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In 2013 Uzbekistan's GDP growth at 8%

20.01.2014 2113

UzReport 20.01.2014

     On January 17 was held the Cabinet of Ministers meeting, on socio-economic development in 2013 and the main priorities for 2014, in which the President of Uzbekistan delivered a speech.
     In his speech, President Islam Karimov stressed that, despite the slowdown in the global economy, in 2013 Uzbekistan's GDP grew for 8%, industrial output - 8.8%, agricultural output - 6.8%, with budget surplus, and the trade surplus amounting to $1.3 billion.
     The share of industry in GDP exceeded 24%. Mechanical engineering and metal processing grew by 121%, building materials industry by 113%.
     In 2013, 26 thousand new businesses were launched, and their total number reached 190 thousand.
     Exports, despite a number of instability factors in the world markets, also rose by 10.9%, businesses accounting for 18% of these exports. The establishment of the Fund for the Support of export activities of businesses and entrepreneurs and its regional branches opened new opportunities for exports. Within a short period, the Fund contributed to signing of 153 contracts worth $56million.
     The share of agriculture in GDP of Uzbekistan decreased - in 2013 it was 16.6%, whereas in 2000 it accounted for one third. The production of milk and meat in comparison with 2000 doubled, potatoes and vegetables - more than 3 -fold.
     Speaking about the Uzbek financial market, the President noted that the capitalization of banks in 2013 increased by 15%. Capital adequacy ratio exceeded 24%, while the Basel Committee set it at 8%.
     In 2013 as part of the investment program, $13 billion of investments was drawn, 70 % of these funds were allocated for the construction of production facilities. The Fund for Reconstruction and Development of Uzbekistan has favorably affected the investment climate in the country, through financing of major construction and infrastructure projects in collaboration with foreign partners. The Fund's assets over several years exceeded $15 billion
     In 2013 were completed 150 projects worth $2.3 billion in electric power, metallurgy, transport, development of economic zones in Navoi, Angren and Djizzak.
     530 kilometers of public roads were built and reconstructed, significant railway sectors were electrified.
     The Head of State focused on employment issues, stating that in 2013 were created 970,000 jobs, with 60% - in rural areas.
     Also, 10,000 families in rural areas got new houses in 2013.
     Hundreds of schools, colleges, high schools, sports facilities were built or reconstructed.
     2013 was also marked by transition to a system of family medicine, which was an important step in the further extending of health care reforms. Investments in this area in 2013 exceeded those in 2010 by 3.8 times.
     Today, there are over 40 cars in every hundred families, in 2000 there were 20. The difference between the highest and lowest income is eightfold. The average pension is by 30% higher than an average salary.
     Presenting the priorities for 2014, Uzbek President stressed the need to maintain GDP growth, reduction of tax burden, Central Bank refinancing rate from 12% to 10%, implementation of major projects such as Surgil, Shurtan Talimardjan TPC and others.
     This year 60% of the budget will be allocated to the social sector. In 2014 with Korean partners will be built the only and largest in the CIS Children's Hospital.
     In the second part of the meeting members of government, heads of ministries and agencies presented reports on development of new product types, coordination of activities in regulation of market competition, creation of balanced working conditions, through the prism of real demand and supply.


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