Exports sophistication of Asian countries.
Policy challenge—diversifying exports and
liberalizing external trade :
Although continued government investment in infrastructure and industrialization will promote growth, Uzbekistan needs to...
more sophisticated and diversified industrial and export base to sustain growth and expand employment over the longer term. Moreover, infrastructure development and industrial modernization programs are themselves influenced in the long run by exports, as government investment is funded mainly by earnings from export industries, converted into FRD savings. Therefore, export diversity is crucial to the long-term sustainability of investment. While export diversification has progressed, Uzbekistan’s exports remain more concentrated and less sophisticated than those of other Asian countries. The sophistication of Uzbekistan’s exports also lags behind the norm for countries with similar per capita income (Figure 3.8.9).
ARM = Armenia, AZE = Azerbaijan, GEO = Georgia, HKG = Hong Kong, China, IND = India, INO = Indonesia, KAZ = Kazakhstan, KOR = Republic of Korea, LAO = Lao People’s Democratic Republic, MAL = Malaysia, MON = Mongolia, NEP = Nepal, PHI = Philippines, PRC = People’s Republic of China, SIN = Singapore, TAJ = Tajikistan, THA = Thailand, TKM = Turkmenistan, UZB = Uzbekistan, VIE = Viet Nam.
Note: Countries with populations below 2 million were excluded.
Sources: UN Commodity Trade Data; Feenstra, R., R. Lipsey, H. Deng, A. Ma, and H. Mo. 2005. World Trade Flows: 1962–2000. NBER Working Paper No. 11040