Friday, 19, July, 2024

The president signed a decree creating a republican commission to optimize and ensure the effectiveness of subsidies, benefits and preferences to businesses.

It will be chaired by the Deputy PM/Minister of Economy and Finance Jashid Kuchkarov. It will include a total of 22 officials, including Chairman of the Chamber of Commerce and Industry Davron Vahabov, the First Deputy of the Accounts Chamber Mehriddin Abdullayev, the Minister of Justice Akbar Tashkulov, Minister of Investment, Industry and Trade Laziz Qudratov, Minister of Employment and Poverty Reduction, heads of ministries of education and others leaders.

The commission will be required, by October 1, to submit to the Presidential Administration proposals for a “fundamental review” of all existing benefits based on the results of an analysis of the impact on the economy and the atmosphere of healthy competition and an assessment of the effectiveness of these support measures and conducting an inventory of them. In 2021, the total volume of benefits amounted to 51 trillion soums.

These proposals should include an assessment of the effectiveness of the procedure for applying support measures to businesses based on the category of districts and cities, as well as the introduction of a procedure for establishing specific targets for the provision of support measures to be achieved by entrepreneurs.

It is also planned to specifically define a list of trades, industries and sectors of activity for which the government support measures will be provided, to include in legislation norms that fully reflect the concept, types and forms of benefits and preferences, to introduce a procedure for monitoring and evaluating the effectiveness of using support measures, mandatory return of funds in case of misuse.

It is expected that information on the effectiveness of using benefits will be regularly published in open sources.

In addition, benefits, subsidies and preferences found to be ineffective based on the results of analysis and evaluation are scheduled to be abolished.

The Competition Development Committee must annually, before July 1, assess the impact of support measures on the atmosphere of healthy competition and submit the assessment results to the Ministry of Economy and Finance.

Before July 1, it is planned to establish data exchange with the Tax and Customs Committees to confirm the authenticity and reliability of documents (licenses, certificates and others) that are the basis for the provision of tax and customs benefits.

From January 1, 2025, a separate should be registered on the “” platform, including the types, terms and procedure of support measures provided to businesses.

The same decree has defined the procedure for providing benefits to businesses depending on their sustainability rating. Entrepreneurs with a rating of B and above can count on support measures.

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