Representatives from CMM recently had the opportunity to attend the very first Investor Days of the National Investment Fund of the Republic of Uzbekistan (UzNIF), held in Tashkent from October 22–25.

“For those who might not be familiar, The National Investment Fund of the Republic of Uzbekistan (UzNIF) was launched in 2025 as a core part of the country’s modernization strategy — aiming to centralize and unlock the long-term value of state assets.

The fund is managed by Franklin Templeton Asset Management FE LLC, officially appointed as the asset manager. UzNIF holds minority stakes (20–40%) in 18 state-owned enterprises valued at $1.68 billion, offering investors a professionally managed equity platform with exposure to Uzbekistan’s growth story.

Interestingly, this model was first tested in Romania through Franklin Templeton’s ‘Fondul Proprietatea’ — and now it’s being adapted to Uzbekistan’s fast-emerging market.”

Here are their thoughts and key takeaways from the trip 👇

📊 Macro highlights:

▪ GDP growth: Uzbekistan has posted one of the strongest growth runs in the region for nine years straight.
▪ Inflation: Projected to reach 8% by end-2025, moving toward a 5% target.
▪ Reserves: A record $55 billion, providing a solid cushion against external shocks.
▪ Exchange rate: The UZS has appreciated 7% against the USD since the start of 2025.
▪ Foreign currency exposure: Down from 50% to 30% — a strong vote of confidence in the local currency.

💡Energy sector highlights:

Over the next decade, the country’s electricity demand is projected to almost double — from 68 billion kWh today to 123 billion kWh by 2035, growing at an average of +5.5% a year.

That growth will come from all directions:

• Industrials are driving expansion through new projects in chemicals, oil & gas, and mining.
• Households are switching from gas to electric heating as incomes rise.
• The transport sector is gearing up for an electric revolution, with EVs and e-transport fleets expanding fast.
• And the service and tech economy — especially data centers — is adding new layers of electricity demand.

To power this transformation, the government plans to install 34 GW of new capacity by 2035, including:

• 18 GW of wind
• 7 GW of solar
• 6 GW of thermal
• 3 GW of hydro

The grid is also getting a major upgrade:

• 9,000 km of new high-voltage transmission lines
• 30+ new HV substations
• ~800 new distribution transformer nodes
• And modernization of more than 90,000 km of low-voltage lines

This isn’t just about infrastructure — it’s about building a competitive, investor-friendly power market. Since 2019, Uzbekistan has unbundled its state power company UzEnergo, created separate entities for generation, transmission, and distribution, and passed key laws enabling independent power producers (IPPs) and public–private partnerships (PPPs).

Looking ahead, the government’s 2035 plan sets clear milestones:

• A wholesale electricity market by 2028
• Hourly pricing and RAB-based tariffs
• Private sector participation in grid management
• IPOs for the national and regional grid operators

In short, Uzbekistan is doing exactly what serious investors want to see — opening up its market, reforming fast, and delivering on energy security and sustainability.

📊 Banking sector highlights:

▪ Total assets near $72 billion, capital adequacy at 18%, and NPLs around 4%.
▪ Reforms: Full Basel III by 2028 and IFRS by 2027 — aligning with global standards.
▪ Digital finance: Payments usage is up 40%, driven by new fintech and microfinance players.
▪ Islamic finance: A new law is on the way, opening doors for investors from the Middle East and Southeast Asia.

Beyond the event itself, you could really feel the momentum in Tashkent — new buildings rising everywhere, construction cranes on every corner, and the city buzzing with trade, business, and fresh energy. Uzbekistan is clearly at an exciting turning point — opening its markets, reforming fast, and signaling serious commitment to investors. Experiencing this transformation firsthand was truly inspiring and eye-opening.