Uzbekistan is reshaping the investment framework for New Tashkent as the ambitious urban project moves beyond housing and positions itself as a future centre for manufacturing, business, education, healthcare, tourism and services. The measures announced during a 12 October ceremony and an open dialogue with investors are designed to remove administrative bottlenecks, improve infrastructure and attract more private capital.
A new urban platform for business
Construction of New Tashkent began three years ago. The first stage covers projects worth $50 billion and is being developed around modern technologies, safety requirements and green-building principles. The 20,000-hectare territory is expected to include 2,000 hectares of green areas, including 500 hectares of parks, while buildings with a combined area of 150 million square metres are planned under the same standards.
More than $2 billion has already been invested. Residential buildings, universities, a library and an amphitheatre have been completed, while seven facilities worth $1 billion have been commissioned in the current phase. They include the first stage of the Sharq Bahori residential complex, roads and engineering networks, the Yangi Tashkent substation No. 1, a trigeneration plant, the Chamber of Commerce and Industry building, Sohil Bogi Park and a school for 2,000 pupils. Around 7,000 apartments have been built in the first phase of Sharq Bahori.
Energy and transport infrastructure take shape
Energy infrastructure is emerging as one of the project’s defining features. Turkish company Mimsan invested $73 million in the trigeneration plant, which will provide centralised heating and cooling for 100,000 households while producing electricity. By combining several functions, the facility is intended to use resources more efficiently.
A $95 million substation and high-voltage lines were built jointly with China’s Haocheng Industry Group Limited. Reliable electricity supplies will be essential for expanding the housing stock, attracting enterprises and meeting rising demand.
The supporting networks are also advancing. New Tashkent now has 18 kilometres of roads, 13 kilometres of sewerage and 4.5 kilometres of water-supply networks. Sohil Bogi Park includes pedestrian and cycling routes along a 10-kilometre shoreline.
Further transport links will connect the new city with the capital. A bridge, an overpass and a 10-kilometre road will be built between Temur Malik Street and the 4R12 highway. Another project involves an underground car park connected to metro stations, supporting transfers from private vehicles to public transport.
High-tech production and commercial development
Ten additional major projects worth $2.5 billion have started with the participation of partners from China, Türkiye, the United Arab Emirates and other countries. Their purpose is to demonstrate that New Tashkent is not merely a residential district but a platform for high-tech production, business and modern services.
A central project will be Deep Tech Park, an industrial zone focused on high-tech products and semiconductor manufacturing. Its development will require $320 million, with projects worth a further $1.7 billion expected in the longer term. The zone could broaden Uzbekistan’s industrial base, create skilled jobs and connect research, engineering and business. Its impact will depend on the ability to attract specialised companies, train qualified personnel and integrate local manufacturers into production chains.
With the participation of Finland’s MariMatic, New Tashkent will also receive a waste-collection system designed to generate green electricity from collected waste. Photovoltaic systems with a total capacity of 20 MW will be installed on the roofs of apartment buildings. These solutions could reduce pressure on municipal infrastructure and increase the share of renewable energy, although their performance will depend on reliable equipment and effective waste management.
Business activity will be concentrated in the Metropolis business city, with more than 818,000 square metres of space for offices, a hotel, residential buildings and service facilities. Around 500,000 square metres will be allocated to business functions, with employment expected for 1,500 people. The centre is intended to draw in companies as well as related sectors such as hospitality, catering, retail and professional services.
Housing construction will continue through the Silk City, Mavj and Marjon complexes, alongside a 120-bed central hospital. Social facilities are planned to be delivered in parallel with new neighbourhoods.
Administrative reform becomes the investment test
The involvement of private capital has so far lagged behind the project’s potential. Of the 6,000 hectares designated for the first stage, projects worth $50 billion are planned, yet development on more than 1,000 hectares is being driven mainly by public funding, while entrepreneurs have received 94 hectares.
The authorities acknowledged that New Tashkent cannot become a complete city if two-thirds of the plots granted to investors are used for housing and active work has not begun on 28 lots. Without sufficient employment and commercial infrastructure, the project risks remaining a large residential construction site rather than an independent economic centre.
Outdated requirements, slow permits and the stance of some agencies, which act more as controllers than partners for investors, were identified as major obstacles. All procedures — from land allocation to commissioning — are to be reviewed. Investors are seeking predictable rules, clear approval deadlines and the ability to calculate costs in advance, since every delay increases project expenses and postpones the return on investment.
Businesses will receive greater flexibility in implementing the master plan. Proposals to change plot sizes or the intended use of facilities will be considered promptly under clear criteria when they support the city’s interests. More sites will be prepared in advance with concepts, design documentation and permits, narrowing the gap between land allocation and the start of construction.
Large commercial sites will be allocated through open-initiative procedures based on the Swiss Challenge principle. After the first investor’s proposal is publicly announced, other participants will be able to submit better offers. If no competing proposals emerge, the initiating investor will receive the site. The mechanism is intended to combine entrepreneurial initiative with competition and transparency.
Lower costs and targeted support
Infrastructure payments will be revised for retail facilities, service companies and social infrastructure. The basic rate will be reduced threefold for retail, services and business centres, fivefold for hotels and tourism facilities, and tenfold for cultural and entertainment venues. Private kindergartens, schools and hospitals will pay 1 percent. The new conditions will also apply to projects already under way.
The state will fully cover the cost of a green certificate for non-residential projects worth more than $50 million. The requirement for each investor to landscape 30 percent of its individual plot will be abolished. Instead, the state will assume responsibility for greening 30 percent of the city’s territory in line with the master plan, creating a connected system of green areas.
Each project worth more than $50 million will receive a designated representative to guide the investor through commissioning. Separate investment agreements will set out the obligations of both sides and conditions tailored to the specific project.
Regional and international investors invited
Entrepreneurs from across Uzbekistan will be invited to participate in construction. Each district of Tashkent and each of the country’s 13 other regions will receive a 100-hectare site. Local entrepreneurs will be able to participate in the first auction for the land allocated to their respective territories, provided that the plots are offered transparently and with clear parameters.
The first 50 lots for foreign investors have also been identified. Information on their location, economic calculations and development opportunities will be distributed through diplomatic missions, while ministers will regularly present New Tashkent projects to major international companies. This approach is intended to move cooperation beyond general presentations towards concrete proposals with defined terms and financial assumptions.
The development of the Shirin residential district in Samarkand was also reviewed, with slow construction progress criticised. The incentives introduced for New Tashkent will be extended to that project. Addressing the distinction between domestic and foreign investors, the authorities emphasised: “Capital, advanced ideas and honest work have no nationality!” The stated priority is an investor’s contribution to national development and readiness to meet obligations.
Housing, hospitality and services must keep pace
Twenty thousand apartments are scheduled for completion in New Tashkent by the end of the year, providing homes for at least 70,000 people. The authorities stressed that housing must be accompanied by recreation, sports, retail, education and healthcare services.
A 55,000-seat FIFA-standard stadium is under construction. In preparation for next year’s FIFA Under-20 World Cup, the authorities ordered an assessment of demand for hotels, restaurants, entertainment venues and related facilities, followed by specific investment proposals for entrepreneurs. The tournament could create short-term opportunities for hospitality and leisure operators, but demand forecasts and the readiness of transport and utilities will be important to the commercial outcome.
The relocation of government bodies will also influence demand. The ministries responsible for construction, transport and energy are already operating in New Tashkent, while buildings for other agencies are being built. The remaining ministries and state organisations are expected to begin moving to the new city, creating additional demand for offices, services and transport.
For international companies in furniture, construction, interior and exterior manufacturing, trade, design and architecture, New Tashkent offers a large pipeline of residential, commercial, hospitality, public-space and infrastructure projects. The most relevant opportunities will depend not only on the scale of planned construction, but also on whether Uzbekistan delivers the promised faster approvals, prepared sites, lower infrastructure charges and transparent access for foreign investors. The project’s next phase will show whether these measures can turn New Tashkent from a major construction zone into a diversified economic centre with durable demand for international products, technologies and expertise.
