AGP Executive Report

Uzbek Energy Overhaul: President Shavkat Mirziyoyev dismissed the energy minister and regional grid chief over “serious shortcomings,” then set a probation period until year-end for heads of major energy companies, warning of further replacements if electricity and gas supply quality doesn’t improve. Fuel & Power Accountability: The president said funding isn’t the problem—management and local oversight are—citing thousands of grid failures in June–July that left some regions without power for 8–10 hours. Healthcare Diplomacy: Saudi Health Minister Fahad AlJalajel met Uzbekistan’s deputy prime minister to expand cooperation in healthcare, digital transformation, and medical investment, including updates on the Fergana Hospital project. Afghanistan–Uzbek Trade Push: In Kabul, Uzbekistan and Taliban authorities signed 22 trade agreements worth over $200m, targeting $5bn annual bilateral trade and including cotton exports. Middle Corridor Logistics: eTIR began fully digital operations across the Caspian Sea linking Azerbaijan–Turkmenistan–Uzbekistan, aiming to cut bottlenecks and speed customs on the China–Europe route. UNESCO Recognition: Ten Tashkent modernism buildings were added to UNESCO’s World Heritage List, marking a major win for Uzbekistan’s 20th-century architecture on the international stage. Security & Crime: Uzbek authorities received an extradited crime boss detained in Egypt, accused of drug trafficking and cross-border organized crime.

Afghan–Uzbek Trade Push: Afghanistan and Uzbekistan signed 22 trade MoUs worth over $200 million in Kabul, aiming to lift bilateral trade to $5 billion, with Uzbekistan pledging to buy 100,000 tonnes of Afghan cotton after a trial export of 10,000 tonnes. Taliban–Tashkent Agriculture Talks: Taliban’s agriculture minister met Uzbekistan’s deputy prime minister, with both sides discussing cooperation in farming, processing, irrigation, and joint projects as ties expand in trade and transit. SCO Diplomacy Ahead of Bishkek: China’s Wang Yi attended the SCO foreign ministers’ council in Cholpon-Ata, stressing a decade blueprint and new cooperation platforms as the bloc heads toward its Bishkek summit. Regional Governance Mechanism: Kazakhstan and Uzbekistan launched a Council of Regional Leaders in Aktau to deepen trade, investment, and transport links, targeting higher bilateral trade volumes. Uzbekistan Visas for Afghans: Uzbekistan said it issued 5,000 visas to Afghan citizens this year and is working to simplify the process. UNESCO in Tashkent: Ten Tashkent modernist sites were inscribed on UNESCO’s World Heritage List, marking a major step for Uzbekistan’s cultural recognition. Toshakhana Records: Pakistan released updated Toshakhana gift disclosures for top officials, adding another transparency datapoint in regional governance.

Uzbek-Afghan Economic Push: Uzbekistan’s Deputy Prime Minister Jamshid Khodjaev says trade with Afghanistan has climbed to about $1.6 billion, with Tashkent ready to speed up investor projects, expand mining interest, and boost imports of meat and cotton; he also backs a proposed $50m zinc ore processing plant in Hairatan. Taliban Economic Talks: Mullah Abdul Ghani Baradar met Khodjaev to expand cooperation on trade, investment and transit, including removing obstacles for vehicles moving Afghan exports into Uzbekistan and developing energy and agriculture export routes. Regional Diplomacy at SCO: Pakistan’s Ishaq Dar used SCO Foreign Ministers’ meetings in Cholpon-Ata to hold talks with Uzbekistan and others, reaffirming strategic partnerships and pushing connectivity and economic cooperation across the region. China-Kyrgyz-Uzbek Corridor Focus: Chinese FM Wang Yi met Kyrgyz leaders, stressing “good neighbor” ties and backing major infrastructure, including the China-Kyrgyzstan-Uzbekistan railway. Uzbekistan Connectivity by Air Cargo: My Freighter will start daily freight from Liège in August, expanding Europe-to-Central Asia cargo links for Uzbekistan and neighbors. Sports, Not Politics: Uzbekistan’s youth table tennis players won medals in Kazakhstan; meanwhile, Pakistan booked CAVA volleyball semifinals after beating Uzbekistan.

Afghanistan-Uzbekistan Talks: Uzbekistan’s Deputy Prime Minister Jamshid Khodjaev led a high-level delegation to Kabul, meeting Taliban leaders to push faster implementation of trade and investment commitments, ease barriers to transit, and expand deals in mining, agriculture, and services. Business Forum Push: A 300-member Uzbek business delegation arrived for the Afghanistan-Uzbekistan Business Forum, aiming to grow bilateral trade and attract investment despite regional instability. Healthcare Partnership: Uzbekistan and France agreed new steps to modernize medical care, including plans for a Gustave Roussy Cancer Center branch in Uzbekistan, trauma care centers, doctor training, diagnostic tech pilots, and work on health insurance and medicine access. Regional Connectivity Tech: Turkmenistan and Azerbaijan launched real-time customs data exchange for Caspian freight using the eTIR system, designed to speed clearance and cut transit costs between Europe and Central Asia. Sports Diplomacy & Culture: Uzbekistan’s delegation joined Kyrgyzstan’s Days of Culture in Cholpon-Ata, while Kurash’s President’s Prize tournament in Paris highlighted Uzbek sport and cultural outreach. Migration Pathways: A US employer is preparing to recruit seasonal farm workers from Uzbekistan under the H-2A visa program, with a planned August visit to Tashkent.

SCO Diplomacy: Pakistan’s FM Ishaq Dar held a string of bilateral meetings with Belarus, Kazakhstan, Tajikistan and Uzbekistan on the sidelines of the SCO Council of Foreign Ministers in Cholpon-Ata, reaffirming cooperation on trade, transport, energy and people-to-people ties. Uzbek-Afghan Economic Links: A high-level Uzbek economic delegation led by Deputy Prime Minister Jamshid Khodjayev arrived in Kabul to meet Taliban officials and private-sector partners, with an Afghanistan-Uzbekistan business forum on the agenda. Health Cooperation: Afghanistan and Uzbekistan discussed expanding health sector cooperation, including treatment of Afghan patients and joint work on pharmaceuticals and medical equipment. Regional Connectivity: Turkmenistan and Uzbekistan floated an “industrial-technological belt” and a border transport-logistics hub, proposing a new supreme council to steer the plan. Trade Logistics: Uzbekistan’s My Freighter will start daily cargo flights from Liège in August, boosting freight links to Central Asia. Governance & Migration: Kyrgyz Justice Minister Ayaz Bayetov said Chinese citizens’ entries and exits are under strict state control, citing border statistics and project-driven labor migration.

Uzbekistan–China Diplomacy: Uzbekistan’s FM Bakhtiyor Saidov met China’s Wang Yi in Kyrgyzstan ahead of the SCO foreign ministers’ meeting, with both sides stressing the 10th anniversary of the China–Uzbekistan strategic partnership and pushing practical cooperation. Regional Infrastructure & SCO Agenda: Kyrgyz FM Zheenbek Kulubaev and Wang Yi also discussed trade, investment and joint projects, including the China–Kyrgyzstan–Uzbekistan railway, plus preparations for Xi Jinping’s visit and SCO coordination. UAE–Uzbekistan Ties: UAE President Mohamed bin Zayed and Mirziyoyev held a phone call reaffirming bilateral cooperation across multiple fields. Afghanistan–Uzbek Health Cooperation: Kabul and Tashkent agreed to expand health sector collaboration, including cancer and heart disease treatment, pharmaceutical development, and training for medical staff. Uzbekistan–Pakistan Business Push: Pakistan’s new ambassador in Tashkent met a Pakistani business delegation to boost trade and investment, highlighting textiles, pharma, and infrastructure. Sports Diplomacy (Local Interest): Uzbek defender Abdukodir Khusanov extended his Manchester City deal to 2031, while UFC Fight Night 282 in Abu Dhabi features Uzbek-linked coverage and regional sports attention.

Diplomatic Calls: Azerbaijan’s Ilham Aliyev phoned Uzbekistan’s Shavkat Mirziyoyev to congratulate him on his birthday and reaffirm the strategic alliance, with both leaders pledging continued contact. Regional Integration: Kazakhstan and Uzbekistan advanced their partnership in Aktau, signing deals worth over 80 billion tenge and pushing a pipeline of 80 joint projects totaling $1.8bn, alongside a new Council of Regional Heads aimed at lifting trade toward $10bn. SCO Foreign Policy: Pakistan’s Ishaq Dar used the SCO Council of Foreign Ministers in Cholpon-Ata to stress the “Shanghai Spirit” and connectivity, while Iran’s Abbas Araghchi rejected US “bullying” and said SCO members condemned US aggression toward Iran. Afghanistan Trade: Kabul is set to host a high-level Uzbek business delegation led by Deputy PM Jamshid Khodjaev, with 170 traders expected to meet Afghan officials and sign cooperation deals. Energy & Industry: Uzbekneftegaz and China’s XIBU moved into a new phase on the Ustyurt drilling project, targeting 30 deep exploration wells with rigs mobilization and accelerated timelines. Education & Science: Uzbekistan’s higher-education official Fazliddin Muminov highlighted academic exchanges and joint projects as a trust-building tool across Central Asia and the Turkic world.

Uzbek Economy Watch: President Shavkat Mirziyoyev reviewed first-half 2026 results showing 8.5% growth, with services up 16.9% and construction up 13.8%, alongside €24.6bn in investment and €12.7bn exports—Moody’s and Fitch upgrades signal rising investor confidence. Rail Freight Pressure: Mirziyoyev ordered a 10-day plan to bring 10,000 idle freight wagons into Uzbekistan and pursue $200m in World Bank railway financing to ease rolling-stock shortages. SCO Diplomacy: Deputy PM and FM Ishaq Dar joined the SCO foreign ministers’ meeting in Cholpon-Ata, urging the bloc to press the Afghan Taliban to honor counter-terrorism commitments. China Security & Connectivity: Chinese FM Wang Yi met Uzbek FM Bakhtiyor Saidov on SCO sidelines, emphasizing stronger security cooperation and faster progress on regional connectivity, including the China–Kyrgyzstan–Uzbekistan railway. EU Sanctions Spillover: The EU advanced a “full third-country ban” tool for crypto-asset services tied to sanction evasion, with reported listings including Kyrgyzstan and others—raising compliance risks for regional firms. Cross-border Payments: Korona Pay suspended Russia-to-Kazakhstan and Russia-to-Georgia transfers, while continuing limited routes including Uzbekistan. Regional Political Calls: Uzbekistan’s president exchanged birthday calls with leaders including Kazakhstan’s Tokayev, Kyrgyzstan’s Japarov, Belarus’s Lukashenka, and Azerbaijan’s Aliyev, reaffirming cooperation roadmaps.

EU Sanctions & Chess Governance: Arkady Dvorkovich, FIDE’s president, suspended his duties after the EU added him to its sanctions list over alleged support for Russia’s actions in Ukraine; Deputy President Viswanathan Anand will serve as interim president while restrictions remain. SCO Diplomacy: Chinese FM Wang Yi met Belarus and Uzbekistan on the sidelines of the SCO foreign ministers’ meeting in Bishkek, urging deeper security cooperation and more use of joint law-enforcement mechanisms; Uzbekistan’s FM Bakhtiyor Saidov also discussed industrial projects and the China–Kyrgyzstan–Uzbekistan railway. Uzbek Energy Court Case: In Tashkent, the trial of former Uzbekneftegaz chairman Bahodir Siddiqov and eight others opened over alleged large-scale embezzlement, abuse of office and forgery tied to state energy contracting and procurement. Presidential Security Incident: Uzbekistan denied claims that a traffic police officer died in a motorcycle crash linked to a road closure for a presidential motorcade, after RFE/RL reported witness accounts. Migration & Wages: Belarusian President Lukashenko told Uzbek workers not to expect “several thousand dollars” in Belarus and said local authorities and enterprises should decide recruitment based on real labor needs. Water Cooperation: The World Bank approved a $20m grant to strengthen transboundary water cooperation in Central Asia, targeting Amu Darya and Syr Darya basin management and data sharing. Sports & Uzbekistan Link: India announced its team for the 2026 Chess Olympiad in Samarkand, Uzbekistan, while a separate doping case ruled Indian judoka Arun Kumar out of the Glasgow Commonwealth Games.

Labour Migration Deal: Uzbekistan and Bulgaria have moved to regulate labour migration, allowing Uzbek workers to be hired in Bulgaria for up to a year without a separate work permit (extendable to three years) and setting rules for seasonal exchanges. Regional Diplomacy: Pakistan’s FM Ishaq Dar is set to lead its delegation at the SCO Council of Foreign Ministers in Kyrgyzstan, with meetings expected across member states including Uzbekistan. Water Security Funding: The World Bank approved a $20m grant to prepare Central Asia’s transboundary water cooperation work under EC IFAS, aiming to improve data sharing and water management for the Amu Darya and Syr Darya basins. Cross-Border Rail Talks: Afghanistan and Uzbekistan reaffirmed railway cooperation, including feasibility steps for the Trans-Afghan corridor and handover planning for the Herat–Mazar-e-Sharif line. Security & Justice: Uzbekistan extradited three Interpol fugitives from Türkiye—accused of sexual offense and fraud—after joint Uzbek-Turkish tracking. Governance in Tashkent Region: President Mirziyoyev met community representatives in Nurafshan, highlighting the new administrative center’s parks and infrastructure as a “New Uzbekistan” model. Sports Diplomacy: Uzbekistan’s women’s team faces tough opposition after Vietnam’s ASIAD 2026 draw; meanwhile, Uzbekistan is also listed among countries in China’s football warm-up schedule.

Labour Migration Deal: Uzbekistan’s government approved a draft agreement with Bulgaria to regulate employment of citizens with residence permits, including up to one year work without a separate permit (extendable to three years) and seasonal worker exchange. Transit Security Gap: A new analysis argues the Middle Corridor’s expansion is outpacing security planning, with calls for stronger defensive cooperation among Turkic states; it also notes Kazakhstan–Georgia’s e-permit testing for international road freight and a push for a single transit document across the corridor. Rail Links with Afghanistan: Afghan and Uzbek officials discussed accelerating feasibility work for the Trans-Afghan railway, including handing over survey documents for the Herat–Mazar-e-Sharif line and expanding freight capacity along the Hairatan corridor. China-leaning AI Push: Central Asian leaders, including Uzbekistan, attended the World AI Conference in Shanghai and backed the World Artificial Intelligence Cooperation Organization (WAICO), headquartered in Shanghai, signaling deeper alignment with Beijing’s AI agenda. Diplomatic Signal: President Shavkat Mirziyoyev dismissed Uzbekistan’s ambassador to Belarus over inaction on investment and export issues. Energy/Trade Logistics: Pakistan and Uzbekistan agreed in principle to reroute some transit trade through China, formalized via amendments during the Uzbek deputy prime minister’s visit to Pakistan. Islamic Civilization Forum: Uzbekistan hosted an international forum in Tashkent, Samarkand and Termez, producing a declaration that proposes a World Alliance of Islamic Civilisation in Tashkent and related digital and research initiatives.

Uzbekistan’s Diplomacy Reset: President Shavkat Mirziyoyev dismissed Ambassador Rakhmatulla Nazarov to Belarus for an “indifferent attitude” toward attracting investment and boosting foreign trade, as the presidential administration reviews diplomatic missions’ economic diplomacy and export work. Renewables Push: A new report highlights Uzbekistan’s rapid shift toward renewables—solar now drives more than half of installed capacity as the country scales past 10,000 MW and targets 50% renewable electricity by 2030. Civil Society Under Pressure: A CIVICUS Monitor briefing says Uzbekistan’s freedoms of expression, association, and assembly remain tightly controlled, citing ongoing repression and the fallout from the 2022 Karakalpakstan unrest. Energy-Water Risk: The ICMM warns water scarcity is already constraining mining expansion and could slow the energy transition. Digital Finance Recognition: Uzum was named among the world’s top fintech companies (Neobanking) by CNBC and Statista, reflecting Uzbekistan’s growing digital payments and financial services ecosystem. International Mobility: Uzbekistan’s ties also show up in regional logistics—e-Permit systems are expanding across borders, with Uzbekistan already among countries using Azerbaijan’s platform.

Uzbekistan Economy Watch: Uzbekistan’s economy grew 8.5% in H1, with services up 16.9%, industry up 8%, and construction up 13.8%, while investments hit $28bn and trade turnover $14.4bn; Fitch and Moody’s upgraded the sovereign rating, and the government targets 9–10% growth for the full year. Public Finance: Uzbekistan’s public debt reached $46.9bn as of Jan 1, 2026 (31.9% of GDP), with the state aiming to bring the ratio down to 31% by end-2026 amid continued borrowing and a shift toward som-denominated financing. Islamic Finance Regulation: The Central Bank approved licensing procedures for Islamic banking and created an Islamic Finance Council to coordinate standards, supervision, and advisory work after the Islamic banking law took effect June 29. Regional Connectivity: Kyrgyz President Sadyr Japarov called the China–Kyrgyzstan–Uzbekistan railway a “transit hub” game-changer, promising long-term revenue from transit services. Cross-border Mobility: Uzbekistan and the Czech Republic signed deals to expand organized labor migration, including a pilot to train and employ Uzbek medical workers. Tashkent Culture & Tourism: A “Journey to Tashkent” film is reportedly underway in Kazakhstan under a presidential tourism push, highlighting both historic and modern Tashkent to boost Uzbekistan–Kazakhstan people-to-people ties. Security & Governance (Regional): Kazakhstan’s election observers for Kurultai deputy polls are being accredited ahead of the Aug 23 vote under the new constitution.

Islamic Finance Push: Uzbekistan’s Central Bank has set up an Islamic Finance Council to coordinate banks and microfinance firms under the new Islamic banking law that took effect June 29, with the council tasked to draft standards, issue supervisory guidance, and represent the regulator internationally. Election Oversight in Kazakhstan: Kazakhstan’s CEC is accrediting international observers for Kurultai deputy elections, with around 90 observers registered and Uzbekistan among the participating countries. Labor Mobility Deal: Uzbekistan and the Czech Republic signed agreements to expand organized labor migration and training, including a pilot to prepare Uzbek medical and social-care workers for Czech institutions. Economic Outlook: Uzbekistan raised its 2026 growth forecast to 8.1% in its 2027–2029 fiscal strategy, citing stronger 2025 and early-2026 performance and projecting slower inflation. Regional Energy Pressure: Extreme heat across Central Asia is straining roads, power grids, and emergency services, with Uzbekistan reporting consumption and generation records and Kyrgyzstan introducing temporary cuts. Connectivity Update: Centrum Air will launch direct Tashkent–Karachi flights from Sept. 3, adding two weekly services to boost travel and business links.

VAT Refund Overhaul: Uzbekistan has cut the minimum purchase threshold for foreign visitors’ VAT refunds from 1 million to 300,000 sums, expanded eligible goods to nearly all categories except food, and sped up refunds to within three working days to a bank card/account; departing visitors can also take refunds in US cash, with 85% paid to travelers and 15% kept by the system operator Soliq Servis. Extreme Heat Response: Authorities stepped up fire-and-rescue patrols and public cooling measures as a rare 42–45C heatwave hit most of Uzbekistan, with hotter southern/desert areas reaching 46–48C; emergency teams sprayed water in residential areas for children and ran awareness campaigns urging hydration and light clothing. Central Asia Energy Risk: Reuters reports Russia’s Rosatom is cutting its investment program by nearly 50% amid financial strain, raising new doubts for nuclear plans in Kazakhstan and Uzbekistan, where sanctions and project financing issues are already complicating timelines. Regional Connectivity & Trade: A US-Uzbekistan critical minerals framework is highlighted again, while broader Central Asia trade links continue to expand, including Uzbekistan’s push to deepen cross-border economic cooperation. World Cup Afterglow: With the 2026 tournament concluded, Spain’s win and the expanded 48-team format dominated coverage, including how Uzbekistan’s debut participation and host-city experiences fed into the wider political and cultural conversation around the region.

Nuclear Energy Financing: Rosatom says it will cut its investment program by nearly 50% this year and slash operating costs, raising fresh doubts for Central Asia’s nuclear build plans in Kazakhstan and Uzbekistan as sanctions and the Ukraine-linked squeeze bite. Diplomacy: Uzbekistan’s Deputy Foreign Minister Bobur Usmanov met Belarus’s Ambassador Alexander Ogorodnikov (with Russia’s envoy also present) to review bilateral and multilateral cooperation. Regional Economic Ties: Uzbekistan’s Deputy Prime Minister Jamshid Khodjayev is set to visit Pakistan for talks aimed at expanding trade, investment, and joint ventures, including a five-year implementation roadmap. Aviation & Connectivity: IATA reports premium air travel kept growing in 2025, with Asia dominating the busiest routes—useful context for Uzbekistan’s broader connectivity push. Science & Education: Uzbekistan hosted the 58th International Chemistry Olympiad, with strong regional results including Thailand’s medal haul and Armenia winning bronze at the same event. Security/Rule of Law: Pakistan’s NADRA updated its visa-free list, but the waiver is largely tied to specific passport categories and conditions, underscoring how mobility policy is being tightened. Energy-Logistics Deal: Allied Biofuels signed a logistics cooperation agreement to move SAF/e-SAF exports from Uzbekistan to Europe and the UAE via rail and marine corridors.