During a government meeting on Tuesday, president Shavkat Mirziyoyev directed officials to expand the use of land lease rights as a financial instrument and to tighten oversight of land management.
The president emphasized the need to allow lease rights to be used as collateral not only for commercial loans but also for securing leases, mortgages, and bank guarantees. He also proposed streamlining the process for designating land as vacant and establishing clear legal frameworks for sub-leasing agreements, whether provided for a fee or free of charge.
In tandem with these reforms, the government plans to revise criminal penalties for offenses involving illegal land trafficking. Specific focus was placed on toughening the response to unauthorized land seizures; the proposed measures would extend liability beyond irrigated lands to cover all categories of land resources.
Finally, the meeting addressed incentives for infrastructure development. A proposal was made to waive compensation payments for land-use changes when the land is repurposed for the construction of railways, highways, airports, airfields, air navigation facilities, and water management infrastructure.
The government also plans to exempt compensation payments—received for land seized for public needs—from taxation.
Going forward, services for agricultural tenants will be managed through 13 regional directorates, while entrepreneurs developing non-agricultural land will be supported by 14 investment companies. These organizations are designed to serve as the primary bridge between the state and the private sector.
President Mirziyoyev directed the relevant agencies to push land reform into its next phase, focusing on maximizing land productivity, accelerating digitalization, and ensuring the system is transparent and accessible for business owners.
While foreign participation in agricultural land auctions will be restricted to prioritize local businesses, international investors will retain access through sub-leasing and large-scale projects valued at $10 million or more. In return, the state promises these investors simplified procedures and more robust, long-term legal guarantees.
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