THE ROLE AND PROSPECTS OF SMALL AND MEDIUM ENTERPRISES IN UZBEKISTAN'S ECONOMY

Small and medium enterprises (SMEs) are critical to the economic development of Uzbekistan, contributing significantly to employment, innovation, and financial stability. In recent years, Uzbekistan has undertaken a series of economic reforms to improve the business environment, fostering entrepreneurship and SME growth. However, challenges such as limited access to capital, high taxation, and bureaucratic hurdles continue to obstruct the expansion of SMEs. This paper explores the role of SMEs in Uzbekistan’s economy, analyzing their impact on economic growth, employment, and export development. Additionally, international best practices are examined to provide recommendations for enhancing the SME sector. By addressing the structural barriers faced by SMEs and implementing targeted policies, Uzbekistan can leverage this sector for long-term, sustainable economic growth.