Fitch Revises Uzbektelecom Outlook to Positive

Tashkent, Uzbekistan (UzDaily.com) — Fitch Ratings has revised the outlook on JSC Uzbektelecom from Stable to Positive while affirming all of the company’s current ratings.

The rating action follows an improvement in the outlook on the long-term issuer default ratings of the Republic of Uzbekistan, which was upgraded on 3 June 2026, with the sovereign rating affirmed at BB.

The alignment of ratings reflects the high level of integration between the company and the state, as well as the expectation of continued systemic support from the government.

Fitch maintained Uzbektelecom’s standalone credit profile at bb-, one notch below the country’s sovereign rating.

The agency said the company’s profile is supported by its dominant position in the domestic fixed-line market, steady growth in its mobile subscriber base and overall leadership in the telecommunications sector.

At the same time, Fitch noted that the company’s growth is constrained by its geographic concentration within Uzbekistan and broader characteristics of the local operating environment.

In its assessment of internal factors, Fitch assigned the highest scores to operational performance and management, while financial structure and flexibility were evaluated more conservatively.

Fitch outlined triggers for future rating actions. Potential upgrades depend on further improvements in Uzbekistan’s sovereign rating, provided that state support remains unchanged, as well as the company’s ability to reduce its net debt to EBITDA ratio below 3.0x.

Conversely, negative pressure could arise from a deterioration in macroeconomic conditions, weakening links with the state, or delays in network infrastructure modernization that could push leverage above 3.8x.

At present, Uzbektelecom remains the largest infrastructure operator in the country, providing digital connectivity services for households, businesses and the public sector.