BAKU, Azerbaijan, Aug. 24
By Fakhri Vakilov-Trend:
Uzbekistan’s President Shavkat Mirziyoyev instructed to allocate $150 million from Uzbekistan’s Fund for Reconstruction and Development (FRD) for business development in the Surkhandara region, Trend reports with reference to the Presidential decree.
Out of these, $30 million were allocated to Uzbekistan’s National Bank, and to other banks through it, for a period of 7 years at a rate of 10 percent for projects implemented according to the principle "One mahalla (district) - one product". Loans to business entities are provided at the basic rate of Uzbekistan’s Central Bank.
In addition, $10 million dollars were allocated to finance lemon-growing projects in the Surkhandarya region by increasing the share of FRD in the authorized capital of the Joint-stock Commercial Bank "Turonbank".
The FRD will also allocate $60 million to the National Bank for a period of 7 years at a rate of 7 percent to finance projects of leading business entities in areas with a low level of socio-economic development and a relatively high level of unemployment. Loans will be provided in the amount of up to $18.8 million per district at an annual rate of 10 percent.
The President also indicated to allocate 50 million to National Bank for a period of 10 years, including a three-year grace period, at a rate of 2.5 percent per annum to finance new projects for the production of import-substituting products and create the necessary infrastructure in the region, as well as provide exporters with working capital.
In addition, Uzbekistan’s Ministry of Investments and Foreign Trade was instructed to attract another $50 million to finance projects to create modern greenhouses in the region.
The funds will be allocated by international financial institutions.
Special attention will be paid to animal husbandry, poultry farming, subsidiary and greenhouse farms as the most effective "growth points", taking into account the labor skills of residents, which have been formed for a long time in each district.
In the period from September 10, 2021, to January 1, 2024, the income tax rate for new business entities (excluding clusters) created in mountainous regions and areas with saline land areas will be reduced by 50 percent.
Until July 1, 2024, enterprises of the local industry in the Surkhandarya region are exempted from customs payments (excluding VAT and customs duties) on equipment, components, and spare parts produced in the country.
Surkhandarya region is switching to the "mahallabay" system of work, introduced as an experiment in the Samarkand region.
The "mahallabay" system allows to quickly and efficiently solve local problems The introduction of a new system for in-depth study and resolution of complaints from electricity consumers in micro districts allows to quickly and efficiently solve local problems.
Mahallabay centers are being created in Bandykhan, Kyzyryk, Muzrabad and Sherabad districts of the Surkhandarya region from September 1, 2021, and from November 1 in other districts of the region.
In addition, 136.3 hectares of low-profit land areas will be transferred from the category of agricultural land to the category of industrial land.
Another 34 hectares of low-profit agricultural land will be transferred to the category of non-agricultural land in settlements for the construction of a complex of multi-story residential buildings.
Moreover, 454 hectares of pasture land from the category of forest land will be transferred to the category of industrial land.
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