The Center for Economic Research and Reforms (CERR) presented the results of its February 2025 business climate analysis, based on surveys conducted among entrepreneurs across the country. The collected data was used to formulate a business climate indicator, which reflects the current business conditions and expectations of enterprises.
The business climate index is constructed using the IFO Institute’s methodology (Germany). During the survey, business leaders assess current and expected changes in business activity based on production dynamics, demand, prices, and other key indicators.
In February, the composite business climate index increased by 2 points, reaching 54 points (on a scale from -100 to +100), indicating a positive business environment in Uzbekistan.
48% of respondents rated the current state of business climate as "satisfactory," which is 5% higher than in January, reflecting an improvement in business sentiment. 49% of respondents noted that demand for goods and services remained stable over the past three months, which is 7% higher than the previous month.
A positive signal of growing business confidence was the increase in the number of entrepreneurs expecting an improvement in the business climate. Overall, 73% of entrepreneurs express optimism regarding their business conditions.
At the same time, 6% of respondents expect price reductions, which is 2% lower than in January, indicating stability in the economic environment.
In February, there was also an increase in economic climate indicators across industries. The business climate increased by 8 points in industry, reaching 65 points, by 7 points in construction, reaching 61 points, and by 1 point in the services sector, reaching 53 points.
The current business condition index improved by 1 point over the month, reaching 40 points. Sectoral analysis shows positive changes in industry as well as in construction, where the index increased by 7 and 5 points, reaching 51 and 45 points, respectively.
Nevertheless, the agricultural sector experienced a slight decline of two points, down to 25 points, while the services sector remained at 44 points, indicating stability without significant changes.
Optimistic business assessments remain at a fairly high level, as entrepreneurs' expectations regarding the business environment increased by 3 points, reaching 68 points.
The increase in the index is related to positive changes in key economic sectors. In particular, business expectations in industry, construction, and the services sector showed growth, ranging from 62 to 79 points.
Despite a slight decline in the index for agriculture, expectations in this sector remain at a fairly high level, reaching 66 points.
In February, there was a positive trend in reducing obstacles to doing business. The survey shows that many previously pressing issues are becoming less significant.
The issue of financing remains important, however, the share of respondents citing it as a major difficulty decreased from 9% in January to 8% in February. At the same time, concerns over high tax rates increased from 4% to 6%, while issues with tax administration slightly decreased from 5% to 4%.
The situation with electricity supply remains stable, with 4% of respondents expressing concerns. However, 9% of companies reported other obstacles to doing business, including bureaucracy, delays in obtaining permits and licenses, high loan interest rates, illegal demolitions, issues with fair competition, and monopolies.
Sector for Banking and Financial Research
Tel: (78)150 02 02 (441)
leave a comment