Youth has always played a crucial role in the formation and development of civil society. Therefore, our country pays special attention to comprehensive support and encouragement of its active participation in the socio-economic development of the state. The declaration of 2024 as the Year of Youth and Business Support signifies the recognition of the importance of the younger generation in domestic political processes.

Youth is the driver of innovation, modern technology, and economic development. Its all-round support is the foundation of the state’s youth policy. The current year is focused on stimulating entrepreneurial activities among the youth, creating conditions for the successful development of small and medium-sized businesses.

In the republic, 210 entrepreneurial and industrial zones for youth have been established. Significant funds are directed towards ensuring their employment, creating appropriate platforms. This initiative aims to achieve several objectives.

Firstly, supporting the development of youth entrepreneurship stimulates economic growth. It helps young men and women implement their ideas, develop business projects, and more.

Secondly, the organization of youth industrial and entrepreneurial zones attracts domestic and foreign investments. In turn, placing production and business in such zones promotes the economic development of territories.

Thirdly, these zones are also platforms for introducing new technologies, developing innovative products and certain services, thus, increasing the country’s competitiveness in the global market.

Fourthly, the development of such business territories serves to create jobs for young citizens, reduce unemployment, strengthen social stability, and improve living conditions for the population.

Source of Effective Income

Great emphasis is placed on youth employment, including in the IT services sector and innovative ideas. The country is actively developing the digital economy by creating favorable conditions.

The «Uzbekistan — 2030» Strategy outlines tasks to ensure youth employment and address their issues, as well as to reduce unemployment from 14 to 11 percent. Attention is also given to further popularizing the IT sphere among youth and increasing the export of related services. Measures are planned to employ 300,000 young people in this segment, teach modern professions to schoolchildren in demand on the international IT market, expand the «One Million Programmers» project, and prepare 15,000 talented young men and women annually based on programs in line with the requirements of prestigious international organizations.

In recent years, significant attention has been paid to investing in human capital, which acquires particular relevance due to changes in the global economy.

Why «Human Capital» is Primary

The implementation of tasks outlined in the first direction of the «Uzbekistan — 2030» Strategy, which is called «Creating decent conditions for realizing the potential of each person,» starts with reforms in the education sector. If realizing an individual’s potential means enriching human potential, it’s easy to see that education plays a primary role in this: it helps in forming human capital — the main resource for innovations, economic development, and social stability. Developing intellectual and creative abilities allows people to realize their opportunities and achieve professional success, contributing valuable input in various life and activity spheres.

Reforming the education system as part of the «Uzbekistan — 2030» Strategy is a logically important step in creating decent conditions for realizing each person’s potential. Consistent improvement of the system and preparation of highly qualified personnel serve to develop human capital and increase the country’s competitiveness on the global stage.

Today, much attention is paid to this aspect for reasons including globalization and competition, rapid technological development, demographic changes, and more. Human capital is the main resource capable of ensuring competitiveness and innovative development. Modern technologies require workers to have deep knowledge and high qualifications. For business operations and production placement, investors primarily choose countries with high human capital development indicators.

Human capital is a key factor in economic growth, innovation, sustainable development, and improving the population’s welfare. A qualified workforce can effectively use investment resources in healthcare, education, science, and technology sectors. In short, human capital plays a significant role in a country’s development and requires serious attention from the state and the business community.

Valuable Experience from Abroad

Despite their high population, China and India successfully address employment issues. These countries are actively developing manufacturing sectors, creating jobs for unemployed youth, reducing unemployment levels. By investing significant funds in training and professional education for young citizens, they create opportunities for increasing their professional skills and competitiveness. By stimulating and supporting small businesses, conditions for entrepreneurship development are created.

The experience of China and India is valuable for Uzbekistan. In the process of developing strategies for ensuring youth employment and managing demographic growth, it’s important to adapt the successful practices of these countries to our republic’s conditions.

During foreign visits, the head of the state conducts strategic meetings with potential investors — leaders of large companies and corporations, successful business community representatives. This facilitates the creation of a favorable investment environment, the attraction of new foreign technologies, experience, and capital, and the development of Uzbekistan’s economic ties with other developed countries.

Foreign investments stimulate production, job creation, economic sector modernization, and increase the country’s competitiveness in the global market. They are also an important factor in providing youth with high-paying jobs demanded in the global labor market.

Nurislom Tukhliev, Doctor of Economic Sciences, Academic.