How to Attract Foreign Specialists to Uzbekistan
Rustam Mukhametshin, an independent expert in Finance and Management, tells Kursiv Uzbekistan how foreign qualified workers can benefit the Uzbekistan’s economy and how to attract them to our country.
What the problem is
My experience in attracting specialists to develop consulting services in Uzbekistan has revealed that it is quite a challenging task.
The primary difficulty lies in the fact that most local companies are not prepared to incur high costs associated with hiring experienced professionals.
For instance, consider a real case study: a specialist with extensive managerial experience, including roles in international companies, was approached by the management of a large state-owned enterprise with an offer to head their internal audit department. However, the maximum proposed monthly salary was $4,000. Unsurprisingly, the conversation did not progress further, as this specialist’s current position comes with a salary that is at least double that amount, and there is no incentive to relocate for a lower-paying job.
Discussions with recruiters who focus on identifying specialists for large companies in Uzbekistan further confirm the reluctance of local employers to offer competitive compensation.
There are few instances of foreign experts contributing to the development of local companies, and such cases are typically found in large private organizations within sectors like fintech or trade, which do not constitute the backbone of the national economy.
Why do we need foreign specialist
There are talented local specialists in the country who understand international standards and leading market practices in various fields, but they are few in number and are well employed.
In Uzbekistan, there is a significant shortage of specialists in attracting investment and capital. This issue is further exacerbated by the emigration of qualified local personnel. As a result, we cannot rely solely on our internal resources.
Engaging foreign experts can help address the shortage of qualified personnel at various levels. The primary role of these external employees is not only to enhance the efficiency of their assigned tasks but also to share their practical experience with local colleagues.
A foreign expert can train dozens of employees over several years, helping them advance in their careers and transfer their knowledge to new positions. Although investing in their services can yield substantial returns, many management teams fail to recognize this. This highlights another challenge: convincing management of the benefits of incurring high costs amid a personnel shortfall.
Hiring foreign experts is also advantageous because it encourages the adoption of innovative technologies and methodologies. To bridge the technological gap, it is essential to import these technologies, which is already underway. Similarly, to elevate personnel qualifications, we must invite experts from other countries.
Consider China as an example. When building its automotive industry, China initially focused on acquiring technology but soon realized the importance of developing competencies. This shift led to rapid growth within the automotive sector. While one might attribute this growth to substantial state investments, it is crucial to note that investments alone, without the right competencies, cannot be effectively utilized.
Foreign personnel represent a temporary solution; eventually, they will return to their home countries, taking with them valuable experience while leaving behind well-trained local employees. This results in a chain reaction that contributes to an overall increase in local qualifications across various organizations.
What to do
It is beneficial to bring in foreign experts to lead key functions such as finance, audit, and risk management in large local companies. These experts possess market-leading expertise that can significantly enhance the capabilities of these organizations.
The training period for their subordinates should last three to five years. After this time, these experts will be able to train the rest of the staff. This process will foster competition among local professionals, ultimately improving the quality of the workforce and the success of the enterprises, which, in turn, will contribute to the country’s GDP growth.
Currently, in Uzbekistan, foreign specialists are concentrated in only a few companies, making it challenging to create a broader chain reaction of development. Unfortunately, this may take longer than desired.
Looking at the experience of our neighboring post-Soviet countries, this process typically took 10 to 20 years. In Uzbekistan, it may extend over an even longer period.
In my opinion, in addition to the measures already in place, the government should establish additional conditions that allow the country to attract and compete for top talent.
Foreign companies should be encouraged to enter the local market. They will bring their specialists, who will work alongside local personnel and introduce best international practices in our country.
