IATA Expands into Uzbekistan with New Office and Payment System to Boost Aviation Growth

The International Air Transport Association (IATA) has announced a major step in strengthening Central Asia's aviation sector, confirming it will open a permanent office in Tashkent, Uzbekistan, alongside plans to launch a Billing and Settlement Plan (BSP) in the country before the end of 2026.

The move signals growing international confidence in Uzbekistan's aviation market, which is rapidly emerging as a regional hub for both passenger and cargo traffic.

Strategic Entry into a Growing Aviation Market

Uzbekistan's aviation sector is gaining momentum, supported by its strategic geographic position linking Asia, Europe, and the Caucasus. IATA's decision to establish a local presence reflects the country's rising importance in global air transport networks.

"Uzbekistan is taking a leading position in Central Asia for passenger and cargo traffic," said Rafael Schvartzman, IATA's Regional Vice President for Europe. "Our new office will allow us to work more closely with airlines and airports to implement global standards in safety and operations."

The presence of IATA experts on the ground is expected to accelerate the adoption of international best practices, particularly in operational efficiency and aviation safety—key factors in attracting global carriers and increasing connectivity.

BSP Launch to Transform Airline Financial Operations

A central pillar of the initiative is the introduction of the Billing and Settlement Plan (BSP), a global system that streamlines financial transactions between airlines and travel agents.

The BSP will:

• Enable airlines to process payments more efficiently across international markets

• Reduce administrative costs and financial risk

• Expand global distribution channels for airline products

Industry analysts say the system could significantly improve Uzbekistan's integration into the global aviation marketplace, making it easier for international airlines to operate and expand routes in the country.

"This will open new opportunities for airlines to grow connectivity and reach new markets," Schvartzman noted.

Economic Impact and Growth Potential

Aviation already plays a meaningful role in Uzbekistan's economy, contributing approximately 0.9% of national GDP and supporting more than 128,000 jobs.

However, IATA believes this contribution could grow substantially with the right policy framework and investment environment.

Passenger demand is projected to rise steadily, with revenue passenger kilometers (RPKs) expected to grow at 3.3% annually between 2024 and 2050, slightly outpacing the global average of 3.1%.

Key Pillars for Future Expansion

To fully realise this growth potential, IATA has identified several critical priorities:

1. Alignment with Global Safety Standards

Adopting internationally recognised frameworks such as the IATA Operational Safety Audit (IOSA) will be essential to building confidence among global airlines and passengers.

2. Infrastructure Development

Uzbekistan is investing in new airport infrastructure in Tashkent, Bukhara, and Urgench to accommodate rising passenger and cargo volumes. IATA emphasised the importance of:

• Cost-effective construction

• Close consultation with airlines

• Avoiding excessive user charges that could hinder competitiveness

3. Clean Energy Transition

Sustainability is emerging as a key factor in aviation growth. IATA highlighted Uzbekistan's potential to develop Sustainable Aviation Fuel (SAF), leveraging its experience in gas-to-liquids technology.

By focusing on low-carbon and renewable energy sources, the country could not only reduce aviation emissions but also position itself as a future exporter of sustainable fuels.

Positioning Uzbekistan as a Regional Aviation Hub

The combined impact of improved safety standards, modern infrastructure, efficient financial systems, and sustainable practices could transform Uzbekistan into a major aviation hub in Central Asia.

The country's central location offers significant advantages for transit connectivity, enabling it to serve as a bridge between major global markets.

Looking Ahead

IATA's expansion into Uzbekistan marks a pivotal moment for the country's aviation sector, providing both technical expertise and global integration tools at a time of rapid growth.

"With the right policies in place, Uzbekistan has the potential to significantly expand aviation's contribution to its economy," Schvartzman said, adding that IATA is committed to supporting the country's long-term aviation development.

As global air travel continues to recover and expand, Uzbekistan's strategic investments and partnerships could position it as one of the region's most dynamic aviation markets in the coming decades.

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