Uzbekistan has unveiled an ambitious transformation program aimed at creating model territories across selected districts and cities, designed to become showcases of modern business environment and industrial development. The initiative, formalized through Presidential Resolution PP-298 adopted on October 8, 2025, sets concrete targets for manufacturing expansion, energy efficiency improvements, and international business cooperation.
The program grants selected districts and cities the designation “District (City) in the Image of New Uzbekistan,” transforming them into testing grounds for accelerated industrial growth and investment attraction. This strategic approach concentrates resources and expertise in specific locations to create replicable models that can later be scaled nationwide.
Annual manufacturing and investment targets
Each designated territory will pursue aggressive annual benchmarks starting 2026. The program mandates launching at least 10 major investment projects annually in furniture manufacturing, construction materials production, textile and apparel production, and other specialized industrial sectors, with minimum combined investment of 50 million dollars equivalent.
The initiative specifically targets export diversification by requiring each model territory to bring 3 to 5 manufacturing enterprises into export activities — companies that have not previously sold their products internationally. This approach aims to broaden Uzbekistan’s export base beyond traditional commodity sectors.
A particularly forward-looking provision requires establishing production under national brands at minimum one enterprise per territory, with active recruitment of foreign specialists including technologists, marketers, and brand managers. This signals Uzbekistan’s ambition to move beyond contract manufacturing toward building proprietary brands with international appeal.
To facilitate knowledge transfer and market access, the program commits to sending 10 entrepreneurs from each model territory to specialized industrial exhibitions abroad annually, creating systematic exposure to international best practices and business networks.
Energy efficiency and construction standards transformation
The program introduces binding energy efficiency requirements that will fundamentally reshape construction practices in model territories. Starting January 1, 2026, all government buildings and social infrastructure facilities must be constructed or modernized exclusively according to energy efficiency principles. This represents a hard regulatory shift rather than voluntary guidelines.
By January 1, 2027, all government agencies, state-owned enterprises, and social sector institutions within model territories must complete full equipment replacement with energy-efficient alternatives. The compressed timeline suggests significant procurement opportunities for suppliers of energy-efficient building systems, HVAC equipment, lighting, and related technologies.
From March 1, 2026, pilot projects will begin modernizing selected social infrastructure buildings based on “zero-energy building” concepts — structures that produce as much energy as they consume through combination of extreme efficiency and renewable generation. These pilots will test approaches before potential nationwide rollout.
Financing structure and implementation timeline
For 2026, the program allocates over 7 trillion sums across multiple funding streams. Each district or city receiving model territory status will receive 100 billion sums from the republican budget, totaling 2.3 trillion sums for the 23 designated territories. Additionally, 100 million dollars will flow through Islamic Development Bank’s “Sustainable Rural Development” project and World Bank’s “Integrated Medium Cities Development” program.
The implementation follows a staggered schedule: regional authorities have until December 15, 2025, to develop master plans for model territory centers based on proposals from residents and entrepreneurs. Project documentation must be completed by February 1, 2026, with construction commencing March 1, 2026. All program objects must be operational by December 1, 2026 — an aggressive nine-month construction timeline that will require efficient project management and contractor mobilization.
The Presidential Resolution, which entered into force on October 9, 2025, assigns personal responsibility for program implementation to Deputy Prime Minister and regional leaders, underscoring the government’s commitment to achieving stated objectives rather than allowing bureaucratic delays.
Implications for international business
For international companies in furniture manufacturing, construction materials, textiles, and building systems, this program creates multiple entry points into the Uzbek market. The mandate for foreign specialist recruitment opens doors for technology transfer partnerships, brand licensing arrangements, and joint ventures in designated territories. The binding energy efficiency requirements will generate sustained demand for advanced building materials, insulation systems, efficient windows and facades, smart building controls, and renewable energy integration solutions. Companies offering turnkey solutions for energy-efficient construction or zero-energy buildings will find receptive counterparts among regional authorities racing to meet 2026-2027 deadlines. The emphasis on export development and international exhibition participation signals openness to partnerships that can help Uzbek manufacturers access global markets, creating opportunities for distribution agreements, quality certification support, and market entry consulting. The concentrated investment in specific territories — rather than diffused nationwide spending — means foreign companies can focus their market entry efforts on clearly defined geographic zones with committed financing and regulatory support, reducing market development risks compared to broader national strategies.
