In the era of knowledge-based economies and rapid technological progress, countries are actively seeking effective financial instruments to support innovation. Venture capital has emerged as a vital tool for fostering high-growth, high-risk enterprises, particularly in developing nations where traditional financial systems often fall short in meeting the needs of startups. In this regard, Uzbekistan—an emerging economy in Central Asia—is gradually embracing the concept of venture financing to promote innovative projects and accelerate economic modernization. The transformation of Uzbekistan’s economy over the last decade has included extensive reforms aimed at liberalization, digitization, and privatization. These reforms have created fertile ground for entrepreneurship, particularly among the youth. However, while entrepreneurial enthusiasm is high, access to funding remains limited. Commercial banks, the dominant players in the financial sector, generally prioritize low-risk lending, leaving startups underserved. This financing gap highlights the importance of alternative mechanisms like venture capital, which provide not only capital but also strategic support, mentorship, and market access.
