The World Bank forecasts a decrease in remittance flows to Uzbekistan, the largest recipient of remittances in the Europe and Central Asia region. The remittances are expected to decline from $16.7 billion (about 21% of GDP) in 2022 to $16.1 billion (about 17.8% of GDP) in 2023.
In general, countries that have been receiving substantial remittances from Russia, including Armenia, Azerbaijan, Georgia, Kyrgyzstan, and Uzbekistan, are adjusting their remittance volumes, transitioning from high to a gradual decline.
In the case of Uzbekistan specifically, the decline in remittances can be attributed to a reduction in the number of labor migrants from the republic in Russian regions, rising inflation in Russia and the appreciation of the soum against the Russian ruble.
Remittances from Russia in 2023 are still significantly higher than pre-war levels in Ukraine in 2020−2021, as reported by the World Bank.
Russia remains the largest source of remittances to Uzbekistan, the WB noted, comprising about 80% for the total remittances to the country. In 2019−2021, remittances from Russia accounted for only about half of the total remittances to Uzbekistan.
