Sharing my optimism for uzbekistan’s future gas variables pogil key


Some of you must be wondering why we thought it would be a good idea to bring the private sector together with students for a discussion. Actually, you are among the most important constituents of the deep economic and social transformation that Uzbekistan has embarked on. Thank you for the invitation to speak to you today, and for the opportunity to listen to your views on the future of Uzbekistan.

Uzbekistan is now entering the third year of the reforms, which started in early 2017. As economists, we often fall into the trap of hiding behind technical language – whether it is the unification of the exchange electricity sources rate, or the removal of administrative price controls. In my remarks I will try to avoid that and focus instead on how the ongoing transformation impacts people’s lives and the prospects for Uzbekistan to become a prosperous nation.

Some of the very important changes that, over time, will bring opportunities and better services for all are creating stress for many today. For instance, it costs more to buy bread. Electricity and gas prices are increasing. Businesses face an adjustment to a new tax system. The benefits of these changes, for instance reliable electricity 24 hours a day throughout Uzbekistan, will take time to materialize. Also, very gas konigsforst importantly, these changes can affect people differently depending on your income, age, and where you live.

We see that in the labor market, where up to 600,000 newly trained young people were entering the job market and many fewer jobs – many of them part-time or seasonal – were created. We see that in the data on migration, with millions of bright, talented, young citizens electricity bill calculator of Uzbekistan seeking employment overseas. We see that in numerous analyses of businesses and the private sector, where survey after survey shows the significant constraints and costs that firms must overcome to operate in Uzbekistan.

So, for the millions of citizens of Uzbekistan whose potential has yet to be realized, these changes are historic, and there is no going back. We hear this directly from people. The World Bank conducts a monthly survey — called Listening to the Citizens of Uzbekistan — to understand how the transformation is affecting the lives of citizens. 95% of participants in the survey are optimistic about the future of the country and key reforms, like the exchange rate unification, are seen positively by a strong majority of citizens. We see optimism in every engagement that we have across the country. The message that I hear from the leadership of the country is loud and clear – that Uzbekistan’s doors are gas block install now permanently open to the world – and the locks have been removed.

What is most wonderful about this intense optimism about the future of Uzbekistan is that it is contagious. Just look at what happened two weeks ago in London, when the Government issued Uzbekistan’s first sovereign bond. Very few economies have managed to achieve what Uzbekistan did. The bonds were oversubscribed eight times. The price of the bonds was significantly lower than any market analysis had expected. This is a vote of confidence in Uzbekistan’s future. Investors expressed trust and confidence that the reforms will continue, and that the country is on the right mp electricity bill payment track.

At home, in the region, and abroad, everyone is watching and rooting for Uzbekistan to succeed, because the world will benefit from a former Silk Road giant reconnecting with its rich trading and entrepreneurial history. Central Asia will be more prosperous and stable from a vibrant and competitive market economy in Uzbekistan that offers pathways to more and better jobs for the millions of its young citizens.

As you can see gas prices going up to 5 dollars, I am very optimistic about the opportunities that await you. Some of these opportunities may take time to materialize – we know from the experience of many other countries that economic transitions are not instantaneous and that more often than not there are bumps on the road. For example, many emerging economies that have adopted VAT reforms face a settling in period that can take some time before the system works normally. This is likely to be the case in Uzbekistan too, but what is important is that these issues will subside, and every entrepreneur that we speak to would never go back to the old control and tax system, which was a burden on businesses, and one of the biggest constraints on job creation electricity dance moms full episode.

It is also normal for transitions to create higher costs to the economy, which lead to trade and fiscal deficits. On the trade side, these costs are often due to large increases in imports after years of import controls – especially imports of capital equipment to modernize infrastructure and build modern production capacity. These modernizations are important because they link directly with improvements to services. For example, businesses would be more patient with electricity tariff increases if electricity supply was more regular. A recent World Bank report identified the reliability of electricity services as one of the most binding constraints for small and medium businesses.

Similarly, the government may need to increase public investments during a transition. These investments play an important role during a transition in two ways. First, they help electric utility companies in california buffer some of the negative costs and impact of the reforms on the most poor and vulnerable. We have seen this be the case in Uzbekistan, as the Government established a job guarantee scheme for rural workers and increased both the allowances for low-income families and the number of eligible recipients for assistance following the first wave of reforms in 2017.

Public investment in infrastructure, when done effectively, can be a major enabler of private sector growth. Early investments in connective infrastructure and in improving services such as electricity and gas can accelerate the competitiveness of businesses by reducing costs and increasing efficiency. This competitiveness can be critical in the early years of a transition such as Uzbekistan’s by allowing export-oriented businesses to take electricity and magnetism purcell pdf advantage of a competitive exchange rate relative to local costs and demonstrate their value in international markets.

In Uzbekistan’s case, it is also critical that public expenditure is used productively, and not to sustain inefficient parts of the old economic model. In addition to creating macroeconomic risks, such expenditure can lead to slower economic transformation by crowding out private investment and diverting resources away from an eager and productive business community that needs finance and capital to grow and thrive.

And I think that the Government’s approach – of increasing public investments for social and infrastructure spending, and for modernizing the economy – is the right one. We are also confident that the Government has a good understanding of the risks involved with this transition, and that good economic management and strong fiscal discipline are high priorities. It is this confidence that underpins the increased financial support from the World Bank. In both 2017 and 2018, we committed 1 billion dollars gas stoichiometry practice sheet in new projects.