Outcomes of social and economic development of Uzbekistan in the first half of 2007

On July 18 this year the Cabinet of Ministers of the Republic of Uzbekistan held its session in Tashkent to discuss the outcomes of social and economic development of the country in the first half of 2007.

The session noted that the measures taken in the first half-year on implementing the most important priorities of social and economic policies for the year 2007 provided for the sustainable high economic growth rates, the dynamic development of sectors of economy and territories of the country.

The gross domestic product (GDP) growth has accounted for 9,7%, including the industrial production volume grew by 11,6%, production of consumer goods – 19%, contractual construction works – 20,5%, retail trade – 16,8%, paid services – 25,1%, agriculture – 5,5%. The exports of products have increased by 39%. The major share of it – 70% - accounts for the non-raw exports.

The country maintained the positive balance of foreign trade worth 1,7 billion US dollars. The State budget has been implemented with a 1,9% surplus towards GDP, while the inflation rate did not exceed the forecast parameters by making up 2,7%.

The participants of the session have underscored that in the first half-year the country has maintained the high growth rates of the mastered investments – 140,2% against the same period last year. The foreign investments attracted to the country increased by 1,9 times and nearly 85% out of their entire volume are the direct investments.

The country has continued the profound modernization of economy, technical and technological renovation of its most important sectors. Nearly half out of the entire volume of capital investments has been channeled to the set goals, including the projects, which are being implemented at the expense of enterprises themselves – 65%. Uzbekistan adopted the programs of modernization, technical and technological rearmament of enterprises of the cotton processing, oil and fat industry, the one of construction materials and ferrous metallurgy.

As a result of strict implementation of the earlier adopted decisions on legal protection and support of entrepreneurship, curbing the tax burden on the small business and liberalization of terms of its operations the share of small business in GDP grew up to 38,1%.

The measures taken on raising the population employment and income level have allowed in the first half-year to create 314,8 thousand new jobs, including in the sphere of services – more than 75 thousand, and thanks to establishing the home-based labor – 40,2 thousand.

The real population income grew by 21,3%.