Reforms at the double: Uzbekistans transformation opens up new opportunities for multinational companies

Uzbekistan, the post-Soviet country, is in fashion. One of the most authoritarian countries in the world until the death of long-term autocrat Karimov in 2016, his successor, President Mirziyoyev, guides the country into a new direction.

Hannes Meissner and Johannes Leitner carried out on-the-ground research to capture political risk constellations and corporate practices to advance their STRATOS research project. “Euphoria among multinationals is high, now it is the time to position themselves on the market. Despite the optimism, political risks must not be ignored” the researchers conclude.

A surprising reform process was initiated to attract multinationals into the country. They should trigger a socioeconomic catching-up process. Nevertheless, political risks for multinationals still are substantial. Informal practices, weak rule-of-law and deficient property rights prevail. It is not yet certain where the reform process will finally lead to and if the president will be capable of sustaining the reforms.

Data collection in Tashkent was successfully completed. All interviewees were guaranteed absolute anonymity considering the existing political risks and security concerns.