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Adlib Express Watermark Country Profile 2008 Uzbekistan This Country Profile is a reference work, analysing the country’s history, politics, infrastructure and economy. It is revised and updated annually. The Economist Intelligence Unit’s Country Reports analyse current trends and provide a two-year forecast. The Economist Intelligence Unit 26 Red Lion Square London WC1R 4HQ United Kingdom Adlib Express Watermark The Economist Intelligence Unit The Economist Intelligence Unit is a specialist publisher serving companies establishing and managing operations across national borders. For 60 years it has been a source of information on business developments, economic and political trends, government regulations and corporate practice worldwide. The Economist Intelligence Unit delivers its information in four ways: through its digital portfolio, where the latest analysis is updated daily; through printed subscription products ranging from newsletters to annual reference works; through research reports; and by organising seminars and presentations. The firm is a member of The Economist Group. London New York Hong Kong The Economist Intelligence Unit The Economist Intelligence Unit The Economist Intelligence Unit 26 Red Lion Square The Economist Building 60/F, Central Plaza London 111 West 57th Street 18 Harbour Road WC1R 4HQ New York Wanchai United Kingdom NY 10019, US Hong Kong Tel: (44.20) 7576 8000 Tel: (1.212) 554 0600 Tel: (852) 2585 3888 Fax: (44.20) 7576 8500 Fax: (1.212) 586 0248 Fax: (852) 2802 7638 E-mail: [email protected] E-mail: [email protected] E-mail: [email protected] Website: www.eiu.com Electronic delivery This publication can be viewed by subscribing online at www.store.eiu.com Reports are also available in various other electronic formats, such as CD-ROM, Lotus Notes, online databases and as direct feeds to corporate intranets. For further information, please contact your nearest Economist Intelligence Unit office Copyright © 2008 The Economist Intelligence Unit Limited. All rights reserved. Neither this publication nor any part of it may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of The Economist Intelligence Unit Limited. All information in this report is verified to the best of the author's and the publisher's ability. However, the Economist Intelligence Unit does not accept responsibility for any loss arising from reliance on it. ISSN 1366-4271 Symbols for tables “n/a” means not available; “–” means not applicable Printed and distributed by Patersons Dartford, Questor Trade Park, 151 Avery Way, Dartford, Kent DA1 1JS, UK. Adlib Express Watermark KAZAKHSTAN Main railway Main road International boundary Main airport ARAL SEA Capital Major town KAZAKHSTAN Other town Muynak March 2008 0 km 50 100 150 200 KungradKungrad 0 miles 50 100 Kyzylkum Desert KKhodzheylihodzheyli Nukus L. Sarykamyshkoye UZBEKISTAN Uchkuduk UrgUUrgenchrgenchench KYRGYZ REP. Khivavvaa TTurtkulTuu CChirchikhirchik TASHKENTTASHKENT AngrenAngren NaNNamangana A YYangiyulangiyul m S L. Aydarkul y AndizhAAndizhanndizhanan u r- Almalyk -D D MMargilanargilan a a r r y y a a GulistanGulistan KokKKokandokandand R R Nurata NurataNurata . Ferghana . Jizzakh BBekabad GGizhduvanizhduvan NNavoiavoi BBukharaukhara KattakurganKattakurgan SamarkandSamarkand Karakul TURKMENISTAN SShahrisabzhahrisabz Karshi TAJIKISTAN Denau IRAN Termezz AFGHANISTAN © The Economist Intelligence Unit Limited 2008 Adlib Express Watermark Comparative economic indicators, 2007 Gross domestic product Gross domestic product per head (US$ bn) (US$ '000) Russia 1,289.6 Slovenia Poland 420.3 Czech Republic Czech Republic Estonia Romania Slovakia Ukraine Hungary Hungary Latvia Kazakhstan Croatia Slovakia Lithuania Croatia Poland Slovenia Russia Bulgaria Romania Serbia Kazakhstan Belarus Serbia Lithuania Bulgaria Azerbaijan Belarus Latvia Bosnia and Hercegovina Estonia Albania Uzbekistan Azerbaijan Bosnia and Hercegovina Macedonia Albania Armenia Georgia Ukraine Armenia Georgia Turkmenistan Turkmenistan Macedonia Moldova Moldova Kyrgyz Republic Kyrgyz Republic Uzbekistan Tajikistan Tajikistan 050100150200 0.0 5.0 10.0 15.0 20.0 25.0 Sources: Economist Intelligence Unit estimates; national sources. Sources: Economist Intelligence Unit estimates; national sources. Gross domestic product Consumer prices (% change, year on year) (% change, year on year) Azerbaijan 25.0 Azerbaijan Armenia Tajikistan Georgia Ukraine Latvia Moldova Slovakia Uzbekistan Uzbekistan Turkmenistan Lithuania Kazakhstan Kazakhstan Kyrgyz Republic Kyrgyz Republic Latvia Russia Georgia Belarus Russia Tajikistan Bulgaria Serbia Belarus Ukraine Hungary Estonia Estonia Poland Serbia Czech Republic Lithuania Slovenia Romania Croatia Armenia Romania Slovenia Albania Albania Bulgaria Croatia Bosnia and Hercegovina Czech Republic Turkmenistan Slovakia Macedonia Poland Moldova Macedonia Hungary Bosnia and Hercegovina 0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0 16.0 0.0 5.0 10.0 15.0 20.0 Sources: Economist Intelligence Unit estimates; national sources. Sources: Economist Intelligence Unit estimates; national sources. Country Profile 2008 www.eiu.com © The Economist Intelligence Unit Limited 2008 Adlib Express Watermark Uzbekistan 1 Contents Uzbekistan 3 Basic data 4 Politics 4 Political background 5 Recent political developments 8 Constitution, institutions and administration 9 Political forces 12 International relations and defence 14 Resources and infrastructure 14 Population 16 Education 16 Health 17 Natural resources and the environment 18 Transport, communications and the Internet 19 Energy provision 20 The economy 20 Economic structure 21 Economic policy 25 Economic performance 26 Regional trends 27 Economic sectors 27 Agriculture 28 Mining and semi-processing 29 Manufacturing 30 Construction 30 Financial services 31 Other services 32 The external sector 32 Tra d e i n go od s 33 Invisibles and the current account 34 Capital flows and foreign debt 36 Foreign reserves and the exchange rate 37 Regional overview 37 Membership of organisations 40 Appendices 40 Sources of information 41 Reference tables 41 Population 42 Labour force 42 Transport and communications statistics 42 National energy statistics © The Economist Intelligence Unit Limited 2008 www.eiu.com Country Profile 2008 Adlib Express Watermark 2 Uzbekistan 43 Money supply 43 Interest rates 43 Gross domestic product by sector 43 Agricultural production 44 Livestock numbers 44 Gross domestic product 44 Nominal gross domestic product by expenditure 45 Consolidated budget 45 Prices and earnings 45 Main composition of trade 46 Main trading partners 46 Balance of payments, IMF series 47 External debt, World Bank series 47 Foreign reserves 47 Exchange rates Country Profile 2008 www.eiu.com © The Economist Intelligence Unit Limited 2008 Adlib Express Watermark Uzbekistan 3 Uzbekistan Basic data Land area 447,400 sq km, of which 9% is arable Population 27.1m (January 2008, Economist Intelligence Unit estimate) Main towns Population in ’000, July 1999 Tashkent (capital) 2,400 Samarkand 392 Namangan 378 Climate Continental desert Languages Uzbek is the state language; Russian is widely spoken; Tajik is spoken in Samarkand and Bukhara; Karakalpak is used in the autonomous republic of Karakalpakstan Weights and measures Metric system Currency The som-coupon was introduced on November 29th 1993 as the successor to the rouble. It was replaced by the som on July 1st 1994, at a rate of Som7:US$1. A multiple exchange-rate system was introduced in 1997, and the main reference rate was subsequently repeatedly devalued in order to keep pace with the rapid depreciation of the currency on the black market. The exchange rate was unified on October 15th 2003 at a rate of Som975:US$1. On March 4th 2008 the exchange rate was Som1,297:US$1 Time 6 hours ahead of GMT Public holidays, 2008 January 1st (New Year); March 8th (International Women’s Day); March 20th (Prophet!s Birthday); March 21st (Nowruz"Iranian New Year); May 1st (Labour Day); May 9th (Day of Memory and Respect); September 1st (Independence Day); October 2nd (Hait); December 8th (Constitution Day); December 9th (Qurban-Hait). © The Economist Intelligence Unit Limited 2008 www.eiu.com Country Profile 2008 Adlib Express Watermark 4 Uzbekistan Politics Islam Karimov has ruled Uzbekistan since the late Soviet period, first as head of the Soviet republic's Communist Party, and then as president of independent Uzbekistan. Since 1995 a series of constitutional amendments and flawed referendums has allowed Mr Karimov to prolong his rule. Most recently, Mr Karimov was re-elected to a third term by an overwhelming margin in a flawed election in December 2007, despite constitutional provisions limiting the president to two consecutive terms. A new bicameral parliament was elected in December 2004, replacing the unicameral assembly that had existed since independence, but it enjoys no greater authority than its predecessor, as the president has retained almost complete control over the institution. All five parties represented in the legislature support Mr Karimov. Political background Uzbekistan’s borders were set The Uzbek Soviet Socialist Republic (SSR), established in 1924, was based on the by Soviet authorities territory of what had historically been the Bukharan emirate and the Khiva and Kokand khanates, which the Tsarist empire had conquered in the 19th century. Local guerrillas resisted the Bolsheviks until well into the 1920s, but
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