Uzbekistan is something of an unknown quantity. For many years since its independence from the Soviet Union, the double-landlocked Central Asian nation lived in a self-imposed semi-isolation and, other than exporting copper, cotton and gold, didn’t have very much to do with the outside world. However, since their President, Shavkat Mirziyoyev, rose to power in 2016, things have been changing rapidly as the country seeks to become firstly a regional and then a global IT powerhouse and is becoming a top destination for IT Outsourcing.

So why should you choose Uzbekistan for Outsourcing? In an era where fuel and monetary costs are soaring, Western companies are relentlessly pursuing to slash expenses and maintain competitiveness. The most effective strategy? Outsourcing to Uzbekistan. Here's why:
In just three years, Uzbekistan’s IT Park has attracted over 650 companies, including major names like Epam Systems, Itransition, Mightycall and Dyninno Tas International, all benefiting from tax and customs duties exemptions until 2028. That's right, IT companies based in Uzbekistan’s IT Park pay ZERO tax!
What about the language barrier, you ask? Well, while Uzbek may be the only official language and Russian is widely spoken as the language of business and “inter-ethnic communication,” Uzbekistan has heavily invested in English language proficiency through the English Speaking Nation program, significantly funded by the US. This initiative has enhanced the skills of over 30,000 English language teachers with US-funded training, and government officials proficient in English receive additional compensation. The country has also welcomed several foreign universities, intensifying educational competition and elevating academic standards. So fear not; nothing will be lost in translation!
Perhaps Uzbekistan’s greatest asset is its people. With a young population of more than 36 million citizens, of whom 60% are under 30, a birth rate of 6 million children and 680,000 graduates entering the workforce this year, Uzbekistan places immense value on enriching its industrial sector and human capital, recognizing the latter as one of its greatest assets. Since initiating IT reforms, Uzbekistan has experienced a remarkable transformation, described by the World Bank as “unprecedented” in both economic and social terms. The “One Million Uzbek Coders” initiative has seen 1.2 million participants complete the program, with over a million more currently enrolled.
Moreover, the Uzbek government is fully committed to fostering remote employment opportunities, particularly in regions with high unemployment rates. Companies venturing into these areas are supported with renovated and fully equipped offices, rent-free for six months, eliminating the need for significant initial capital expenditure. Additionally, the government offers subsidies for education expenses, ensuring that new graduates joining the IT Park residents are financially supported, with increased subsidies for individuals with disabilities.
The introduction of Enterprise Uzbekistan (International Digital Technology Center) further bolsters this attractive package by minimizing country-related risks and establishing a favorable legal and judiciary environment within the IT Park Uzbekistan complex in Tashkent. The presence of both centers will go a long way to maximizing the country's IT export potential and attracting IT-related investment.
The impact of these efforts is undeniable. Since 2017, IT export revenue has surged from nearly zero to $344 million last year, with the number of IT Park residents with foreign capital growing almost 20 times in the last two years alone.
The nation is ambitiously targeting $1 billion in IT exports by 2024—a goal that would mark a 3-fold increase from 2023. Currently, a significant portion, about 44%, of Uzbekistan's IT exports are destined for North America, positioning the country to tap into a global IT outsourcing market projected to reach $539.3 billion by 2023.
Uzbekistan's ambition to transform into a global IT hub is clear and compelling. With its strategic initiatives and supportive government policies, Uzbekistan is an ideal Outsourcing destination for companies looking to optimize costs and tap into a pool of talented and skilled professionals. Consider Uzbekistan for your next Outsourcing venture and be part of its remarkable growth story in the IT sector.