Senators at the twenty-ninth plenary session considered Public Debt Bill, the Senate said. Reportedly, the Bill provides for the priority of the public debt and the cost of servicing it, the ceiling of the public debt, the definition of the powers of state authorities and the public debt management department.
When developing this BIll, focus was also made to the creation of an effective integral system for establishing parliamentary and public control in the management of public debt.
The Bill establishes that the maximum amount of public debt cannot surpass 60% to GDP, with only social and infrastructure projects to be financed from public debt.
In accordance with the provisions of the Bill, the powers of the president, the chambers of the Oliy Majlis, the Accounts Chamber, the Cabinet of Ministers, the Central Bank and the Ministry of Finance in the field of public debt management shall be established. In particular, the Ministry of Finance is determined by the authorized body for public debt management.
The rules are clearly defined on the management of public debt and risks on conditional obligations of the state, the basic principles, goals and strategies for managing public debt, the principle of timely and complete fulfillment of obligations on public debt, maintaining the sustainability of public debt.
In addition, the Bill contains rules regarding the procedure for issuing a state guarantee, the circumstances in which a state guarantee is not provided, the obligations of resident borrowers, and the termination of a state guarantee.
It is noted that the timely and full performance of obligations on public debt will help increase confidence in the Republic of Uzbekistan as a debt recipient country, which in turn will serve to further attract the necessary funds at reasonable prices.
The procedure for fully informing our citizens about data on public debt and related processes is also reflected in the Bill. For this purpose, it was established that the Ministry of Finance publishes quarterly information on the status and changes in the public debt on its official website.
