Uzbekistan to Overhaul Poverty Reduction System as Regions Shift to Intensified Work

Uzbekistan

Uzbekistan is set to overhaul its approach to poverty reduction and employment. President Shavkat Mirziyoyev criticized several regional leaders for failing to make effective use of available resources and ordered a more targeted approach to working with vulnerable households.

Uzbekistan to Overhaul Poverty Reduction System as Regions Shift to Intensified Work
The President noted that some regional officials were struggling to adapt to rapid changes in the modern economy. Over the past year, 86,000 small enterprises were established across the regions, but 15,000 of them, or 17%, have since ceased operations. In addition, 62,000 people who took bank loans but failed to establish sustainable businesses are now facing difficulties repaying them. One of the reasons cited was the limited use of a “project-based approach”, with the necessary skills reportedly present among assistants to district and city mayors and mahalla banking officers in only around 1,000 mahallas.

At the President’s instruction, the economic administration conducted a two-week assessment in Khorezm Region. The conditions of 81,000 low-income residents from 19,000 families were examined. The assessment identified 12,000 unemployed people and 10,000 residents with low incomes within these households.

At the same time, local businesses are seeking 4,000 workers for construction, 3,000 for services and 2,500 for industry. Officials were instructed to use these vacancies to provide unemployed and low-income residents with vocational training based on employers’ actual needs and help them secure jobs. It was noted that this could increase the incomes of 10,000–15,000 people from low-income families.

The review also highlighted the situation of children and women. The low-income families studied in Khorezm include 48,000 children. Each district in the region has at least one or two technical colleges and four or five training centres, but there is no dedicated programme to engage children from low-income families in vocational training at an early stage. More than 10,000 women from low-income families are occupied with childcare, while preschool coverage among their children remains below 75%.

Under the new system, headquarters will be established under regional and district mayors. Banks and employment-support agencies will assist them in resolving local issues. Regional, district and city mayors, together with the economic administration, will devote three days a week exclusively to poverty reduction and employment.

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