Uzbekistan Sets Ambitious Goals for Housing Sector in 2025
Tashkent, The Gulf Observer: President Shavkat Mirziyoyev presided over a meeting on January 23 to review the progress of Uzbekistan’s housing initiatives in 2024 and outline plans for 2025. The meeting highlighted significant achievements and challenges in the housing sector, emphasizing its role as a driver of economic growth and social development.
In 2024, over 40 million square meters of buildings were constructed nationwide, including 2,044 apartment buildings with more than 100,000 apartments. The sector engaged 350,000 workers and contributed to creating an additional market worth 11 trillion UZS in related industries, such as furniture, electrical equipment, textiles, and building materials. The overall economic impact amounted to 73 trillion UZS, generating 14 trillion UZS in state budget revenue.
Despite these accomplishments, challenges were noted in regions like Karakalpakstan, Jizzakh, and Syrdarya, where projects remained incomplete or undeveloped. Additionally, 781 apartments remained unsold due to infrastructure limitations and the remote locations of residential areas.
President Mirziyoyev emphasized the importance of the “New Uzbekistan” housing estates as a cornerstone of his administration’s policy, noting their transformative impact on regional development, trade, and quality of life. To address delays, a new procedure mandates that neighborhood designs be completed within two months, and construction must begin within three months. Failure to comply will result in land plots being auctioned again.
For 2025, 1.2 trillion UZS will be allocated to improve infrastructure in housing estates. Developers will gain access to up to $1 billion in working capital through the introduction of an escrow system, enabling simultaneous financing and construction. New policies will also allow citizens to secure mortgage loans and subsidies at the initial construction stage, with an option to sell housing before completion.
Construction organizations will receive tax exemptions during project timelines but will face penalties for delays. To encourage private sector involvement, 10% of land in housing estates will be auctioned for commercial buildings, and private kindergartens in residential complexes will be exempt from property tax.
By 2030, Uzbekistan plans to build 100 “New Uzbekistan” housing estates near district centers, accommodating at least 70,000 residents each. Each estate will feature 2,000 apartments with a combined area of 100,000 square meters. A newly established company, O’z Uyim (My Home), will oversee land selection, design, construction, and maintenance of these estates.
In 2025, Tashkent will pioneer energy-efficient housing initiatives, including centralized trigeneration for heating and cooling, reducing summer energy consumption by fourfold. Plans include constructing 15,000 green-energy apartments in “New Tashkent” and equipping homes with advanced energy storage systems.
To enhance efficiency, the government will streamline construction processes, including online coordination through the Shaffof Qurilish platform and simplified approvals for seismic resistance and fire safety inspections. Legal entities that are VAT payers will now exclusively participate in land auctions for apartment buildings.
This year, the country aims to build 120,000 apartments, supported by 15.5 trillion UZS from the state budget, 10 trillion UZS in bank financing, and 2.3 trillion UZS from the Mortgage Refinancing Company. Subsidies for low-income families will facilitate the purchase of 30,000 apartments.
President Mirziyoyev concluded the meeting by underscoring the need for timely and quality execution of housing programs and called for regional leaders to address existing challenges to ensure the success of Uzbekistan’s ambitious housing agenda.
