Driving Local Budget Reforms for Fiscal Strength in Uzbekistan

PMCG has launched the project “Support Further Improvement of the Local Budget System” in Uzbekistan, financed by the World Bank, it aims to guide local budget reforms through evidence based and fiscally disciplined decisions on future priorities and sequencing. PMCG leads the initiative in joint venture with the Center for Progressive Reforms (CPR), Uzbekistan. The project supports the Ministry of Economy and Finance (MEF) of the Republic of Uzbekistan.

Project Scope and Partnership

Under this assignment, PMCG and CPR will assess local revenues, expenditures, and inter budgetary transfers. They will also review the legal and institutional framework. The team will compare international practices and identify solutions that match Uzbekistan’s needs. This approach provides MEF with a solid basis for informed decision making.

The project also focuses on developing a sequenced fiscal decentralization roadmap. This roadmap aligns with Uzbekistan’s Public Finance Management Strategy 2025–2030. The team combines analysis with clear planning steps. This helps the government set realistic priorities and manage reform effectively. It also strengthens coordination across institutions.

Advancing Local Budget Reforms

A key strength of the project lies in turning analysis into practical recommendations. This process allows local budget reforms to move forward with stronger evidence and clearer direction. It also considers fiscal risks, institutional capacity, and long term goals. As a result, decision makers gain a balanced and realistic view.

The assessments will show how local finance systems perform today. They will also identify areas where targeted improvements can deliver better results. This structured approach ensures that reforms remain achievable and relevant. It also supports consistent progress across regions.

Building a Stronger Fiscal Framework

The initiative supports stronger local fiscal autonomy and better service delivery. It also promotes greater regional equity. In addition, it aims to create a predictable and accountable local budget system. These improvements can enhance planning and resource allocation at all levels.

Better systems also build public trust. Citizens benefit from more efficient and transparent use of resources. Institutions gain clearer rules and stronger accountability. Together, these outcomes strengthen the overall fiscal framework and support sustainable development.

Long Term Impact for Uzbekistan

PMCG aims to contribute to a more resilient and efficient public finance system in Uzbekistan. Close cooperation with CPR and MEF will support effective implementation. The project will help translate policy goals into measurable results. In this context, local budget reforms will play a central role in strengthening fiscal governance and supporting balanced national developmen