Statistics Agency: The number of active enterprises in Uzbekistan is sharply declining

As of February 1, 2025, there are 431.5 thousand active enterprises and organizations in the country. This represents a 10.7% decrease compared to the previous year and a 24.6% decrease compared to two years ago.

Out of these 431.5 thousand active entities, 367.3 thousand are entrepreneurial subjects, with 363.6 thousand of them being small enterprises and microfirms.

Over the past two years, the number of entrepreneurial subjects has also declined. The number of active entrepreneurial entities has decreased by 12.3% compared to the previous year and by 27.6% compared to two years ago.

By economic activity sectors, from February 1, 2023, to February 1, 2025:

- The number of enterprises in the industrial sector has decreased from 93,908 to 56,277, a 40% drop.

- The number of enterprises in the construction sector has fallen from 45,541 to 27,908, a 38.7% decrease.

- The number of enterprises in agriculture, forestry, and fishing has decreased from 51,051 to 31,297, a 38.7% decline.

- The number of enterprises in accommodation and food services has dropped from 35,065 to 26,639, a 24% decrease.

- The number of enterprises in trade has decreased from 177,011 to 139,171, a 21.4% decline.

- The number of enterprises in transportation and storage services has fallen from 20,207 to 15,995, a 21% decrease.

- The number of enterprises in information and communication has decreased from 11,879 to 10,015, a 15.7% drop.

- The number of enterprises in healthcare and social services has increased from 11,442 to 11,941, a 4.4% rise.

Meanwhile, the number of newly established enterprises is also declining. In 2021, nearly 103 thousand new enterprises were registered, followed by 94 thousand in 2022, 89 thousand in 2023, and about 80 thousand in 2024.

The business climate is changing

Previously, the Central Bank released its “Business Sentiment Overview,” which revealed a shift in business perceptions. According to the report, in the fourth quarter of 2024, the number of entrepreneurs who felt that the "business environment had improved" decreased. In the survey, 53% of respondents reported improvements in the business environment in their regions, down from 57% in the third quarter.

Another key concern is the decreasing utilization of business production capacities. By the end of last year, the proportion of businesses operating at medium or high production capacities dropped to 50%, the lowest level in the past 1.5 years. The businesses not operating at full capacity are mainly located in the Namangan, Jizzakh, and Tashkent regions.

When asked why their businesses were not functioning at full capacity, entrepreneurs cited issues such as interruptions in gas and electricity supply, rising fuel prices, and difficulties with the tax system. Moreover, the proportion of business owners who believe that the economic situation and the business environment will improve over the next three years has decreased from 62% to 56%.