Russian Business Travelers Discover Opportunities in Uzbekistan

Uzbekistan’s appeal as a destination for Russian businesses is growing, as neighboring Kazakhstan and Kyrgyzstan have become less welcoming to sanctions-busting activities.

The number of Russian firms active in Kazakhstan has declined for five consecutive quarters and now stands at roughly 17,600, its lowest level in two years, The Caspian Post reports citing Eurasianet.

Kazakh and Kyrgyz officials, responding to pressure from the US and European Union, have tightened banking regulations of late, making sanctions-busting transactions more difficult.

It is not surprising then that Russian entrepreneurs are turning their attention to Uzbekistan. The number of new businesses launched in the country with Russian capital has grown by 161 since the start of the year, official statistics show. Uzbekistan has also risen to the third most popular destination for Russian “business tourists,” after China and Kazakhstan. According to Uzbek media reports, hotel bookings by Russian entrepreneurs so far this year has grown by 53 percent, compared to the first half of 2024.

Even though interest in Uzbekistan as a business destination is surging among Russians, the overall number of Russian firms operating in the Central Asian nation stands at 3,098, less than 20 percent of Kazakhstan’s total.

In 2024, Uzbek-Russian trade turnover grew by 5.2 percent, reaching more than $10 billion, the Interfax news agency reported.