Parliament Reviews Uzbekistan’s Draft 2026 State Budget: GDP Growth 6.6%, Social Spending 55%

Tashkent, Uzbekistan (UzDaily.com) — At the latest plenary session of the Legislative Chamber of the Oliy Majlis, deputies are reviewing in the first reading the draft law on the State Budget of Uzbekistan for 2026. The key parameters of the draft were presented to parliamentarians by Deputy Prime Minister and Minister of Economy and Finance, Jamshid Kuchkorov.

According to the presented data, Uzbekistan’s real GDP is projected to grow by 6.6% in 2026, with per capita GDP expected to reach US$4,686. Growth in the industrial sector is forecast at 6.4%, in agriculture at 4.2%, in market services at 14.5%, and in construction at 10.2%. The government also expects further reductions in inflation.

Consolidated budget revenues for 2026 are planned at 515.4 trillion soms, with expenditures of 567 trillion soms, resulting in a deficit of 3% of GDP. The ceiling for external debt is set at US$5 billion, lower than this year’s level.

Parliamentarians emphasized that the draft budget is prepared in accordance with the principles of the “Uzbekistan–2030” Strategy. They noted that the document includes a comprehensive set of measures aimed at maintaining high economic growth rates, strengthening macroeconomic stability, containing inflation, enhancing budgetary resilience, and reducing unemployment and poverty, including through the implementation of green economic initiatives.

During discussions, deputies noted that maintaining current tax and customs rates will help increase budget revenues by broadening the tax base. It was emphasized that improving tax administration will contribute to creating a more competitive economic environment.

The deputies supported the proposed measures in the draft to increase pensions, scholarships, and allowances above the annual inflation rate. This policy is intended to improve citizens’ quality of life, raise real incomes, and strengthen social protection.

Significant attention is given to the social orientation of the budget. In 2026, 220 trillion soms—or nearly 55% of total expenditures—are planned for the social sector. According to the draft, 25.5% of funds are allocated to education and science, 12.1% to healthcare, and 4.2% to social protection. Deputies emphasized that these spending priorities align with presidential directives, including improving education quality and developing medical and social services.

Support was also given to initiatives related to environmental protection, expansion of the nationwide “Green Environment” project, development of artificial intelligence technologies, and strengthening the Mahalla institution.

Additionally, discussions focused on increasing revenues for local budgets and expanding the powers of the People’s Deputies Councils. Deputies noted that enhancing the autonomy of district and city budgets will allow for more prompt responses to regional socio-economic needs.

The necessity of parliamentary oversight and monitoring by deputies to ensure efficient and targeted use of budget funds by state agencies and organizations was emphasized. Proposals were made to increase budget revenues, broaden the tax base, reduce the shadow economy, and eliminate corruption and bureaucratic obstacles in the use of budget funds.

Following the discussions, political party factions supported the document. The draft law on the State Budget of Uzbekistan for 2026 was conceptually approved in the first reading.