JOBS OUTCOMES STORY THE CHALLENGE Of the 37 million inhabitants of Uzbekistan, 49 percent lived in FROM ROOT rural areas in 2024 – and the rural population is growing faster TO FRUIT than the urban population. Agriculture is a key economic sec- tor, accounting for 27 percent of total employment in 2019. Growing the This is partly due to Uzbekistan’s prime location for agricultural production, particularly for horticulture. The climate allows for Horticulture Sector double harvesting of vegetables in most areas across the coun- in Uzbekistan try – triple harvesting in some regions – and supports a wide variety of crops while limiting pests and diseases. However, more rapid growth in the horticulture sector is constrained by farmers’ AT A GLANCE limited knowledge of modern farming practices, a lack of mech- anisms to effectively link farmers to markets, bottlenecks in the REGION/COUNTRY Europe & Central Asia | Uzbekistan value chain, and a significant investment gap, estimated at over $1 billion. Boosting productivity and increasing lending could PROGRAM/PROJECT Uzbekistan help Uzbekistan’s agribusinesses accelerate growth, leverage Horticultural Development Project the country’s strong comparative advantage, and provide the FUNDING $650 million IBRD growing rural population with the jobs and skills they need for improved wellbeing. RESULTS Horticultural businesses in Uzbekistan became more profitable and productive, leading to the creation of over 34,500 permanent jobs – nearly 40% for women – and approximately 22,000 seasonal jobs, 75% for women. An additional 5,000 jobs were created in auxilia- ry industries such as food packaging, storage, and distribution. New jobs in rural logistics and transport allowed young rural workers to earn a stable income in their communities, instead of having to migrate to cities. Participating fruit and vegetable producers bene- fited from improved agricultural practices, access to better inputs, and the adoption of greenhouse technology, resulting in a 25–30% increase in crop yields and a 35% increase in gross sales, boosting labor demand and job sustainability. The project facilitated over $300 million in conces- sional loans to farmers and agribusinesses, helping more than 5,000 enterprises expand their business- es, modernize production, and increase employment capacity. WBG APPROACH The World Bank worked with beneficiaries across Uzbekistan’s horticultural value chain to improve productivity and profitability. The project introduced farmers to new agricultural techniques, such as hydroponics and energy- and water-efficient irrigation, with a focus on climate-smart innovations that helped ensure long-term employment growth. Along with improvements in post-harvest handling, the interventions increased beneficia- ries’ profitability by over 120 percent and made horticulture jobs more sustainable. Farmers were connected to new markets for their increased yields, and the resulting increase in horticulture exports played a pivotal role in job creation and sustainability across the value chain. The project also included targeted interventions to enhance women’s participation in the workforce, such as financial incentives, training programs for women entrepreneurs, and skills development in high-value horticulture jobs. The World Bank collaborated with local financial institutions to introduce a dedicated credit line for horticulture investments, which had not been available at scale in Uzbekistan before. This enabled producers to access con- cessional financing for modern greenhouses, processing, cold storage, and export facilities. Gross sales increased more than five-fold, allowing farms to add tens of thousands of jobs and contributing to the economic transfor- mation of the entire sector. LESSONS LEARNED Financial support alone is not enough to create sustainable jobs – it is essential to combine access to finance with technical training and business development. In Uzbekistan, finance helped boost production, but long-term job creation only occurred when farmers and agribusinesses received training in modern horticulture techniques and business skills. The project also found that strong coordination between stakeholders ensured that employ- ment outcomes were scalable, sustainable, and well-integrated into Uzbekistan’s broader agricultural strategy. It was the project’s ability to blend financial, technical, and institutional support that enabled sustainable em- ployment growth in the sector. NEXT STEPS Building on the project’s success, future efforts will leverage private-sector investment to support sustained employment growth, and will strengthen horticulture value chains to expand agro-processing, logistics, and export market access. Another key step will be scaling up digital solutions through investments in e-commerce platforms and digital extension services, increasing access to markets and financial services. Throughout, it is critical that future programs integrate climate resilience, from climate-smart farming practices and sustainable irrigation to resilient value chains that will protect jobs from shocks. The project enabled us to invest in modern packaging production equipment, significantly expanding our production capacity to up to 2,000,000 eco-friendly boxes per year, which local farmers and agri- businesses also use to export fruits and vegetables to European and Asian markets. Today, we provide stable employment for around 300 workers, 60 percent of whom are women and young people. — Rustam Buriyev, owner of a packaging production company, Tashkent, Uzbekistan