2025 budget: Uzbekistan plans extensive support for energy, education, and housing

The Ministry of Economy and Finance recently unveiled the Budget Draft for 2025-2027, which outlines the anticipated expenditure for subsidies in 2025. According to an analysis of the budget execution, it is expected that subsidies will reach 28.9 trillion UZS this year, accounting for approximately 9.1% of the state budget expenditures.

Of this total, the energy sector will receive the largest share, with a substantial allocation of 12.3 trillion UZS. Specifically, 7 trillion UZS will be earmarked to cover the discrepancies in gas purchasing and selling.

By the end of the year, it is projected that a total of 16.2 trillion UZS will be dedicated to supporting the energy sector, further emphasizing the government's focus on this vital industry.

In addition to energy, other sectors slated for government support in 2025 include social-economic development, transport and communications, export incentives, agriculture, and employment. The overall subsidy amount designated for these sectors will reach 28.3 trillion UZS, representing 8.2% of state budget revenues.

The planned distribution of subsidies includes:

•  3.8 trillion UZS for private kindergartens
•  2.5 trillion UZS to assist the population in purchasing housing
•  2.7 trillion UZS to cover public transport losses
•  2.7 trillion UZS for entrepreneurship and employment initiatives
•  2.5 trillion UZS for agriculture and water management
•  0.9 trillion UZS for geological exploration activities

In comparison, the allocation for social benefits in 2025 is set at 17.3 trillion UZS, with additional funding of 2.3 trillion UZS for science, 3.8 trillion UZS for culture, and 3.3 trillion UZS for sports. The total planned expenditure for these four areas amounts to 26.7 trillion UZS, which is less than the subsidies earmarked for other critical sectors.

This strategic allocation of funds reflects Uzbekistan's commitment to addressing the pressing needs of its economy and society, ensuring a robust foundation for future growth.