This article explores the impact of business diversification on economic stability and poverty reduction in Uzbekistan through an econometric lens. By analyzing data across various sectors and regions, the study identifies the correlation between diversified economic activities and key macroeconomic indicators such as GDP growth, employment rates, and poverty levels. The research employs multiple regression models and time-series analysis to evaluate the effectiveness of diversification strategies implemented in Uzbekistan over the past decade. The findings suggest that increased diversification in sectors such as agriculture, manufacturing, and services significantly contributes to economic resilience and poverty alleviation. Furthermore, the study highlights policy implications and recommends strategic interventions to foster inclusive and sustainable economic growth.