Unemployment rate in Uzbekistan falls to 5.1% in H1 2025

More than half of economically active citizens are formally employed, one-third work in the informal sector, and another 12% are employed abroad.

Uzbekistan’s unemployment rate significantly decreased in the first half of 2025, the press service of the Ministry of Employment and Poverty Reduction reported.

As of January–June 2025, the working-age population reached 20.3 million. Of these, 15.4 million are economically active, including 14.6 million employed.

By the end of June, Uzbekistan had over 781,600 unemployed citizens. Over six months, the unemployment rate fell from 5.5% to 5.1% (compared with 5.8% a year earlier and 8.1% two years ago).

More than 8 million people (55% of all employed) hold formal jobs, while 4.8 million (33%) work in the informal sector. Another 1.8 million citizens (12%) are employed abroad. The ministry noted that the number of formally employed workers increased by 19%, while informal employment declined by 13.6%.

Among the economically inactive population, 2.2 million people (44%) are on maternity leave. More than 2 million citizens are enrolled in higher education institutions. In addition, 800,000 people, or 15%, either do not want to work or cannot find immediate employment.

Over the past seven years, the share of informal employment has dropped from 60% (7.9 million people) to 38% (5.4 million). However, the shadow sector still accounts for 60% in agriculture and 41% in construction.

According to the Center for Economic Research and Reforms (CERR), one in five workers receives wages “under the table.” Employees hired under contracts earn on average 1.3 million UZS more than those working informally.

The main reason for informal employment is lower costs (49%). Other factors include ease of hiring and dismissing workers (36%), convenience in attracting seasonal employees (33%), and the absence of tax obligations (13%).

CERR Director Obid Khakimov noted that the president has instructed authorities to reduce costs for formal employment without burdening employers or imposing fines, simplify hiring and dismissal procedures, and create conditions for engaging seasonal workers.

Prepared by: Дониёр Тухсинов

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