Photo: sputniknews.uz
Wages, pensions, and social benefits in Uzbekistan will grow at a pace faster than inflation, according to the Fiscal Strategy for 2026–2028 released by the country’s Ministry of Economy and Finance.
The ministry said the measure is intended to ensure sustained growth in real incomes and to strengthen social protections, in line with the long-term national development program Uzbekistan – 2030.
The strategy notes that since 2022, salaries for public sector employees, pensions, and benefits have been indexed at or above the inflation rate. In 2025, social benefits rose by an average of 10 percent starting July 1, while salaries increased from August 1—outpacing the annual inflation forecast of 8 percent. According to the ministry, the increases were both earlier and larger than initially planned.
The document states that a 1 percent increase in salaries requires 1.675 trillion soums ($134 million) annually, while a 1 percent pension hike requires 861 billion soums ($69 million). In 2026, the share of salary spending in the national budget is projected to decline from 9.5 percent of GDP to 8.8 percent, accounting for 41.9 percent of total government expenditures—down from 44.8 percent in 2025.
In absolute terms, annual budget expenditures on salaries are expected to rise by 17.1 trillion soums ($1.37 billion), reaching 171.4 trillion soums ($13.7 billion), up from 154.3 trillion soums—a year-on-year increase of 11 percent.
At the same time, the government plans to keep the budget deficit below 3 percent of GDP and public debt under 50 percent of GDP.
The fiscal strategy also calls for continued expansion of social support programs, prioritizing funding for healthcare, education, and the welfare system. It includes measures to improve performance-based budgeting and increase the transparency of public spending.
