Monday, 18, October, 2021

Until 2025, the number of state-owned enterprises in Uzbekistan will be reduced by 75%, announced the Director of the for State Assets Management Agency (SAMA) Akmalkhon Ortiqov at an international forum on May 27.

In his remarks, the chief of SAMA noted that today "virtually every state body or local authority is founder of one state enterprise or another." According to him, there are 2,541 state-owned enterprises in Uzbekistan, almost half of which (1,210) is a unitary enterprise.

“The overwhelming majority of state-owned enterprises are ineffective. This once again confirms that the state is not a good manager,” he added that the state's presence in the economy is still high and stands at about 50%. He noted that in South Korea this figure is 22%, in Germany - 18%, in the USA - 11% and in Japan - 5%.

Akmalkhon Ortiqov mentioned the Strategy for Management and Reform of Enterprises with State Participation for 2021-2025, approved at the end of March. In addition to the main tasks listed in the document, the director of SAMA also called the abolition of the practice of providing exclusive benefits, preferences and state guarantees for financing investment projects of state-owned enterprises.

He added that by 2025, the share of independent members on the executive boards of state-owned enterprises will be increased to 30%. Candidates for positions in executive bodies will also be selected on a competitive basis for a period of up to three years.

Earlier, reported that over 620 state assets will be transformed, put up for public auction, and will be privatized. The practice of selling state-owned enterprises at a “zero” redemption value was canceled.

In February, the President approved a list of 18 enterprises, the government’s stakes in which will be put up for auction from April this year. Among them are Fergana Oil Refinery, Quartz, Trest-12, Kokand Mechanical Plant and others.

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