Wood-inhabiting fungi are noteworthy components of woody ecosystems that are responsible for the decomposition and turnover of wood nutrients. While the diversity and ecology of these fungi in the temperate forests has been relatively well explored, little is known on diversity of these fungi in the arid and semi-arid forest ecosystems. This is the first study on diversity, distribution, and ecology of the fungal genus Hyphodontia s.l. in the five countries of Central Asia, viz., Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan. Altogether, 11 species are confirmed for the region, among which the following six species are reported for the first time from Central Asia: Hyphodontia alutaria, H. pallidula, Kneiffiella alutacea, Lyomyces crustosus, L. erastii, and L. sambuci. In addition to the morphological evidence, the identity of three species is confirmed with phylogenetic analysis based on ITS nuclear ribosomal DNA region. The spectra of known hosts for many of the studied species were expanded. An annotated species list and geo-referenced distribution maps are provided as well as notes on taxonomy, ecology, and local, regional, and global distribution. An identification key to the species of Hyphodontia s.l. recorded in arid and semi-arid regions of Central Asia is also provided.