The Formation of an Effective State Innovation Policy and the Specifics of Creating Innovation Clusters in Uzbekistan

This study investigates the establishment of a sound state innovation policy and the innovation clusters in Uzbekistan as the world economy is becoming increasingly competitive. Internationally, innovation clusters are known as powerful industrial engines that accelerate the translation of science into business and then into economic activity and involve triple-helix collaboration between science, business and government. While these developments are positive and reflect progress, a number of hurdles remain for Uzbekistan to unleash its full cluster potential. There is little research to date that analyzes systemic barriers and offers integrated policy solutions on a national level. It is based on qualitative methodology with the use of a comparative analysis, a systematic approach and review of scientific literature and regulatory documents. It assesses the landscape of the innovation ecosystem of a nation across four dimensions of institutional, human capital, financial, and infrastructure. The results highlight a number of important limitations, such as an absence of strong legislation, a low level of research commercialization, limited access to funding, a lack of qualified experts, and poor infrastructure. Cluster effectiveness is also constrained by frail coordination amid stakeholders and a relatively low involvement of small-and-medium-sized enterprises (SMEs). The findings underscore the need for a holistic and integrated policy response. The main recommendations focus on improving legal frameworks, investment mechanisms and human capital, infrastructure and demand, as well as regional and inclusive cluster development. The study emphasizes that if the lifestyle measures are combined then one could create a sustainable innovation system with enhanced economic competitiveness and an easier shift in direction towards knowledge-based economy. The results of this research are useful for policymakers and can also be used for the practical purpose of reinforcing innovation-driven economic growth in Uzbekistan.