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70Oriental Journal of Economics, Finance and Management Vol.1 (1), pp.01-05, 30 July, 2021 Available online at http://www.supportscience.uz/index.php/ojefm © 2021 Support Science LLC DOI: https://doi.org/10.37547/supsci-ojefm-01-01
Different Ways For Human Capacity Building in Poverty Reduction in
Uzbekistan
Jaloliddin Ne'matjonovich Polvanov Lecturer
National University of Uzbekistan named after Mirzo Ulugbek Tashkent, Uzbekistan
Abstract: This article discusses the improvement of the human capacity building mechanism in poverty
reduction. While economic development on the one hand reduces poverty, on the other hand, an increase in poverty reduces economic development. When people have limited access to health care and education, they become increasingly impoverished, and demand in the economy declines. In turn, the economy cannot meet the need for its highly skilled workers. As a result, growth slows. Opportunities to participate in various sectors of society are also limited. Worst of all, it is many times harder to get out of it than to fall into poverty.
Keywords: human capacity, building mechanism, poverty reduction, economic development, health care,
education, increasingly impoverished, economy declines, skilled workers, opportunities, various sectors, society, social group, work, procreation.
Introduction
Poverty is the economic position of an individual or social group which they cannot satisfy a certain range of minimum needs necessary for life, preservation of ability to work, procreation. Poverty depends on the general standard of living in a given society and therefore is a relative concept. Poverty is a pressing problem all over the world today. She limits access of a significant part of the population of the Republic to development resources: well-paid work, high-quality education and health services, opportunities for the successful socialization of children and youth, etc.
According to the World Bank, in Uzbekistan in 2018, unemployment among women aged 15-24 was more than 25%, and among men of the same age group - 13%. In the Kyrgyz Republic, 15% of women aged 15-28 were unemployed, and among men of the same age category, this figure was 9%.
For the bulk of the population, the main source of livelihood is hired labor, therefore, the social security system for the able-bodied population should provide guarantees in the field of employment and wages. For this, the state establishes a minimum wage. The minimum wage is the minimum in the established wage level labor per hour, day or month (year) that the employer pays to his employee and for which the employee can legally sell his labor.
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Oriental Journal of Economics, Finance and Management Vol.1 (1), pp.01-05, 30 July, 2021 Available online at http://www.supportscience.uz/index.php/ojefm © 2021 Support Science LLC DOI: https://doi.org/10.37547/supsci-ojefm-01-01
Th e main findings and results
According to the estimates of the State Statistics Committee of the Republic of Uzbekistan in 2018, the poverty rate based on nutrition was 11.4%. The World Bank estimated the poverty rate based on the international poverty line at 9.6%, with a poverty line of $ 3.2 per day and 36.6% at a poverty line of $ 5.5 per day. At the same time, a high level of poverty is observed in Samarkand, Surkhandarya, Syrdarya, Andijan regions and the Republic of Karakalpakstan. A more detailed picture of poverty in Uzbekistan can also be presented in the form of a formed poverty profile of households, which predetermines the content of the main measures and recommendations to counteract poverty in the country.
In recent years, the introduction of a vertical system of public policy in this area from the center to the neighborhood level is good news. It is noteworthy that a separate deputy governor for youth issues is appointed in each district, and a separate deputy chairman for women's issues in each mahalla.
"If you hide the patient, the fever will be revealed," he said. Poverty in our country has been a "closed topic" for many years. Instead of this category, we used the terms "poor" and "needy". But what was the result? Has the poverty rate decreased? Doctor of Economics, Professor Muhiddin Kalonov commented on the questions.
It is a misconception to say that only people from that class suffer from poverty. This is a great pain not only for the population, but also for the state, and even, so to speak, a tragedy. This situation undermines the health, ability to work and scientific potential of the people. Its consequences will also lead to a reduction in the state budget and the intensification of political processes. Because the poor cannot benefit from rapid economic growth. Opportunities to participate in various sectors of society are also limited. Worst of all, it is many times harder to get out of it than to fall into poverty. Therefore, it is necessary to reduce poverty in our society, increase the role of women and youth, first of all, provide them with skills and employment. Without effective and high-quality implementation of this task, it is impossible to systematically address socio-economic, political and legal issues related to the interests of women and youth.
If the opportunities for the poor to participate in production activities are expanded, it will also ensure their participation in economic growth processes as workers or entrepreneurs. To do this, first of all, it is necessary to solve the problem of lack of necessary knowledge and skills. The experience of investing in the education of the poor is a key factor in development. In China and India, this policy has paid off. As a result, the ranks of the poor have shrunk.
Developing countries are dominated by an oversupply of unskilled labor and a lack of financial and material resources. This mainly means that it is expedient to develop areas where labor resources are required. This includes agriculture, food and light industry, as well as high-tech industries - assembly,
Oriental Journal of Economics, Finance and Management Vol.1 (1), pp.01-05, 30 July, 2021 Available online at http://www.supportscience.uz/index.php/ojefm © 2021 Support Science LLC DOI: https://doi.org/10.37547/supsci-ojefm-01-01
computer manufacturing, office equipment, industry, manufacturing of certain types of electrical equipment and electrical engineering.
In this regard, it is expedient for the Cabinet of Ministers of the Republic of Uzbekistan to adopt a comprehensive program for the development of labor-intensive industries with high added value.
Developing the infrastructure needed for agriculture will also serve to reduce poverty. For example, South Korea's promising project "Movement for a New Village" is already being successfully implemented in Africa and Southeast Asia. Through this, it is possible to attract domestic technologies from leading enterprises and regions, create special economic zones in the region. Given the experience of the world, especially China and India, agrarian reform should focus on facilitating the processing and sale of products produced by small farms.
At the same time, it is expedient to develop the work of cooperatives for the processing of agricultural products and simplify the process of attracting the necessary technologies. The government should establish international certification centers for agricultural products in the regions to facilitate access to their services. This will expand the market of fruit and vegetables, the processing industry and increase the incomes of the poor.
The widespread introduction of information technology in poverty reduction, including the provision of education and medical services via mobile phones, the creation of textbooks or applications for smartphones, a system of intellectual games for smartphones. Here, too, the use of the experience of China and India will undoubtedly yield great results.
As you know, on the basis of the Chinese experience, the President instructed to attach ministries and departments to high-poverty villages, to create a system of assistance to the needy, to develop family business and gardening. It was also suggested that students studying at the expense of a state grant be sent to such areas for work for a period of 3 years.
On September 26, 2020, Deputy Prime Minister of Uzbekistan Jamshid Kuchkarov noted that poverty reduction is a priority in the country at the international video conference "Expanding cooperation on poverty reduction" organized by the Government of the People's Republic of China together with the UN Secretariat.
2020 has been a year of testing for all humanity. The losses are huge, the losses are many, and the complications are extremely severe. But in such a difficult situation, humanity has learned one thing: to fight for life in any situation, to move forward.
Most importantly, in such a difficult situation, our state and government have not left people alone. On the contrary, needy families were provided with comprehensive targeted support. Due to this need, the introduction of "iron notebooks" at the initiative of the President was a rational solution to the problem. This system laid the foundation for directing state aid and maintaining social stability.
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Oriental Journal of Economics, Finance and Management Vol.1 (1), pp.01-05, 30 July, 2021 Available online at http://www.supportscience.uz/index.php/ojefm © 2021 Support Science LLC DOI: https://doi.org/10.37547/supsci-ojefm-01-01
At the same time, the "iron notebooks" are useful in the systematic organization of work to lift
families out of poverty, to coordinate further work, depending on the list. The youth and women's notebooks also serve to strengthen the targeted approach to vocational training and employment.
It is true that poverty cannot be reduced by giving money to people. This can be achieved through the development of entrepreneurship, education, health care. While economic development on the one hand reduces poverty, on the other hand, an increase in poverty reduces economic development. When people have limited access to health care and education, they become increasingly impoverished, and demand in the economy declines. In turn, the economy cannot meet the need for its highly skilled workers. As a result, growth slows.
Speaking about this issue in his Address to the Parliament, the President said, "Why did we introduce the Iron Book? The purpose of this is to correctly identify the needy population on this basis to organize targeted work with them. First of all, we must guarantee the basic needs of the poor. In this regard, the calculations based on in-depth analysis with international experts are being finalized" he said.
Happily, this year the "iron notebook" system will reach a new level. That is, more than 30 social services are provided in electronic form to all needy families covered by the "Social Register".
Conclusion
In conclusion, today the issue of poverty reduction in Uzbekistan has risen to the level of public policy. The realization of these noble goals will create a solid foundation not only for improving the welfare of our compatriots, but also for our country to join the ranks of developed countries in the world.
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Oriental Journal of Economics, Finance and Management Vol.1 (1), pp.01-05, 30 July, 2021
Available online at http://www.supportscience.uz/index.php/ojefm
© 2021 Support Science LLC
DOI: https://doi.org/10.37547/supsci-ojefm-01-01
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