Uzbekistan Country Summary

FATF Status

Uzbekistan is not on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

The last Follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Uzbekistan was undertaken in 2023. According to that Evaluation, Uzbekistan was deemed Compliant for 8 and Largely Compliant for 26 of the FATF 40 Recommendations. It remains Highly effective for 0 and Substantially Effective for 6 with regard to the 11 areas of Effectiveness of its AML/CFT Regime.

Uzbekistan faces significant challenges related to crime and corruption, despite the government's efforts to strengthen anti-corruption legislation and enforcement mechanisms. While there have been improvements in governance and political leadership, corruption remains pervasive, with a highly corrupt judicial system and law enforcement that often intimidates whistleblowers, highlighting the need for more effective implementation of reforms and greater transparency.

Uzbekistan is a rapidly developing lower-middle-income economy in Central Asia, with foreign direct investment (FDI) playing a pivotal role in its aspirations to eradicate poverty and achieve high middle-income status by 2030. Since initiating economic reforms in 2017, the government has made strides in liberalizing sectors such as energy and mining, which are crucial for attracting investment and modernizing infrastructure. With a population of 37.5 million and a GDP growth rate of 6.5 percent, Uzbekistan presents a promising investment climate, bolstered by legislative changes aimed at enhancing transparency and facilitating foreign investment, despite challenges such as state control in key industries and a developing capital market.