Why is this important
Germany continues to expand grant support for regional projects in Uzbekistan, while the focus of cooperation is gradually shifting from individual initiatives to the long-term development of districts through master plans and green projects. The new agreement makes it possible to continue already launched pilot programs and scale them to other territories. Additional attention to artificial intelligence and analytical tools shows that the authorities intend to use a more digital and systematic approach in preparing regional development strategies.
What happened
- The Ministry of Economy and Finance of Uzbekistan and Germany’s international cooperation agency GIZ agreed to attract a €9 million grant for the implementation of projects in 2026–2029.
- A meeting between First Deputy Minister of Economy and Finance Ilkhom Norkulov and GIZ Country Director for Uzbekistan Joachim Fritz took place on April 30 with the participation of representatives of Uzagrostar.
- The parties discussed the development of district master plans and the further expansion of pilot projects.
- Following the negotiations, an agreement was signed on the implementation of new initiatives in the country’s regions.
Numbers and facts
- Using previously allocated German grants, master plans and integrated development strategies were developed in 12 districts of Uzbekistan.
- Within the framework of cooperation, 24 pilot projects were launched, which the parties assessed positively.
- GIZ had previously provided a €1.3 million grant for a number of projects in the country’s regions.
- A 500-hectare agrotourism complex project is being implemented in Shakhrisabz district.
- Vocational training centers are being established in the Amudarya, Chimbay, Bulungur, Kattakurgan, Mirishkor, Khiva, and Khazarasp districts.
- The projects also include initiatives for intensive fish farming, the opening of handicraft and IT centers, as well as the installation of energy-efficient heat pumps at social facilities.
- The new agreement provides for €9 million in project financing in 2026–2029.
- The funds will be directed toward the development of pilot green projects created on the basis of district master plans.
- The document also предусматривает the use of artificial intelligence and innovative analytical methods in the preparation and implementation of development strategies.
- Additional pilot initiatives are planned for implementation in the Sokh, Bakhmal, and Baysun districts.
- One area of cooperation will be the holding of seminars and practical training sessions for project offices and the private sector.
Context
- For the regions, this means continued financing of infrastructure and local economic projects through international grants without direct pressure on the state budget.
- Businesses and local project offices will be able to receive additional support in preparing and implementing initiatives related to tourism, agriculture, energy efficiency, and digital solutions.
- The expansion of the master plan approach shows that the authorities intend to apply a unified model for district development based on long-term strategies and pilot projects.
