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Challenges and opportunities for increasing foreign direct investment in Central Asia: the case of energy in Uzbekistan

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Author: Kim, Anna
This research aims to identify the challenges and opportunities to increase Foreign Direct Investment (FDI) in the energy sector in Uzbekistan and to identify possible ways to improve the investment climate based upon a comparative analysis of the Central Asian region. The approach of this study is to create a synergy between the discipline of political science and business realities with a focus on policy recommendations. An underlying hypothesis is that the strong nationalization of the energy sector and the lack of an attractive business climate in Uzbekistan hinder FDI inflow; therefore, liberalization policies may stimulate the interest of foreign energy companies. The findings of this study suggest that the government of Uzbekistan should focus on FDI determinants such as business climate, trade openness, political stability, transparency, and infrastructure in order to improve overall investment environment and attract foreign capital.
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