things ...

  27. While Xi and Putin Celebrate Cooperation, Problems Build in China

    Both leaders appear to have much to celebrate when Putin arrives in Beijing on May 16, as China-Russia ties have continued to develop strongly. Bilateral trade has grown handsomely since the start ...