Determinants of Investment Attractiveness in Uzbekistan's Agrarian Economy
Abstract
This study investigates the determinants of investment attractiveness in Uzbekistan’s agrarian economy using a mixed-method approach that integrates econometric modeling and qualitative policy analysis. Drawing on data from 2010–2024, the research examines how institutional quality, infrastructure development, financial inclusion, innovation capacity, and macroeconomic stability influence agricultural investment performance. Results from fixed-effects regression indicate that innovation and institutional quality exert the strongest positive effects on investment attractiveness, while infrastructure and financial development provide complementary support. Macroeconomic stability, although less significant, remains an essential enabling factor for long-term capital inflows. The findings reveal that recent policy reforms, particularly the Strategy for Agricultural Development 2020–2030, have improved the institutional and infrastructural foundations of the sector; however, persistent regional disparities, limited access to finance, and uneven technological diffusion continue to constrain investment growth. The study concludes that the synergy between institutional reform, innovation-driven modernization, and inclusive financial policies is key to enhancing the competitiveness and sustainability of Uzbekistan’s agriculture. The paper provides empirical evidence and policy-oriented recommendations for strengthening the country’s position as an attractive destination for agrarian investment.