Tashkent, Uzbekistan (UzDaily.com) — President of Uzbekistan Shavkat Mirziyoyev delivered a speech at the 9th Annual Meeting of the Board of Governors of the Asian Infrastructure Investment Bank (AIIB), held in Samarkand.

The President noted that this is the first time the AIIB’s annual meeting is being held in the region:

“We consider the choice of Uzbekistan for the next, ninth meeting of this prestigious event as a high example of mutual respect and trust in our cooperation,” said Mirziyoyev.

He also emphasized that in recent years, New Uzbekistan has become a global platform for discussing important international and regional issues, and for finding effective solutions.

Nearly 200 representatives from more than 100 countries are participating in the annual AIIB meeting.

The President stated: “It’s no secret that the world is facing increasingly complex and alarming challenges, which have become part of our daily lives. The geopolitical situation, instability in the global economy, shortages of food and energy resources, poverty, and environmental problems are becoming more acute.”

“For instance, the average global temperature was expected to rise by 1.5 degrees Celsius by 2040. However, current trends indicate this may happen by 2030, raising serious concerns,” he added.

“A quarter of the world's population faces challenges in accessing clean drinking water. Climate change is accelerating, threatening global food security, and as a result, about 800 million people worldwide are living in extreme poverty,” the President noted.

“Due to growing conflicts in various regions, traditional logistics routes are changing entirely. Supply chain disruptions are causing increases in the costs of raw materials and consumer goods,” he added.

President Mirziyoyev noted that all of these issues put immense pressure on existing infrastructure, creating significant obstacles to global economic development.

Experts estimate that by 2030, the world will need US$15 trillion in investments for new infrastructure. Additionally, foreign investment flows have declined by more than 10% over the past two years, while the cost of financial resources has nearly doubled, he said.

“These challenges hinder countries from achieving their sustainable development goals. In such circumstances, the role of international financial institutions in mitigating global risks, ensuring sustainable growth, and improving living conditions becomes more critical,” Mirziyoyev remarked.

“The AIIB, in particular, has become one of the most prestigious financial institutions both in the region and globally, with a project portfolio of US$55 billion amassed in a short period,” said the President.

President Shavkat Mirziyoyev stated: “In recent years, New Uzbekistan has been actively implementing irreversible reforms and major transformations. Our primary focus is on economic liberalization and improving the quality of life and well-being of our people.”

“Over this period, our GDP has doubled, surpassing US$100 billion for the first time. Over the next five years, we plan to increase this figure to US$160 billion,” he added.

“Our ultimate goal is to raise Uzbekistan into the ranks of upper-middle-income countries. We have set ambitious targets to achieve these objectives,” the President said.

He also highlighted that poverty levels in Uzbekistan have been reduced from 23% to 11% in the past four years. This figure is expected to reach 9% by the end of this year, with plans to halve it again by 2030.

“The foundation of our reforms is active support for entrepreneurship, with the priority of creating new jobs and sources of income in all sectors,” Mirziyoyev emphasized.

“We are implementing a multi-tiered poverty reduction program, which includes expanding access to quality education and healthcare, improving housing, enhancing social protection, and building infrastructure in the most disadvantaged regions,” he added.

“We have developed a unique poverty reduction model based on the 'mahalla' system (local community governance) that draws on advanced foreign practices. Recently, Nobel Prize-winning economist Abhijit Banerjee noted that the 'mahalla' system in Uzbekistan offers a unique formula to help lift every family in need out of poverty,” Mirziyoyev highlighted.

The President underscored that human capital development is the key to sustainable and long-term economic growth in Uzbekistan.

Over the past eight years, preschool enrollment has increased from 27% to 74%, and new schools have been built, creating 800,000 additional places for students. The number of higher education institutions has exceeded 200, and the student enrollment rate has risen from 9% to 38%.

Uzbekistan aims to achieve at least 80% preschool coverage within the next 3-4 years by constructing kindergartens for 240,000 children in partnership with the private sector.

“Starting next year, we will launch 100 new schools annually in both urban and rural areas, meeting the most modern standards through public-private partnerships. Over the coming years, we will invest US$2 billion in this sector,” the President said.

Mirziyoyev proposed identifying education-related projects as a new area of cooperation with international financial institutions.

Annually, Uzbekistan needs to invest 10% of its GDP to improve energy, water supply, transport, IT, and other infrastructure.

President Mirziyoyev also emphasized that AIIB has played a crucial role in supporting Uzbekistan's sustainable development goals. Currently, 15 projects worth US$3 billion are being implemented with the bank's assistance.

“These projects have made Uzbekistan one of the AIIB’s top 10 partners,” the President noted.

“We have also agreed on the implementation of an additional US$4 billion in projects with the bank over the next three years,” the President concluded.

In closing, President Shavkat Mirziyoyev expressed his deep gratitude to AIIB President Jin Liqun, as well as the governments and member states of the bank for their cooperation and support in implementing wide-reaching reforms.