The relationship between economic growth and CO₂ emissions

As the country advances in its transition to a market-oriented economy, environmental sustainability has become an increasingly pressing issue, driven by rapid urban expansion and growing energy needs.

Using annual data spanning 1990–2022, the study assesses both long-term equilibrium relationships and short-term dynamics among the variables. The empirical results indicate a positive and statistically significant long-run impact of energy consumption on CO₂ emissions, reflecting Uzbekistan’s heavy dependence on fossil fuel–based energy sources. Urbanization is also found to exacerbate environmental pressures, with positive effects on emissions observed in both the short and long run.