Fitch Upgrades Uzbekistan's Credit Rating to BB

Uzbekistan reaches a new level of investment attractiveness — one of the world's leading rating agencies, Fitch Ratings, has officially upgraded the republic's long-term credit rating from BB- to BB. The stable outlook confirms the consistency of reforms and the sustainability of the government's macroeconomic policy.

Key factors driving the upgrade include accelerated structural transformation, impressive economic growth rates, and strengthening of the country's financial resilience. According to the agency's assessment, the rating continues to reflect low government debt, substantial external and fiscal buffers, as well as strong potential for economic growth.

The government's fiscal discipline deserves special attention — the consolidated budget deficit in 2023 reached 3% of GDP, significantly better than the initial forecast of 4%. Fitch projects the deficit will remain at 3% in both 2025 and 2026, demonstrating the sustainability of budgetary policy.

The agency also highly praised progress in reforming state-owned enterprises, aimed at increasing operational independence and improving corporate governance. Energy tariff liberalization and subsidy reductions in 2024 led to better-than-expected fiscal outcomes.

Economic prospects remain impressive — Fitch expects Uzbekistan's economy to grow by 6.3% in both the current and following year. This confirms the republic's status as one of the most dynamically developing economies in the region.

It's important to note that the rating upgrade is not an isolated event — previously, positive assessments of Uzbekistan were provided by other leading international agencies, including Moody's and S&P, which also revised the country's credit rating outlook from "Stable" to "Positive".

The Portfolio Investments team warmly congratulates the Republic of Uzbekistan on this significant achievement! The credit rating upgrade opens new horizons for attracting foreign investment, reduces borrowing costs, and strengthens the international investment community's confidence in the country's economy. We are proud to be part of Uzbekistan's investment landscape and confident in the republic's continued prosperity in global capital markets.