SOCIO-ECONOMIC DEVELOPMENT IN 2010 AND KEY PRIORITIES OF ECONOMIC PROGRAM FOR 2010

23.01.2011

President of Uzbekistan Islam Karimov noted that the consistent implementation of the adopted country's own economic development model and elaborated on the basis of its principles deeply thoughtful and balanced evolutionary program of reforming and modernizing the country helped to significantly reduce the negative impact of the global financial crisis on the economy, financial and banking system of Uzbekistan. The sustainability of a stable high growth and macroeconomic balance in the economy has been ensured.

By the end of 2010 gross domestic product grew by 8.5 percent, industrial output - by 8.3 percent, agriculture - by 6,8 percent, construction - by 8.1 percent, retail trade - at 14, 7 percent, paid services - 13,4 percent. By reducing the tax burden on the economy of the State budget was executed with a surplus of 0.3 percent of GDP. Inflation rate not exceeded the planned targets.

The full support of export enterprises and the diversification of export structure, the active development of new foreign markets in 2010 provided an increase in exports to 10.8 per cent and a significant amount of trade surplus, rising foreign exchange reserves of the country.
Measures taken to increase capitalization of banks provided the capital adequacy of the banking system of the Republic which at 3 times exceeded the accepted international standards. The loan investments of banks in the real economy grew by 35 percent, while the share of long-term investment loans to total loan portfolio exceeded 75 percent. The volume of credits allocated to small businesses grew in 2010 by 1,4 times.

The active investment policy for the implementation of projects on modernization, technical and technological rearmament of the leading sectors of the economy, housing development, transport and communications infrastructure has increased the volume of investments by 13,6 percent. 1098 new production facilities have been introduced; implementation of 296 investment projects has been completed. At the expense of Qishloq Qurilish Bank in rural areas only in 2010 6800 houses have been introduced on typical projects.

Measures to stimulate the development of small and private businesses have provided increasing its share in GDP to 52.5 percent versus 50.1 percent for 2009.

As a result of a complex of measures to ensure employment and addressing related issues of income growth and improved quality of life in 2010 953.7 thousand jobs have been created, of which 576.5 thousand - in rural areas. Of the total number of the newly introduced jobs, 65 percent created in small business and farming. Real money incomes of population in comparison with 2009 increased by 23,5 percent.
Under the State program "Year of the harmonically developed generation," measures have been taken to establish in the country necessary capacity and conditions for raising healthy, harmoniously developed generation, the financing of which is due to all sources spent more than 8.0 trillion soums and $ 165 million.

Emphasized that the stable functioning of the economy, preserving long-term trends of high rates of growth, stability and reliability of financial and banking system, successful structural reforms are widely welcomed in the international community and recognized as a reputable international financial institutions and rating agencies.

However, attention is attracted to the need for focused, urgent progress on the path of radical reform and modernization of the country, ensuring the occurrence of a number of developed democratic, prosperous states, enhance competitiveness and strengthen the position of Uzbekistan on world markets, a continuous increase of income level and quality of life .

In his report the President of the country analyzed in detail the existing unresolved issues and touched the program objectives for the implementation of key priorities and areas of socio-economic development in 2011.

Heads of ministries, departments, economic associations and executive authorities have been committed with a concrete objectives to develop and implement a package of measures to achieve sustainable, dynamic and balanced macroeconomic development, the further implementation of structural reforms and rapid renewal of leading sectors of the economy, the attraction of foreign investments, Integrated development of infrastructure, strengthening of material-technical base and facilities for education and health, consistent solution of the problem of employment and job creation.

Particular attention is drawn to the need to implement policy measures to the achievement of the current year's goals set in conjunction with the announcement of its year of small business and private entrepreneurship, including measures to ensure reliable protection of private property and freedom of entrepreneurship, creating the most favorable business environment for small business and private entrepreneurship, improvement on this basis, employment and welfare.

The heads of ministries, departments, organizations and khokims areas gave their reports. Following the discussion of issues raised it’s been taken a decision, which identified measures to ensure the implementation of the major priorities of the socio-economic development in 2011.