New wave of privatization in Uzbekistan – 2025

    On April 21, 2025, Uzbekistan adopted two key documents setting a new course for privatization: Presidential Decree No. 70 "On the Privatization Program for 2025" and Presidential Resolution No. 145 "On the Privatization of Large Enterprises with State Participation on International Markets." The process has acquired a systematic nature with centralized management, digital infrastructure, and a focus on international markets.
    The Decree provides for a significant expansion in scope. Unlike the 247 enterprises listed in Resolution No. 162 "On Additional Measures to Reduce State Participation in the Economy" dated April 19, 2024, Decree No. 70 plans to put up for auction state shares in 115 enterprises, 659 state-owned real estate assets, and about 6,100 hectares of non-agricultural land. The document categorizes assets by sector, including industrial complexes, hotels, logistics facilities, agriculture, banks, stock exchanges, as well as postal and telecommunication infrastructure.
    A key organizational innovation is the division of all privatization assets into three tiers based on scale and method:
    - Large enterprises — subject to transformation, involvement of international consultants, and listing through IPO/SPO;
    - Medium enterprises — to be sold through the stock exchange;
    - Small assets and real estate — to be sold via electronic platforms.

    The program emphasizes digital execution and transparency — all sales will be conducted via existing online platforms.
    Comparison with the previous framework:

    Presidential Resolution No. 145 focuses on the privatization of state-owned shares in major enterprises, with a strong emphasis on attracting investors through international and domestic markets. To achieve these goals, two main methods have been defined:
    - Sale through public tenders of stakes in the charter capital of 29 large state-owned enterprises. A key feature of this process is the mandatory engagement of reputable international professional consultants;
    - IPO/SPO placement of shares in 12 large state-owned enterprises. These offerings are planned on both international and domestic capital markets.
    The approved list of companies for privatization includes leading players from the industrial, financial, and energy sectors. In most cases, the stakes to be sold exceed 90%, and for 23 out of 29 companies, a full 100% stake is slated for sale.
    The privatization will take place in two stages:
    - Q2–Q4 2025 — preparation stage, including the engagement of consultants;
    - Q4 2025 – Q1 2026 — announcement and bidding stage.

    A separate group includes 12 companies that will go public on international and domestic capital markets through IPOs or SPOs. Stakes of 10% to 25% will be offered, with placements planned gradually from 2025 to 2028.

    * The initial public offering of shares is carried out in partnership with Franklin Templeton Asset Management LLC.
    Special attention should be given to the involvement of Franklin Templeton Asset Management, which, as the trustee of the National Investment Fund (NIF), is coordinating the IPO preparation for several major companies in which NIF holds a stake. This significantly enhances the investment appeal of the process and may serve as a positive signal for global portfolio investors.
    The history of privatization-related documents in Uzbekistan reflects the country's gradual shift toward an open market economy. Starting with the initial decrees in 2019, Uzbekistan has consistently expanded the list of assets subject to privatization, introduced international financial reporting standards, and implemented greater transparency requirements.
    January 17, 2019: Resolution No. 4124
    Plans were announced to sell major industrial enterprises such as JSC Uzmetkombinat (UZMK), JSC Almalyk Mining and Metallurgical Complex (AGMK), and JSC Navoi Mining and Metallurgical Complex (NGMK). According to the decree, NGMK and other large enterprises were required to begin preparing financial statements in accordance with international standards, undergo independent audits, and meet minimum thresholds for profitability and other performance indicators.
    October 27, 2020: Decree No. 6096
    Lists of state-owned enterprises and real estate assets subject to transformation, corporate governance implementation, and privatization were approved. These included construction companies, research institutes, chemical enterprises, financial institutions, oil and gas companies, mobile operators, winemaking enterprises, hotels, "Foton", Coca-Cola Uzbekistan, and others. A Department for the Transformation of Large Enterprises was established under the Ministry of Finance.
    August 15, 2022: Cabinet Resolution No. 446
    A "roadmap" was approved for the public offering of state-owned companies. IPOs/SPOs of 21 companies were planned for 2022–2023. The Agency for Strategic Reforms, established under Presidential Decree No. 216, was designated as the responsible body.
    March 24, 2023: Resolution No. 102 and March 29, 2023: Resolution No. 103
    An expanded privatization program was approved, providing for the sale of shares in 1,000 enterprises, 1,000 real estate assets, and the IPO of 40 major companies and banks. Implementation was to be carried out through the E-auksion platform. The Ministry of Economy and Finance was granted the authority to conduct IPOs.
    April 19, 2024: Resolution No.162 and No.163
    The sale of state shares in 247 enterprises and over 1,000 real estate properties was planned. IPOs/SPOs of 12 large companies were scheduled, including four international offerings. The involvement of international consultants became mandatory. Use of the E-auksion platform was no longer required for pricing and settlement.
     April 21, 2025: Presidential Decree No.70 and Resolution No.145
    A comprehensive Privatization Program for 2025 was approved, covering more than 1,000 assets through a three-tier implementation system (ranging from IPOs to electronic auctions) with personal accountability of responsible officials. A list of 29 major enterprises designated for privatization was confirmed, along with the holding of 12 international IPOs/SPOs requiring the engagement of consultants. A moratorium on the creation of state-owned enterprises was introduced until January 1, 2030.




    The planned privatization program is the largest and most comprehensive government initiative in recent years. Presidential Decree No. 70 and Presidential Resolution No. 145 have established an institutionally structured, digitally enabled, and internationally oriented privatization framework. Their implementation has the potential to accelerate economic transformation,
expand market mechanisms, and attract strategic investors. However, the effectiveness of this program will depend on the quality of deal preparation, the transparency of procedures, and the government’s ability to consider the social implications of reforms.

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