Uzbekistan’s largest-ever public market offering has drawn strong international investor interest and highlighted the country’s progress in economic reform, while attention is increasingly turning to the next phase of strengthening its financial markets through improved governance, liquidity and regulatory reforms.

The listing of the National Investment Fund of Uzbekistan, managed by Franklin Templeton, raised more capital than all previous initial public offerings (IPOs) in the country’s three-decade history combined, according to Marius Dan, Central Asia Chief Executive at Templeton Global Investments.

The landmark transaction is being viewed as a significant milestone for Uzbekistan’s financial sector, demonstrating growing confidence among global investors. Industry leaders, however, say sustained growth will depend on building stronger institutions and creating a more mature investment environment.

Julia Hoggett, Chief Executive of the London Stock Exchange, said investors first assess a country’s economic fundamentals, including inflation, currency stability, growth prospects and demographic trends, before examining its regulatory framework.

“What investors really want to know is that they’ll put their money in and that they will get their money back,” Hoggett said.

Uzbekistan is now preparing a series of financial reforms aimed at expanding investment opportunities and attracting additional international capital.

Investment, Industry and Trade Minister Laziz Kudratov said legislation establishing the Tashkent International Financial Centre is expected to be signed soon. The proposed financial hub will operate under common law principles, offering international financial institutions a legal framework aligned with global standards.

The government also plans to introduce legislation covering alternative investment vehicles, including venture capital, private equity and limited partner-general partner investment structures.

Kudratov said the financial centre will provide long-term tax incentives lasting 50 years, including exemptions from corporate income tax, value-added tax, property tax and customs duties. He added that reforms introduced since 2017, including currency liberalisation, tax changes and the removal of restrictions on profit repatriation, have significantly improved the country’s investment climate.

“Any investor can come, invest and get their revenues out of the country within one day,” Kudratov said.

Dan noted that the National Investment Fund listing proved international investors are prepared to back Uzbekistan when investment opportunities are structured appropriately. He said continued listings of state-owned enterprises would be essential to deepen the country’s capital markets and broaden investment options.

He also pointed to growing interest in local debt markets from domestic retail investors, suggesting the financial sector is beginning to expand beyond reliance on foreign institutional capital.

Corporate governance remains another key priority. Dan said several companies within the National Investment Fund have already strengthened oversight by appointing independent directors to their boards.

Hoggett said successful public markets require companies to meet financial targets consistently while maintaining strong internal controls, transparent accounting and effective management systems.

Market participants believe Uzbekistan’s continued reforms will depend not only on attracting foreign investment but also on creating broader opportunities for domestic investors through deeper capital markets, stronger governance standards and greater market liquidity.