Uzbek Model of Reforms Provides a Rapid Development of the Country
The dynamic of economic development of Uzbekistan during the years of independence demonstrates the efficiency, accuracy and consistency of the “Uzbek model” of transition from centrally planned to free and socially oriented market economy, themodelwhich wasworked out by the country's leadership.The major difference of adopted model of economic development in Uzbekistan was a deep forethought of external borrowing policy, rejection of speculative short-term loans that can set the country to dependence on the external factors. Thanks to the consistent implementation of this model, our country has achieved high economic growth rates. For example, in 1997-2003 the economy of Uzbekistan developed at a moderate rate of 3.8-5.2% per year. Since 2004, as a result of deepening of the economic reforms, aimed at creating a favourable business environment, modernization, technical and technological renewal of production, a high and sustainable rate of economic growth of 7-9% per year was achieved. The GDP at purchasing power parity in 2011 increased in comparewith 1990 by 3.6 times, from 27.1 to 101.4 billionUS dollars. An important factor in growth of the leading sectors of the economy was the creation of a favourable business environment, increasing investments, which have provided important qualitative changes in the structure of the economy. Thus, during 2000-2011, the share of agriculture in GDP declined from 30.1 to 17.6%, while the share of industry increased from 14.2 to 24% and the share of services – from37 to 50.5%. While in 1990, exports exceeded imports by 79.8 million US dollars, then in 2011, the trade surplus amounted to 4246.6 millionUS dollars. Adopted in 2000-2011 measures of industrialization, modernization, technical and technological re-equipment branches of the economy, the creation of new industries like automotive, oil and gas chemical, railway engineering ensured the growth of the total volume of industrial production and the share of manufacturing inGDPto24% by 2011. Another characteristic feature of the qualitative changes taking place in the economy - the rapid development of the service sector, which became the most promising and fast growing sector of the economy. An important stage of accelerated growth was the adoption of the Programme of development of the service sector in the years 2006-2010, as well as programs to build infrastructure in the area of services.During the years of independence, Uzbekistan has managed to develop and implement a productive investment policy. Favourable business environment, broad system of legal guarantees and privileges for foreign investors, integral system of measures to stimulate the activity of the enterprises with foreign partners contributed to a significant increase in foreign direct investments in the country. As a result, in 2010 the share of foreign investment in the total capital investment amounted to 25.1%, including foreign direct investment - 21.2%. The main partners in the implementation of investment projects on production of high-tech products with high added value are large and worldwide well known companies from the United States («GM», «Texaco»), Germany («MAN», «Daimler-Benz», «KLAAS»), South Africa («Sasol»), Spain («Mahat»), Japan («ISUZU», « I TOCHU » , « M I T S U B I S H I » ) , M a l a y s i a («PETRONAS»), Korea («Korean air», «CNOC», «LG»), China («CNPC»), Russia («Lukoil», «Gazprom»), as well as such major international financial institutions like the World Bank, Asian Development Bank, Islamic Development Bank, investment banks of South Korea, Japan and other countries. Over the past period foreign trade turnover increased by 31.2 times, including export - 34 times, import - 27.7 times. Herewith a positive balance of trade has increased by more than 50 times, ensuring the rapid growth of gold and foreign exchange reserves and the stability of the national currency. Diversification of the commodity structure of exports has eliminated dependence of the country on export of crop and cotton, share of which fell from 59.7% in 1990 to 9% in 2011. In the structure of exports, the share of non-primary goods in total exports are now more than 70% versus less than30% in 1990. Chosen “Uzbek model” of economic development, in combination with measures to further deepening of the democratic market reforms and liberalization of the economy, well-thought and consistently implemented priorities of political, economic and social changes have created a solid and reliable foundation on the basis ofwhich are building a sustainable and dynamic development of the national economy, provides consistent improvement of living standards.