Uzbekistan introduces performance-based funding model for higher education from 2027

The document, published on Lex.uz following a high-level presentation last week, introduces a comprehensive development strategy based on the "5T" principle. This framework focuses on five core pillars: education, upbringing, research, commercialization, and systemic improvement.

A central feature of the decree is the launch of the "U10 – Global Advanced Universities" program. Under this initiative, ten higher education institutions that successfully win a competitive bid for science cluster projects will be granted the prestigious status of national research universities. These science clusters are designed to function as integrated ecosystems, bringing together local and international universities, research organizations, and industrial enterprises. The Science Financing and Innovation Support Fund will allocate up to UZS 150 billion for each individual cluster project.

Beginning January 1, 2027, a new financial incentive system will be implemented based on a national rating of universities. This ranking will evaluate institutions on their academic and scientific achievements, international activity, digitalization levels, and graduate employment rates. Universities will be categorized into three tiers: the top 20% will form the first level, while the remaining institutions will be split equally into second and third levels.

Financial rewards will be distributed based on these rankings. For financially independent universities in the first and second levels, the government will provide a funding increase of 20% and 10%, respectively, per student studying under a state grant. Universities operating under the traditional budget model will receive additional funding of 10% for the first level and 5% for the second level.

The specific amount allocated per state-grant student will be determined by a set of criteria, including student-to-teacher ratios, the complexity of the field of study, material and technical requirements, and the university's geographic location. The decree also stipulates that from 2027, at least 50% of funding for research projects under state programs must be directed toward priority sectors. The selection process for these projects will involve rigorous expert reviews by scientific-technical councils and will require positive evaluations from prestigious international scientific institutes or universities ranked in the global top 300.