Uzbekistan: the green revolution starts from the rules
May 14, 2026
This article was written by Andrea Pauri, a student at the Walter Tobagi School of Journalism in Italy.
You can’t see it, yet it weights. It does not have the shape of a dam, nor the modern profile of a wind turbine. It does not produce energy, at least not immediately. And yet it is there that the energy future of an entire country is at stake. In Uzbekistan, the green transition begins with what regulates. From a law, from a public budget, from a system of incentives that slowly changes direction.
It is a silent, barely visible, but decisive work. Because economic policy always comes before infrastructure. And before the investment, the rules that make them possible. This is where a €225 million programme takes shape, promising a profound transformation. The project is implemented together by Cassa Depositi e Prestiti and Agence Française de Développement within the Joint European Financiers for International Cooperation (JEFIC) network, with a contribution of €100 million euros provided through the resources of the Italian Climate Fund, managed by Cassa Depositi e Prestiti (CDP) on behalf of the Ministry of Environment and Energy Security (MASE), and €125 million made available by Agence Française de Développement (AFD).
It is above all at a later stage that the support and verification of the reforms is being played out, supported by donated resources made available by AFD, without the direct involvement of CDP and the Italian Climate Fund. CDP’s involvement takes on particular importance not only because of the scale of the resources mobilized, but because of the operational role in managing the intervention and in the dialogue with the Uzbek authorities.
This is not traditional financing. Resources are made available only if the government carries out specific reforms. The programme supports the design, implementation and control of policies for the green transition, combining technical assistance and concessional financing. The mechanism is that of a policy-based loan: funds are released upon the achievement of concrete objectives, such as the introduction of “green” budgeting tools, the reduction of fossil fuel subsidies or new rules for the energy sector. It is a logic already successfully tested by the European Union during the Recovery Plan, where funding was linked to the achievement of milestones and reforms. The operation follows the logic of JEFIC, the network that brings together European financial institutions to coordinate interventions in emerging countries. In 2024 it mobilized €18 billion in 160 countries, focusing on co-financing and the sharing expertise.
The commitment in Uzbekistan is complex because the country is in transformation. The economy is growing at a rapid pace, around 5% annually, public debt is contained, and the government has launched a process of liberalization. But the development model is heavily dependent on fossil fuels, and the energy system is inefficient and polluting. Growth is solid today, less sustainable tomorrow. For this reason, the aid program provides for interventions along three directions: strengthening climate institutions, green fiscal transition and energy sector reform. In concrete terms, it means reducing fossil fuel subsidies, containing emissions, liberalizing the electricity market and promoting efficiency and renewable. The goals are simple to understand but difficult to achieve: reduce emissions by 35% while maintaining a growing GDP by 2030 and increase renewable energy. To achieve this, it is not enough to act on energy alone, we must change the functioning of the entire economy.
The geopolitical framework also remains complex because Uzbekistan moves in balance between Russia, China, and the West, seeking to maintain autonomy. A position that offers opportunities, but also vulnerabilities because it is highly exposed to current geopolitical tensions.
It is precisely on this ground that cooperation between Italy and Uzbekistan takes on a broader meaning, strengthening a relationship built over time. Interchange between the two countries has already reached €633 million in 2023, driven by machinery and industrial equipment, and can grow further thanks precisely to the green transition. A path that requires technology, expertise and infrastructure, areas in which Italy has a recognized competitive advantage.
Tools like policy-based loans, which link financing to concrete reforms, do not simply support a country, they build relationships and shape choices. They make possible investments and industrial partnerships that would otherwise not emerge. CDP’s intervention moves in this direction: it strengthens a concrete cooperation and places Italy and Uzbekistan on a common path of growth.
Andrea Pauri