Harnessing AI for development: Uzbekistan’s progress towards becoming a regional IT hub

By Gonzalo Grau

Uzbekistan is setting its sights on becoming a Central Asian AI leader and IT hub. This vision is guided by frameworks like Digital Uzbekistan 2030, The Development Strategy of New Uzbekistan for 2022-2026, Uzbekistan 2030, and the Strategy for the Development of Artificial Intelligence of the Republic of Uzbekistan 2030, driving innovation and digital transformation. With 2030 as the horizon of its ambitious strategic vision, Uzbekistan is well on its way to achieving the targets laid out across these documents.

As a key milestone, over 2,000 IT companies are already operating out of Uzbekistan’s flagship IT Park, an innovation hub providing fiscal advantages to resident startups. Progress in the country’s digital transformation journey is best evidenced by the launch of its Unified Portal of Interactive Public Services (https://my.gov.uz/oz), a digitized administrative portal that allows citizens to interact with institutions more directly and efficiently. As of October 2024, more than 60% of Uzbekistan’s public services are provided through this portal.

To discuss Uzbekistan’s achievements in public sector digitalization and its broader ambition as a regional pioneer of AI-driven public services, we were honored to be joined by H.E. Sherzod Shermatov, Minister of Digital Technologies of the Republic of Uzbekistan.

Watch the full interview:

Collaborative policymaking: human-centered and structurally sound

Approved in October of this year, Uzbekistan’s Strategy for the Development of Artificial Intelligence is its first strategic framework focused exclusively on AI. Minister Shermatov emphasized the importance of co-design and incorporating industry input in its development. Formal exchanges included visits to Silicon Valley to meet leaders from Nvidia, Scale AI, and OpenAI, while informal channels benefited from knowledge-sharing by Uzbek professionals working in these companies.

The strategy presents two main pillars:

• Human-centered approach: Minister Shermatov stresses that the ultimate aim of AI development is to improve people’s lives. This begins with understanding the problems that need to be solved before designing or implementing AI solutions.
• Enabling rather than prescriptive: Uzbekistan has focused on creating an AI ecosystem by establishing a legal framework, strengthening human capital, and bolstering technical infrastructure for data processing. Minister Shermatov notes that avoiding over-regulation and instead investing in innovation (skills development, capital attraction, infrastructure) is key.

This approach is already yielding results. At the 3rd Tashkent International Investment Forum, Uzbekistan announced a $5 billion partnership with Saudi Arabian company DataVolt to construct up to 500 MW worth of green data centers, including a 250 MW center in New Tashkent and another in Bukhara. These projects align with Uzbekistan’s commitment to climate action and sustainable innovation.

AI for sustainable development

Uzbekistan is deploying AI across various sectors aligned with its Sustainable Development Goals (SDGs), with a focus on healthcare and education.

• Healthcare: AI is addressing shortages in medical staff by automating diagnosis procedures and increasing accuracy. For instance, breast cancer detection has already been partly automated in many hospitals.
• Peace, Justice, and Strong Institutions: AI is improving interactions between citizens and government institutions. The lex.uz chatbot helps users navigate legal inquiries efficiently, reducing bureaucracy. Additionally, Uzbekistan is developing a semi-automated customs system to enhance border security and efficiency.

Uzbekistan’s increasing adoption of AI in public services demonstrates its commitment to digital government leadership. Reflecting this, the country will host the 2025 UN Public Services Forum in Samarkand.

Looking ahead

Uzbekistan aims to become a Central Asian IT hub by 2030, with AI contributing around $1.1 billion to its economy. By focusing on infrastructure development, skills enhancement, and innovation hubs, the country is making significant progress.

However, challenges remain, particularly in AI ethics. Minister Shermatov acknowledges the complexity of aligning AI regulations with international standards. The ministry is collaborating with UNESCO to develop a legal framework that ensures responsible AI deployment.