Uzbekistan is turning its capital Tashkent into a laboratory for new urban economics, launching a broad program that ties district specialization, large-scale investment, logistics hubs, industrial zones and small business support into a single macroregional development agenda.
District specialization and investment agenda
Under the new approach, every district and mahalla of Tashkent is expected to use its specific potential to increase added value, attract investment and generate high-income jobs. Capital districts will specialize in concrete economic directions — from logistics and finance to education and services — rather than competing in the same fields, creating a more predictable and structured urban economy.
The authorities plan to attract 9 billion US dollars of investment into 12 districts of the capital in the current year, with a mandate to prepare a detailed plan to raise 10 billion dollars next year and create 150 to 200 thousand permanent high-income jobs. To reach these targets, lagging districts are urged to accelerate project implementation and fully unlock their investment pipelines.
A key innovation is a new system for working with investors directly on site. Instead of navigating multiple agencies, investors will resolve most issues at district level. National and city officials will visit districts weekly to meet entrepreneurs and investors, and matters that require higher-level decisions will be escalated the same day to the Presidential Administration with substantiated proposals. This is designed to reduce administrative friction and shorten the time from idea to implementation.
Logistics hubs and industrial growth
Tashkent is positioning several districts as future logistics gateways for Uzbekistan and the wider Central Asian region. Sergeli, Yangihayot and Bektemir districts are identified as locations with significant potential for large logistics complexes, where cargo flows to the capital can be sorted, packaged, redistributed and dispatched efficiently. Central districts are earmarked for the growth of modern business and financial centers, reinforcing the city's role as a regional services hub.
Industrial development is anchored in a major industrial zone of 305 hectares in the mahallas Miskin and Ibrohim ota. Here, the city aims to increase the number of jobs from 35 thousand to 100 thousand and expand export volumes to 600 million US dollars. Entrepreneurs in this zone will gain access to specialized financial instruments such as industrial mortgages, loans and leasing, making it easier to fund manufacturing and processing facilities, including those in construction materials, furniture components and interior solutions.
To deepen the service economy, Tashkent will also repurpose underused state-owned buildings. The city counts 497 administrative buildings with a total area of 765 thousand square meters. Vacant and inefficiently used spaces will be opened to entrepreneurs for trade, service, medical and educational activities, with privatization of state assets explicitly tied to the launch of new business projects. In Almazar district alone, 52 state facilities worth 100 billion soums are being put up for auction, signaling a significant wave of asset recycling into private hands.
Urban renewal and livable city initiatives
Almazar district has become a showcase for Tashkent's new urban renewal model. Since the beginning of the year, nine streets there have been transformed into areas attractive for business, residents and tourists. The most prominent example is the mahalla Kichkirik, which previously suffered from a lack of basic infrastructure. The area now features a kindergarten for 450 children, sports grounds, recreation zones, an amphitheater, pedestrian paths and fountains, creating a modern and comfortable environment for 5,500 residents.
The city plans to extend this experience to another eight streets in Almazar and then to other districts. Overall, 1 trillion soums have been allocated for the comprehensive renewal of 100 streets in Tashkent. In parallel, a four-year program worth 10 trillion soums will upgrade 400 mahallas following the Kichkirik model, combining social infrastructure with commercial opportunities and improved public spaces.
Special attention is given to the historic Old City. By 1 November, with the involvement of foreign companies, Tashkent intends to develop a unified concept and a portfolio of concrete projects for the comprehensive development of this historic core. The aim is to blend heritage preservation with modern tourism, hospitality and retail infrastructure — a move that will reshape demand for restoration materials, architectural services, boutique hotels and culturally sensitive interiors.
Urban livability is being improved through green corridors and pedestrian infrastructure. In Kichkirik mahalla, an eco-park and 12.5 kilometers of pedestrian paths have been created along a 2.5-kilometer stretch of canal. The city plans to multiply such walking zones along canals and large irrigation channels, including a project for a continuous 20-kilometer pedestrian path along the Bozsu canal. These initiatives will influence future demand for landscaping, outdoor furniture, lighting and recreational facilities.
Support for small business and services
To stimulate entrepreneurship in Tashkent's districts and mahallas, the ceiling for collateral-free loans for city-based start-ups will be doubled from 100 to 200 million soums. In Almazar district, this instrument is expected to support 300 new entrepreneurs and create 1,000 jobs by the end of the year, while citywide plans call for providing income-generating employment to 20 thousand residents.
These financial measures are closely tied to the restructuring of urban spaces. As more streets and mahallas are upgraded, storefronts, service centers, workshops and small hospitality concepts can move into newly modernized buildings or repurposed state properties. This interaction between finance and urban design is likely to foster clusters of small and medium-sized enterprises in retail, interior design studios, construction services and neighborhood-scale hotels and cafes.
Human capital, innovation and transport systems
Tashkent's transformation agenda includes a strong focus on human capital. Employers in Almazar district report demand for around 5,000 specialists with diverse qualifications. In response, the local Center of professional competences will host a new technical college for 400 students in information technology and advanced innovation fields, alongside modern vocational training centers in existing buildings.
International cooperation will support workforce development. Jointly with partners from Germany, language courses for 500 people will be organized, and targeted training projects will prepare specialists for work abroad, including in Czech Republic and Slovakia. In addition, Uzbekistan plans to attract 20 major recruiting companies from developed countries, reinforcing the city's role as a talent hub and creating deeper links to international labor markets.
Almazar district alone hosts 75 thousand students, and a unified management system will be introduced to oversee their education, living conditions, employment, social support, cultural activities and safety. A dedicated directorate will manage residential life for nearly 18 thousand young people across 41 dormitories of seven universities. An online system controlling dormitory access and monitoring student attendance via a situational center in the student town will be extended to other districts by the end of the year and to all higher education institutions in the country next year, bringing a more data-driven approach to campus management.
On a 42-hectare Youth Town site, work will start on an innovation cluster that will include an IT park, high-tech industrial facilities and educational infrastructure. This mix of technology, production and learning is expected to support new product development and modern design solutions, including digital tools for architecture, construction and interior planning.
Given that around 1.5 million vehicles move through Tashkent daily, the city plans to tackle congestion not only by widening roads but also by rolling out intelligent transport systems. Practical work in this direction is scheduled to begin by the end of the year. These systems will influence how people access new business districts, logistics hubs and renovated neighborhoods, and will require integrated planning for parking, street furniture and pedestrian flows.
Opportunities for international construction and interior businesses
For international companies in furniture, construction, interior and exterior manufacturing, trade, design and architecture, Tashkent's agenda opens a broad spectrum of opportunities. Large-scale investments into logistics complexes, industrial zones, business centers and the renewal of hundreds of streets and mahallas will generate demand for building materials, fit-out solutions, public space design, urban furniture and smart infrastructure. The comprehensive redevelopment of the Old City offers a particularly attractive niche for firms experienced in heritage-sensitive restoration, boutique hospitality concepts and culturally aligned interior design. At the same time, the repurposing of state-owned buildings into commercial premises and the growth of collateral-free lending create a fertile environment for foreign brands to partner with local developers and entrepreneurs, helping Uzbekistan's capital evolve into a more sophisticated and internationally connected market within Central Asia.
