Publication Details
Abstract
Capital investments have a significant role in the development of the economy and the competitiveness of nations, as they increase production capacities, infrastructure, and provide a source of modern jobs. National economic policies emphasize optimal use of capital resources ensuring their economic efficiency. Although the investment policy is in the process of reform, and a favorable investment climate is created for direct foreign investment in Uzbekistan, it still requires an urgent assessment of the effectiveness of capital investments and its efficiency improvement methods. The assessment of investment projects with the use of economicstatistical, analytical and mathematical methods aimed at profit growth and effectiveness. Although the importance of capital investment to the economic development is known, there are no widely-accepted methodology to assess the impact and efficiency of capital investment, especially in Uzbekistan market economy development. The objectives of this research are to examine the economic effectiveness of capital investments, determine the problems that exist in the current investment framework, and outline ways to make them more effective. It is established that the use of economic-mathematical models, method of assessing the risk and the digital tools significantly facilitate the process of capital investments verification. The results further highlight the need for social and technological factors to be included in investment analysis. The paper proposes a combined method based on conventional financial metrics, and contemporary fit-for-purpose digital technologies, which provide a more effective, and dynamic assessment of efficiency in capital investment. The results indicate that better planning of investments, the implementation of new methods of analysis and the use of new technologies can help significantly improve the economic efficiency of capital investments in Uzbekistan, leading to a long-term stability and growth of economy.