Tashkent, Uzbekistan (UzDaily.com) -- On 28 January, the international rating agency Fitch Ratings held a webinar dedicated to the macroeconomic prospects and banking sector of the Republic of Uzbekistan.

During the webinar attended by more than 80 foreign investors, international banks and organizations, representatives of the mass media participated in the webinar, director of the Department of the Ministry of Finance Jasur Karshibaev with the representatives of the international rating agency “Fitch Ratings” Eric Arispe and Anton Lopatin made presentations on the macroeconomic situation in the Republic of Uzbekistan, sovereign credit rating of the country and the banking sector.

According to the presentations, the growth of the gross domestic product by 1.6% in 2020, the decline of the annual inflation rate from 15.2% to 11.1% at the end of 2019, as well as the adoption of a sharp increase in fiscal deficit, despite the pandemic conditions, reflect the stable macroeconomic situation in the Republic.

In turn, Eric Arispe, senior director of the international rating agency Fitch Ratings, commented that the credit rating of the Republic of Uzbekistan was maintained at the BB - (sustainable expectation) level in 2020 in the conditions of the global crisis and the reduction of sovereign credit ratings of countries:

 - The country’s robust foreign and fiscal reserves, including net sovereign foreign assets, are higher than countries with BB ratings;

 - Moderate level of liquid assets of the Fund for Reconstruction and development of Uzbekistan and the government of Uzbekistan;

- stability of public finances and growth rate, etc.

In particular, Eric Arispe explained the measures taken by the government against the rapid crisis as the main factors of economic growth in the Republic, the involvement of external financing, as well as the peculiarities of the economy. 

Despite the increase in public debt in recent years, it was noted that the dynamics of public debt is lower than the median of countries with a rating of BB. It was expressed confidence that the limits imposed on the state debt would lead to its stabilization in the medium term.

It was noted that the representative of the international rating agency Fitch Ratings aimed at implementing a coordinated fiscal and monetary policy with the aim of maintaining the macroeconomic balance, financing the current account deficit of operations mainly through foreign direct investment, as well as ensuring a moderate level of lending in the economy.

It was noted that as a result of the reforms carried out in the country in recent years, institutional indicators of the country are gradually improving.

In addition, on the webinar, the main financial indicators for the end of 2020 were discussed.