Uzbekistan’s President Shavkat Mirziyoyev has launched a nationwide poverty reduction initiative. Speaking at a meeting focused on addressing poverty in local communities (mahallas) and improving support for low-income families, he introduced the upcoming program, “From Poverty to Prosperity.” The program is designed to address poverty over the coming years and is based on “seven opportunities” and the principle of shared responsibility.

Mirziyoyev emphasized the need for differentiated strategies in tackling poverty, as the reasons for individuals falling into poverty vary widely. He pointed out that this diversity necessitates tailored approaches to ensure effective outcomes.

Four years ago, Uzbekistan launched a large-scale poverty reduction campaign, at which time 23% of the population—approximately 7.5 mn people—were living below the poverty line. Since then, despite a population growth of 3.7 mn, poverty levels have decreased. By the end of 2023, thanks to providing income opportunities to 3.5 mn individuals, the poverty rate had been reduced to 11%.

The President highlighted that social protection coverage expanded 4.5 times, from 466,000 to 2.2 mn people. In 2023, a total of UZS 12.3 trillion (nearly $967mn) was allocated to these efforts, and pensions and benefits were increased by 1.5 times. To support entrepreneurship and poverty reduction projects in mahallas, UZS 35 trillion ($2.8bn) in concessional loans and UZS 7 trillion (over $550mn) in subsidies were provided.

Additionally, UZS 120 trillion was directed toward improving key infrastructure, including schools, healthcare, roads, and water and electricity networks. Some 260,000 hectares of land were also distributed to 800,000 citizens, primarily young people, for agricultural activities aimed at income generation.

The President noted uneven progress in poverty reduction across regions. In 1H24, poverty levels in Andijan, Bukhara, Jizzakh, Kashkadarya, and Khorezm regions decreased by more than 2%. However, no significant changes were recorded in the Navoi, Surkhandarya, and Fergana regions in Tashkent.

In 15 districts, poverty levels remain above 20%. Despite these challenges, UZS 1.7 trillion ($133.6mn) in concessional loans and subsidies were allocated to these districts over the past three years.

A significant issue identified during the meeting was the gap between job availability and skill levels. Although businesses offering salaries of UZS 3-5 mn ($234-393) have 250,000 job vacancies, 35% of working-age individuals from low-income families lack the required skills and knowledge. Additionally, 43% of women seeking employment are unable to work due to childcare responsibilities.

President Mirziyoyev instructed government officials to conduct a comprehensive inventory of mahallas to create detailed profiles of impoverished families. Individualized programs will be developed for these families, outlining specific responsibilities for each government agency.

The economic sector, led by Deputy Prime Minister Jamshid Kuchkarov, will oversee efforts to help families transition out of poverty. The social sector, led by Mansurbek Olloyorov, Director of the National Agency for Social Protection, will manage the inclusion and exclusion of families from social protection programs based on their needs.