Uzbekistan's shadow economy decreased from 45-50% of GDP in 2019 to 33% in 2025 due to tax reforms, digital administration, and electronic payments. Informal employment remains prevalent in construction, agriculture, and trade. The government has focused on simplifying tax processes and enhancing digital tools, leading to increased compliance and reporting. The introduction of cashless payments and digital services has significantly boosted tax revenues and formalized agricultural transactions. The transition to digital payments is central to the country's economic strategy, with plans for further automation and transparency in public services.