In December of 2020, the index of business activity shows a moderate increase compared to the previous month

In December of 2020, the index of business activity shows a moderate increase compared to the previous month. This is due to the growth of the component on banking operations’ accounts, as well as the component of operating economic entities.

Figure 1. BAI in December 2020 has increased to 1,7%, compared to the previous month

Changes are observed in the components of the BAI.

The business activity index in December 2020 moderately has increased by 1,7% and amounted to 1017 points, compared to the previous month, explained by the changes in the following components:

• an increase in the number of operations in bank accounts by 13,2%;
• an increase in the component of operating business entities by 1,1%;
• a decrease in intensity of raw material procurement on commodity exchange by 7,4%;
• a decrease in the issuing product branding component by 6,6%.

In the regional context, the Republic of Karakalpakstan show the highest growth.

In December 2020, the Business Activity Index for ten regions has increased compared to the previous month (November 2020), particularly, in the Republic of Karakalpakstan (40,0%), Kashkadarya (39,8%), Syrdarya (14,8%), Namangan (12,3%) and Andijan (10,5%) region significant growth rates are observed (see. Fig.2).

In addition, in Surkhandarya (-6,4%), Bukhara (-4,8%), Fergana (-2,8%) and Samarkand (-0,5%) regions, there is a decline compared to the previous month.

Figure 2. Business activity index by regions of the Republic of Uzbekistan in December 2020

In spite of the moderate growth of BAI compared to the previous month, current indicator compared to the same period has declined over the past six months and amounted to 8,4% in December.

OPERATIONS WITH BANK ACCOUNTS

The number of interbank transactions in December 2020 amounted to 4 846,5 thousand and showed 566,2 thousand increase (13,2%) than it was in November 2020. However, comparing to the same period of the last year, there is 25,8% decline in this number.

Based on the number of banking operations, current indicator has increased in all regions.

In December 2020 in all regions the number of banking transactions among legal entities has increased, compared to the previous month, particularly Namangan (26,4%), Jizzakh (14,3%), Surkhandarya (14,2%), Syrdarya (14,2%) regions and Tashkent city (16,3%).

ACTIVITY ON COMMODITY EXCHANGE

In December 2020, the exchange component of the BAI decreased to 0,9258 that is 8,4% less than it was in previous month. This decline is associated with a reduction in the number of transaction.

According to the results of December, Republican commodity exchange has registered 24 533 transactions that is 6 830 transactions less (- 21,8%) than in November this year (31 363). The total turnover of the commodity exchange in December 2020 amounted to 3 975,6 billion Soums, which is 5,6% more compared to the previous month.

ACTIVITY OF ECONOMIC SUBJECTS

The component of operating economic entities in December 2020 amounted to 1,0109, which is 1,1% increase compared to the previous month.

The number of active business entities in December 2020 has increased to 6 916 entities compared to November 2020 (510 258 entities) and amounted to 517 174 entities.

The number of large enterprises increased by 13 entities.

During the reporting period, the number of small businesses increased from 405 019 to 411 203 entities (increase in 6 184 entities). The number of farms increased from 102 273 to 102 992 entities (by 719 entities). The number of large operating enterprises amounted to 2 979 entities that is 13 entities more compared to November 2020.

BRAND REGISTRATION

In December 2020, the index of protected trademarks was equal to 0,9344, which means an 6,6% decrease in comparison with the previous month. Legal entities registered 114 trademarks and trade names.

Table 1. Changes in BAI components by region to the previous month

Table 2. Changes in BAI by regions to the base period (January, 2019)