ADB Allocates US$500 Million to Support Uzbekistan’s Public Sector Reforms

Tashkent, Uzbekistan (UzDaily.com) — The Asian Development Bank (ADB) has approved a US$500 million policy-based loan to support the Government of Uzbekistan in enhancing public sector efficiency, improving economic governance, and accelerating the country’s integration into the global economy.

The Economic Management Improvement Program (Phase 2) builds on earlier reforms and envisages the implementation of a new generation of institutional measures, including increased transparency in budget processes, modernization of state-owned enterprise governance, and the creation of a more competitive, inclusive, and sustainable economic environment. The program aligns with international standards and reflects Uzbekistan’s commitment to deepening market-oriented reforms.

“This program demonstrates Uzbekistan’s commitment to institutional reform, inclusive growth, and global integration,” said Kanokpan Lao-Araya, ADB Director for Uzbekistan. “As a strategic partner, ADB firmly supports the government in its efforts toward economic modernization. We continue to facilitate reforms that unlock the country’s full potential on its path toward WTO membership and deeper integration into the global economy.”

The program includes comprehensive measures to strengthen institutional capacity and integrate Uzbekistan into the global economy. Key initiatives include establishing unified regulations for state investments under public-private partnerships, developing legislation to enhance competition and investment management, and modernizing governance of state-owned enterprises through board restructuring, implementation of gender quotas, and mandatory application of international financial reporting standards.

The program also foresees broadening the tax base, strengthening international tax cooperation, and enhancing anti-corruption measures, including adoption of a law on conflicts of interest and modernization of auditing systems. National legislation is being aligned with global trade and investment standards, supporting the country’s efforts to join the WTO.

Considering the social dimensions of reform, the program includes measures to reinforce the social protection system and mitigate the impact of economic restructuring on vulnerable populations, ensuring the inclusivity of reforms and promoting long-term social consensus.

The year 2025 marks the 30th anniversary of ADB’s cooperation with Uzbekistan. Since the country joined the bank in 1995, ADB has provided loans, grants, and technical assistance totaling US$14.6 billion.

Founded in 1966, ADB is a leading multilateral development bank supporting sustainable and inclusive growth in the Asia-Pacific region. The bank is owned by 69 member countries, 50 of which are in the region, and actively leverages innovative financial instruments and strategic partnerships to improve quality of life, develop infrastructure, and protect the environment.