Tashkent, Uzbekistan (UzDaily.com) - The stability of the country’s economy depends on many factors, economic policy measures, as well as the state of business activity and associated consumer sentiment both in the region and in the country as a whole.

In this regard, especially in the crisis conditions caused by the spread of the coronavirus pandemic both in Uzbekistan and around the world, experts from the Center for Economic Research and Reforms (CERR) carry out monthly monitoring of the state of business activity at the regional and district levels.

Analysis of business activity in the context of the regions of the Republic of Uzbekistan is monthly calculated by CERR based on operational data (monitoring in all regions of the republic, according to the data of the State Customs Committee, State Oil Company, Central Bank and UzEX).

The monitoring results showed that the volume of tax revenues of the republic in the period from 1 to 28 February grew by 8.2% over the same period of last month. At the same time, a significant increase in tax revenues was noted in Kashkadarya (by 38.3%), Andijan (by 32.4%), Bukhara (by 17.6%) regions and in the Republic of Karakalpakstan (by 9.0%).

The increase in tax revenues indicates a recovery in business activity after the pandemic and an increase in tax collection without increasing the fiscal burden on the population and business.

The pandemic has had a rather negative impact on the financial and economic activities of business entities. However, the measures taken by the state to support economic entities helped to avoid an unfavorable situation with the provision of state budget revenues.

Receipts from customs payments for the analyzed period increased by 3.7%. The largest increase in the volume of receipts was noted in Surkhandarya (by 83.2%), Khorezm (by 47.1%) and Ferghana (by 19.2%) regions.

Today, Uzbekistan has restored trade relations with almost all countries of the world. The largest volume of foreign trade turnover was recorded with China, Russia and Kazakhstan. In turn, the growth of foreign trade activity and the increase in domestic demand from the population made it possible to increase customs revenues.

According to the State Customs Committee, the volume of exports of goods increased by 11.3%. The growth in the volume of exports of goods was in Bukhara (by 71.2%), Surkhandarya (by 39.0%), Navoi (by 34.9%), Khorezm (by 28.1%).

The increase in external demand for traditional items of Uzbek exports led to a gradual increase in the export of goods, which indicates a gradual stabilization of the world economy after the acute phase of the pandemic.

The volume of loans issued by commercial banks over the past month increased by 46.5%. The largest growth in the volume of loans issued is observed in Fergana (2.3 times) Navoi (97.9%) and Khorezm (95.8%) regions and in the Republic of Karakalpakstan (2.6 times).

The growth of lending in Uzbekistan is supported by demand in the regions and an increase in the activity of business structures.

During this period, 9,508 new business entities were created, the largest number of which were registered in Kashkadarya (1,030), Samarkand (888), Tashkent (768) regions and in Tashkent (1,558).

The volume of transactions at the Uzbek Republican Commodity and Raw Materials Exchange for the analyzed period increased by 15.2%.

A significant increase in exchange activity is observed in Kashkadarya (by 49.9%), Namangan (by 48.2%), Surkhandarya (by 44.6%) and Tashkent (by 36.5%) regions.

The growth in the volume of transactions in these regions was ensured by an increase in the sale of such goods as cotton fiber, gasoline, cotton seeds, diesel, construction materials, cement products, sugar, vegetable oil and polyethylene. This indicates an increase in the activity of legal entities and, as a result, a gradual increase in the income of the population, which in turn stimulates economic processes and the activity of business structures.

After the lifting of quarantine restrictions, a gradual recovery in economic activity was observed in Uzbekistan. This is primarily due to the large-scale measures taken by the government during the acute phase of the crisis to support all sectors of the economy, which allowed maintaining positive rates of economic growth and ensured positive dynamics of the business community in the country.

The programs of support for business and the population, aimed at the maximum reduction of current business costs, were provided to limit the recession in the economy and to ensure its further recovery, deferrals were provided for taxes, lease of property, repayment of loans, a moratorium on inspections was introduced, the provision of preferential loans was organized, the implementation of programs to support the most affected industries, including tourism.

The gradual economic recovery in 2021 is also evidenced by the results of a survey of enterprises to assess the state of the business climate in Uzbekistan, which is carried out monthly by CERR. The study reflects business sentiment across the country.