Vol. 3 No. 12 (2025): Economic Development and Analysis

The digital transformation of the economy has become a crucial factor in reshaping consumer market dynamics around the world, especially in emerging economies. This article examines the impact of digitalization on the development and structural change of the consumer market in Uzbekistan. The study analyzes how the expansion of digital technologies, such as e-commerce platforms, digital payment systems, online retail services, and data-driven marketing, has changed consumer behavior, market access, competition, and efficiency. The study results show that digital transformation has contributed to increasing market transparency, reducing transaction costs, expanding consumer choice, and enhancing the role of small and medium-sized enterprises in the consumer market. At the same time, the study identified persistent challenges related to digital inequality, infrastructure gaps, and regulatory adaptation. The article concludes that a sustainable digital transformation, supported by targeted policy measures and institutional reforms, is crucial for building a competitive, inclusive, and resilient consumer market in Uzbekistan.

In this article, the reforms carried out in the Republic of Uzbekistan on the application of Quality Management in the construction materials industry were studied in a scientific and practical way.nnotation. In this article, the reforms carried out in the Republic of Uzbekistan on the application of Quality Management in the construction materials industry were studied in a scientific and practical way. The study critically analyzed the basic concepts of the theory of Quality Management, the views of foreign and domestic scientists, and evaluated the possibilities of their application to the construction materials industry. The article analyzes the volumes of production of building materials, the proportion of enterprises that have implemented the ISO 9001 Quality Management System, the level of defective products and export indicators.he article analyzes the volumes of production of building materials, the proportion of enterprises that have implemented the ISO 9001 Quality Management System, the level of defective products and export indicators. The results of the analysis developed scientific and practical conclusions on the implementation of the quality management system to ensure the stability of product quality, reduce production costs, increase export potential and strengthen the competitiveness of enterprises.

This article analyzes the impact of ESG (Environmental, Social, and Governance) principles on digital economy policy. The study examined the integration of ESG principles into corporate governance, sustainability strategies, and digital transformation. Also, based on the principles of ESG, ways to increase the role of state policy and business in the digital economy, increase investment attractiveness and ensure sustainable economic development were considered, and substantiated conclusions and proposals on the topic were developed, and recommendations for their application in our country were given.

The article examines the role of green bonds and their subtype, green mortgage-backed securities, in the global financial market, as well as the prospects for their application in Uzbekistan. Green bonds are increasingly used as an important financial instrument that enables investors to channel funds into environmentally sustainable projects. In the United States, green mortgage-backed securities issued by major agencies play a leading role in financing the energy-efficient housing market. The experience of Europe, Canada, and Australia likewise demonstrates the steady international development of this instrument. In Uzbekistan, the green mortgage market is only beginning to take shape, being gradually introduced through national strategies, pilot projects supported by international financial institutions, and commercial bank products. The research findings indicate that green mortgage-backed securities are not only a source of financial returns, but also an important mechanism for combating climate change and supporting the transition to a sustainable economy.

This article highlights the specific features of Islamic banks' financial reporting. Financial statement forms are analyzed separately in accordance with the rules of conventional and Islamic accounting. Specifically, it highlights changes in the composition of the balance sheet, which reflects the financial position of an enterprise. The reasons for adding three additional financial statement forms to conventional accounting in Islamic accounting are explained in turn. The article also provides an example of a statement of changes in restricted investments. Finally, the article concludes with conclusions regarding the distribution of profits and losses in Islamic banks.

В статье исследуется зарубежный опыт формирования инновационной экономики и обеспечения занятости населения в данном процессе. С учётом роли высшего образования в создании инноваций и новых рабочих мест проведён сравнительный анализ направлений обеспечения занятости, включающий повышение качества системы образования, создание новых рабочих мест, обеспечение эффективной занятости, а также использование новых форм и видов занятости. В контексте формирования инновационной экономики разработаны научно-практические подходы, направленные на содействие занятости в инновационной деятельности на основе использования модели RDIE, учитывающей занятость высококвалифицированных работников в сфере научных исследований и опытно-конструкторских разработок (НИОКР), наличие инновационной инфраструктуры, высокую долю частного сектора в финансировании данной сферы, а также инновационную активность малого и среднего бизнеса.

This research investigates the function of corporate governance in enhancing the application of ESG (Environmental, Social, and Governance) within Uzbekistan’s commercial banking industry. This research employs secondary data from sustainability reports, annual disclosures, and publications by the Central Bank of Uzbekistan and international financial institutions to critically examine the impact of governance structures-such as board independence, gender diversity, and oversight committees-on ESG integration and financial stability. The results show that more and more Uzbek banks are reporting on ESG issues. In 2019, just two banks did this, but by 2024, eight banks will be doing it. Banks with boards that are more independent and diverse show far better ESG performance and financial strength, which is shown by greater returns on assets and fewer loans that are not performing. The paper also points out ongoing problems, such as a lack of ESG knowledge, no standardised reporting standards, and uneven policy implementation. The study finds that corporate governance is both a base and a force behind sustainable finance. To bring Uzbekistan's banking practices in line with global sustainability standards, it calls for a national ESG disclosure standard, more accountability at the board level, and stronger institutional capacity building.

The article is devoted to analyzing the transformation of the banking sector in the context of the active implementation of artificial intelligence (AI) technologies. It examines the key areas of AI application in banking activities, including automation of operational processes, intelligent risk management, personalization of customer services, and the development of innovative financial products. Special attention is given to how AI changes traditional banking business models, enhances banks’ competitiveness, and creates new strategic advantages in the financial market. The challenges and risks of digital transformation  including cybersecurity issues, the ethics of AI usage, and compliance with regulatory requirements  are analyzed. The study concludes that the integration of AI technologies into the banking system is becoming an essential condition for its sustainable development and global competitiveness.

This article provides an in-depth analysis of the essence and content of innovative activities in educational institutions, their role in the modern pedagogical process, and their impact on the quality of education. Innovative activity is presented as a complex process aimed at enhancing educational effectiveness through the introduction of new ideas, advanced technologies, and methods by teachers into the pedagogical process. The study examines, on a scientific basis, the advantages, practical effectiveness, and influence on student development of various innovative forms implemented in educational institutions, such as digital technologies, interactive methods, modular learning, project-based approaches, and STEAM integration. Furthermore, organizational and methodological factors influencing the implementation of innovative activities, the professional competencies of teachers, the technical infrastructure of educational institutions, and management mechanisms are analyzed. The results of the article demonstrate that the effective implementation of innovative approaches plays a crucial role in improving the quality of the educational process, encouraging students’ creative thinking, and developing modern competencies.

Ushbu maqolada O‘zbekistonda “yashil iqtisodiyot” tamoyillarini joriy etish jarayonining mohiyati va ahamiyati yoritilgan. Mamlakatda ekologik barqarorlikni ta’minlash, resurslardan oqilona foydalanish, “yashil energiya” ulushini kengaytirish hamda qishloq xo‘jaligida suvni tejovchi texnologiyalarni qo‘llash bo‘yicha amalga oshirilayotgan ishlar tahlil qilingan. Shuningdek, iqtisodiyotning ushbu yangi modeli bilan bog‘liq imkoniyatlar va to‘siqlar o‘rganilib, ularni bartaraf etish yo‘llari ko‘rsatib o‘tilgan. Maqolada xalqaro tajriba, davlat strategiyalari va investitsiya loyihalari misolida yashil transformatsiyaning istiqbollari atroflicha bayon etiladi.

This article provides recommendations for developing innovative methods to assess the environmental impact of industrial enterprise development by examining international experiences, various methodologies, regulatory frameworks, and advanced global practices in environmental impact assessment. It also analyzes key global indicators related to industry and waste management, as well as year-by-year statistical data on pollutant emissions released into the atmosphere by industrial enterprises in Uzbekistan. Furthermore, the article identifies several systemic challenges in the process of reducing the environmental impact of industrial enterprises in Uzbekistan and offers recommendations for addressing these issues.

This article analyzes the economic significance of customs services and their role in supporting entrepreneurship in Uzbekistan amid expanding trade flows and increasingly complex supply and logistics chains. The relevance of the study is explained by growing demands for faster customs clearance, greater transparency and security, the need to improve the risk management system, and the wider adoption of digital solutions. The research approach combines a review of relevant academic literature, an analysis of regulatory and legal documents, and descriptive–dynamic comparative analysis based on official statistics. The results indicate rising concentration in the structure of imports and exports and an increase in associated risks, thereby substantiating policy directions focused on risk-based control, automation, and the reduction of the “human factor.” The author interprets customs authorities as a strategic trade infrastructure and provides practical recommendations. The study’s scientific contribution lies in systematizing the mechanisms through which customs services facilitate trade, identifying key indicators, and proposing areas for improving practical reform measures.

В данной статье проводится комплексный анализ современного состояния промышленности Кашкадарьинской области. В статье на научной основе рассматриваются структура промышленности региона, динамика её развития, основные отрасли и инвестиционные возможности. Также выявляются существующие проблемы в промышленном секторе области, экономические барьеры, возникающие вследствие этих проблем, и возможности внедрения инновационных решений в отрасли. В исследовании использованы статистические данные, экономические показатели и практические примеры. В результате разработаны рекомендации по стратегическим направлениям развития промышленности региона, эффективному использованию ресурсов и развитию государственно-частного партнёрства

This study investigates the impact of Environmental, Social, and Governance (ESG) disclosure on bank profitability and market value in Uzbekistan an underexplored emerging economy in Central Asia undergoing rapid financial and sustainability reforms. Using a panel dataset of 22 commercial banks from 2015 to 2024, we construct a hand-collected ESG disclosure index through systematic content analysis of annual and sustainability reports, supplemented by financial data from the Central Bank of Uzbekistan. Net profit margin serves as the primary measure of profitability, while Tobin’s Q and market capitalization proxy for market value. Employing fixed effects, random effects, and System Generalized Method of Moments (GMM) estimators to address endogeneity and unobserved heterogeneity, we find that higher ESG disclosure is significantly associated with improved bank profitability. Notably, this relationship is driven almost exclusively by the governance (G) pillar, while environmental (E) and social (S) disclosures show no statistically significant effects highlighting the context-specific materiality of ESG dimensions in transitional economies. Robustness checks, including lagged specifications, sub-sample analyses by ownership type, and alternative ESG measures, confirm the reliability of our findings. The results suggest that in Uzbekistan’s institutional environment characterized by ongoing corporate governance reforms and nascent green finance infrastructure transparency in board oversight, risk management, and anti-corruption mechanisms enhances operational efficiency and stakeholder trust, thereby boosting net margins. Our study contributes to the limited literature on ESG-finance linkages in Central Asia and challenges universalist assumptions about ESG materiality by demonstrating that governance remains the most financially relevant pillar in early-stage reform contexts. The findings carry important implications for regulators, bank managers, and international investors: prioritizing credible governance disclosure offers a strategic pathway to both financial performance and market legitimacy. As Uzbekistan advances its National Strategy for Green Economy Development, this research provides empirical grounding for sequenced, institutionally attuned ESG integration in the banking sector.

This article examines the role and mechanisms of digital transformation in enhancing the effectiveness of marketing strategy implementation in distributor companies. In a dynamic market environment, traditional marketing methods are becoming increasingly inadequate. Technologies such as CRM systems, marketing automation, Big Data analytics, omnichannel communications, and digital logistics improve market visibility, optimize trade promotions, and enable personalized relationships with retailers. Distributors with strong digital capabilities outperform digitally weak counterparts in revenue growth, campaign ROI, and customer satisfaction. Investments in digital tools, workforce development, and collaborative platforms can modernize distribution practices, boost marketing efficiency, and strengthen competitiveness in emerging markets like Uzbekistan. The adoption of digital technologies shifts marketing strategies from being reactive to proactive and data-driven.

This article examines the issues of improving mechanisms for effective management of tourism services. The study analyzes the theoretical foundations and practical significance of institutional, economic, strategic, organizational, digital, marketing, monitoring, human resource, and sustainable development mechanisms in managing the tourism services market. Based on the case of Uzbekistan, the findings reveal that scientific research mainly focuses on institutional and economic mechanisms, while digital management, monitoring, and sustainability aspects remain insufficiently explored. The study substantiates the need for an integrated management approach and proposes scientifically grounded conclusions and practical recommendations for enhancing the efficiency of tourism services management.

The article analyzes the state policy in digitalization, international cooperation, and innovative development of higher education in Uzbekistan. It examines university modernization processes, the implementation of digital technologies, the development of joint educational programs with foreign universities, as well as improving education quality and training specialists capable of critical thinking and lifelong learning. The role of the State Concept for the Development of Higher Education until 2030, the optimization of educational programs, and the growth dynamics of international students are highlighted. The study emphasizes the need for comprehensive innovative transformation of the higher education system for integration into the global educational space and sustainable national development.

This article analyzes current trends in the formation of the digital economy in the energy sector, particularly the capabilities of Smart Grid and Digital Twin technologies and their impact on production, distribution, consumption, and management systems. The stages and functional directions of digital transformation are examined, and advanced digital energy models of Germany, the USA, China, and Japan are comparatively analyzed. The practical experience of implementing SCADA, AMR, and ERP systems in the energy sector of Uzbekistan is studied, based on which priority areas and strategic recommendations for the digitalization of the national energy sector are developed. The research results highlight the theoretical and practical foundations for forming a digital energy ecosystem in Uzbekistan.

This study uses machine learning algorithms in conjunction with logit and probit regression models applied to 8,542 survey respondents to investigate the effects of distance learning participation on employment outcomes. According to our research, participants in distance learning programs have a 23.7% greater chance of finding employment than non-participants; this effect is mediated by acquired technical skills and flexible work schedules. The findings imply that distance learning serves as a major route to labor market integration, especially for underprivileged groups, with significant ramifications for workforce development plans and educational policy.

This article scientifically analyzes the stages of formation, legal foundations, and significance of the GOST standardization system operating in the countries of the Commonwealth of Independent States (CIS) within modern economic and industrial processes. In the course of the study, the role of GOST standards in industrial production, their importance in ensuring technical safety, their harmonization with national and international standards, as well as development prospects under conditions of digitalization are highlighted. The results of the study demonstrate that the GOST system is an important regulatory mechanism that strengthens economic integration among the CIS countries.

This article describes tariffs established by leading scientists in our Republic for the consumer goods market. It also partially describes the consumer goods market and analyzes its key characteristics in terms of the consumer price index (CPI).

The article is aimed at increasing the efficiency and strengthening the financial stability of commercial banks of Uzbekistan, analyzing the main factors influencing the return on assets (ROA) indicator. Based on data from the Central Bank, the growth of the loan portfolio and the increase in the share of loans from individuals were analyzed. The article substantiates the need for strict management of credit risks, optimization of interest margins, optimization of operating expenses through digital technologies, and strategic diversification of assets through securities as the main drivers of increasing operational efficiency.

The article analyzes the issues of expanding the role and significance of non-state financial control in ensuring the effective use of budgetary funds. Alongside state financial control, the importance of such forms of non-state financial control as independent audit, public oversight, and the participation of civil society institutions is substantiated, as they contribute to increasing the transparency and accountability of budgetary processes. In addition, foreign experience is examined, and scientific and practical proposals and recommendations aimed at improving national practice are developed.

This article examines the concept of qualitative economic growth and its role as a central indicator of Uzbekistan's economic development. In contrast to traditional measures focused solely on GDP growth, qualitative economic growth emphasizes sustainable development, structural diversification, productivity growth, income equality, and social well-being. The study analyzes Uzbekistan's economic trajectory over the past decade, focusing on improvements in industrial production, investments in human capital, technology adoption, and institutional reforms. Using qualitative and quantitative data, the article assesses how macroeconomic stability, structural reforms, and regional development initiatives contribute not only to the volume but also to the quality of growth. The article concludes with recommendations for improving the quality of growth, including diversifying the economy, developing high-value industries, strengthening social protection, and improving governance efficiency.

The article examines a step-by-step methodology for conducting managerial analysis of fixed assets in budgetary organizations. Based on the results of the analysis, the necessity of developing a fixed asset management policy aimed at increasing the efficiency of the use of state property is substantiated. The main objective of this policy is to ensure the rational utilization of fixed assets and to report the achieved results to higher-level budget fund administrators.

This article analyzes the accounting of cash funds in business entities, their turnover, the procedure of cash and bank operations, as well as the efficiency of cash flow management. Cash flow is considered one of the key factors determining the financial stability, liquidity level, and financial security of an enterprise. During the research, existing regulatory and legal documents, accounting standards, and methods applied in practice were examined. Based on the analysis results, proposals were developed for planning, controlling, and optimizing cash flows.

The fisheries sector is vital for global food security but faces increasing sustainability challenges. A well-developed B2B (business-to-business) market, linking producers, processors and distributors, can add value and stimulate innovation across the supply chain. Theoretical foundations and methodological approaches to the formation of a B2B market in fisheries, together with the role of such a market in promoting sustainable development, are examined with reference to both global and Uzbek experience. UN/FAO data and industry studies are integrated to analyse trends, constraints and best practices. Key findings indicate that the adoption of advanced processing, certification schemes and digital solutions within B2B channels improves efficiency and reduces waste. Policy support for B2B platforms, targeted technical training and incentives for sustainable practices are recommended.

This article examines the essence and practical significance of the “Cradle to Cradle” concept as one of the key theoretical foundations of the circular economy. The concept emphasizes a closed-loop system of product and resource life cycles, where waste is transformed into a valuable resource, ensuring environmental sustainability. The study highlights the differences between the “Cradle to Cradle” and the traditional “Cradle to Grave” approach, analyzing its ecological, economic, and social advantages. Furthermore, the role of this concept in advancing the circular economy and contributing to sustainable development goals is substantiated.

This article analyzes the main methods of reducing and optimizing product cost in small industrial enterprises. Cost reduction enables companies to increase their competitiveness and quickly adapt to market demands. The paper examines effective management of production processes, rational use of raw materials and resources, implementation of technological upgrades, as well as the improvement of logistics and inventory systems. In addition, cost optimization strategies tailored to the economic conditions of small businesses are proposed.

This article analyzes the theoretical foundations, practical application, and differences between absorption costing and variable costing systems used in the formation of product costs at enterprises. The advantages and limitations of these systems are highlighted based on international experience and the views of foreign scientists. Practical problems and suggestions for implementing these systems at Uzbek enterprises are also presented.

The article analyzes the economic foundations of Uzbekistan's integration into the international trading system, in particular, the policy of participation in the World Trade Organization. The study reveals the impact of trade agreements on exports, investments and competitiveness. The importance of inclusiveness, institutional coordination and stakeholder participation in the formation of trade policy based on international and regional experience is highlighted. The empirical analysis is carried out using a panel regression model based on data for Uzbekistan, Kazakhstan and Kyrgyzstan for 2000–2024. The results show that WTO membership increases GDP by an average of 17%. It is also found that WTO membership improves the investment climate, increases export diversification and accelerates institutional reforms. According to the forecast analysis, by 2030, Uzbekistan's GDP could reach 245 billion US dollars under WTO membership. The article also focuses on the potential social and cross-sectoral risks of trade liberalization and provides practical recommendations for a balanced trade policy.

This article is devoted to a global and regional analysis of the problem of poverty, as well as the experience of foreign countries and Uzbekistan's strategies for its elimination. The article analyzes the Oxford Poverty Alleviation and Human Development Initiative (OPHI) report "Global Multidimensional Poverty Index 2024," which indicates that 1.1 billion people worldwide live in extreme poverty, with the majority in rural areas and the Sahara and South Asian regions. Effective poverty reduction strategies (South Korea, China, Brazil, Norway) were also reviewed, emphasizing the importance of investing in human capital and harmonizing social programs with economic growth.

This article examines digital tourism as one of the fastest-growing phenomena in modern practice. The examples provided illustrate how people move within tourist flows, determining their direction and impact on host regions. Economic systems are cyclical by nature, with cost and revenue flows regularly recurring. Therefore, the article offers proposals and recommendations reflecting the crucial role of digital platforms in the tourism sector.

The article provides a comprehensive analysis of the role of the digital economy in the socio-economic development of the Republic of Uzbekistan. It examines the institutional foundations of digital transformation, the development of ICT infrastructure, the digitalization of public administration and the private sector, and the implementation of innovative technologies in industry, education, healthcare, and agriculture. Special attention is given to the challenges of digitalization, including digital literacy, cybersecurity, and human capital development. Based on the analysis, the study identifies the key prospects for the further advancement of the digital economy and its impact on sustainable economic growth and the country's competitiveness.

This article analyzes the problems of improving entrepreneurial skills among the population and ways to address them. Factors hindering the development of entrepreneurship, such as lack of education, limited financial resources, incorrect assessment of market demand, legal barriers, and lack of innovative ideas, are discussed. As solutions, the article proposes the development of entrepreneurial education, improvement of financial support systems, training in market analysis, simplification of legal regulations, and the implementation of innovations. These measures contribute to enhancing the entrepreneurial environment and stimulating economic growth.

This article examines the impact of taxation on business activities. Taxation plays a significant role in the development of businesses. The amount of taxes paid by businesses has a direct impact on both the volume of costs and the level of production costs and, accordingly, pricing. The corresponding conclusions are drawn based on the analysis.

This article highlights existing problems in the accounting of provision liabilities. In accordance with international standards, the types of provision liabilities, as well as the procedures for their recognition and measurement, have been improved. The article outlines the procedures for opening and maintaining accounts related to the current chart of accounts for the purpose of recording provision liabilities. It also provides recommended accounting practices for handling provision liabilities. The implementation of these recommendations in practice will ensure that provision liabilities are accounted for in accordance with international standards.

Ушбу мақолада Ўзбекистонда айланмадан солиқ қўлланиладиган айланма чегарасининг иқтисодий самарадорлиги ва адолатлилиги масалалари таҳлил қилинган. Таҳлил натижаларига кўра, айланма чегарасининг инфляцияга мослаштирилмаслиги солиқ юкининг яширин равишда оғирлашувига, солиқ адолати тамойилининг заифлашувига ҳамда кичик бизнес ривожланишига тўсқинлик қилувчи институционал тўсиқлар шаклланишига олиб келмоқда. Мақолада айланмадан солиқ режимида чегараларни инфляцияга автоматик индексация қилиш, уларни қайта калибрлаш ва тадбиркорлар учун босқичли ўтиш механизмларини жорий этиш бўйича илмий-амалий таклифлар ишлаб чиқилган.

The article presents a two-stage model for forecasting the demand and production of agricultural products, which takes into account the integrative properties of its individual components. In the first stage, a model is proposed that allows for determining the population's needs for basic food products, taking into account the dynamics of population growth in Uzbekistan and the approximate recommended food consumption standards set by the Ministry of Health. The second stage of the model is designed to predict the volume and structure of agricultural production, taking into account the results of the first stage's model calculations and other possible channels for their implementation, as well as resource constraints.

This article examines issues related to the reform of accounting and financial reporting at the current stage of the country’s development, the attraction of foreign investors, the enhancement of financial reporting transparency, the harmonization of financial reporting with International Financial Reporting Standards, as well as the accurate presentation of impairment values of property, plant and equipment and the implementation of large-scale economic transformations.

This paper analyzes international practices in implementing ERP systems within the digital economy, focusing on SAP technologies as a central enabler of integrated business operations. The study explores the historical evolution of ERP platforms, the shift toward in-memory architectures, and the specific advantages of SAP S/4HANA in industrial and oil & gas sectors. Based on global case studies, the paper identifies key determinants of successful ERP implementation, discusses potential risks and constraints, and provides actionable recommendations for organizations pursuing digital transformation.

This article examines improvements in the accounting of ancillary production and general economic costs in tourism and hotel complexes. Methods for classifying, recognizing, calculating, and allocating costs for tourism and hotel enterprises are proposed and recommended, and the methodological framework for their accounting is refined.

The article examines the impact of revenue accounting policy on the reliability of financial statements in oil and gas organizations. The relevance of the research is due to the complexity of revenue recognition in the oil and gas industry, as well as the need to ensure transparency and reliability of financial information. The study employs comparative analysis, review of regulatory frameworks, and systematization of scientific literature. The findings indicate that the choice of revenue accounting policy significantly affects the presentation of financial results and may either enhance or reduce users’ confidence in financial statements. Practical recommendations aimed at improving accounting policy to increase the reliability of financial reporting are proposed.

This article revisits the economic efficiency of tax incentives from both theoretical and practical perspectives, analyzes the mechanisms of their positive and negative effects based on international experience, and develops scientifically grounded conclusions and recommendations for the economy of Uzbekistan.

This article analyzes the risks that threaten the world's population in today's globalization processes, the role and importance of the green economy at a time when production processes are constantly developing, the introduction of the green economy sector into the economy, and measures taken in international experience to finance and effectively use the green economy.

This article examines the advantages and effective aspects of improving outsourcing services in the development of the service sector in the modern economy. Proposals and recommendations are provided for developing these types of services by supporting low-cost high-speed internet and cybersecurity services for outsourcing companies.

This article identifies the achievements made in agriculture and the existing problems related to the rapid transition of accounting to international standards, as well as provides a developed definition of biological assets. The essence and main provisions of IFRS (IAS) 41 “Agriculture” are presented. The article outlines the procedures for the recognition of biological assets, their initial and fair (equitable) value measurement, and the determination of profit arising  from the increase in the value of biological assets and agricultural products.