CEO message

Dear Friends!


Business in Uzbekistan is experiencing unseen changes both in manufacturing and capital market due to a series of governmental decisions. The main focus in implementation of these reforms is rather building a market-driven economy and market principles of economy than orchestrated processes. The country is starting to open up for the world and letting to recognize it as a confident entrant to world debt market. However, we are realizing that we are need of proper infrastructure for the capital market and favorable environment for business, reliable and extensive rail roads for the locomotive, so to speak.


Uzbek capital market is hugely underestimated and high jumps in stock exchange for recent years are explained by the fact that market participants are just starting to discover cheap stocks. Now that the investors are given more access and large projects of privatization started we see the hidden potential of the market. It needs big players: institutional investors, investment funds, market-makers and asset management companies to maintain the trend of the capital market, especially the stock market. With the government reforms and the high pace of their implementation it is just the matter of time.


In 2021-2022 we expect higher trading volume and increase in foreign investments since some other IPOs and changes are expected in coming 2-3 years. The first pilot projects of privatization through public offering has had a positive response from retail investors and shown rather attractive possibilities to increase their capital for observers as well.


Besides the Uzbek capital market showing its first steps of significant reformations, the government and the largest local companies are entering world debt markets.


Uzbekistan’s small public debt makes its debt instruments rather attractive and is only surpassed in this sense by selected frontier economies. During the first half of 2018 Uzbekistan’s national debt dropped even further, that is less than 20% of the country’s GDP. The country has the world’s 10th lowest debt to GDP out of a group of 184 countries.


Undoubtedly Uzbek capital market has all necessary foundation for profitable, stable and sustainable growth.