Thursday, 20, January, 2022

Finances

As of January 1, Uzbekistan’s official reserve assets topped $35.14 billion, recording $389.8 million increase over the month, the Central Bank said in a report.

The Russian company Telecominvest acquired 8.33% stake in Kapitalbank, bring its stake in the to 25%. The company bought 32,986,653 common shares on the stock exchange.

Progress in Uzbekistan’s rapidly evolving reform agenda to transform the country’s economy has varied among sectors, Fitch Ratings says in a new report.

It is planned to complete the transformation of the Uzbek banking system and to bring the share of private banks to 60% of total banking assets before 2026.

On December 29, the President of Uzbekistan approved amendments to the Tax Code of Uzbekistan. According to the Ministry of Justice, the amendments introduced a special rental tax for the extraction of minerals. Its payers are legal entities engaged in the extraction of precious, non-ferrous and radioactive metals, rare and rare earth elements and their separation from mineral products, and in the extraction of hydrocarbons.

The value added tax (VAT) rate could be reduced from 15% to 12% starting from 2023. This proposal is contained in the draft Uzbekistan’s Development Strategy for 2022–2026 which has been posted for public input.

The Cabinet of Ministers issued Dec 24 resolution creating the Unified International Money Transfers payment system at the processing center of the National Bank of Uzbekistan, which will act as its operator, Norma.uz reported.

As of December 1, Uzbekistan’s gold and foreign exchange volume reserves topped US$ 34.75 billion, recording a US$ 462 million decrease over the month, the Central Bank said in a report.

The World Bank’s Board of Executive Directors approved a $400 million Development Policy Operation (DPO) loan to support the Government of Uzbekistan’s implementation of important economic and social reforms that will accelerate the country’s transition to an inclusive and competitive market economy.

The Asian Development Bank (ADB) has approved a $162 million loan that will electrify 465 kilometers of railway line connecting major urban centers in western Uzbekistan, improving railway services and boosting trade and tourism in the region.

The Senate at the 22nd session on December 15 passed the Uzbekistan’s 2022 State Budget Bill. The Finance Minister Timur Ishmetov said that the GDP in 2022 is projected at 839.9 trillion soums. GDP is expected to grow by 6% due to an increase in industrial production by 7%, services - by 6.5%, construction - 8.1%, agriculture - 3.3%.

The Asian Development Bank (ADB) today approved a $100 million policy-based loan to help Uzbekistan undertake reforms to improve the enabling environment for small and medium-sized enterprises (SMEs) in the country. The loan will finance the first subprogram of ADB’s Small and Medium-Sized Enterprises Development Program and includes the equivalent of $20 million denominated in local currency, the Uzbekistan sum.

The Central Bank kept the interest rate unchanged at 14% per annum, the Bank said in a statement today. Reportedly, a meeting of the Board of the Central Bank is taking place at this very moment. It made a decision to keep the interest rate unchanged at 14% per annum.

The European Bank for Reconstruction and Development (EBRD) is strengthening its support for green innovation in Uzbekistan by extending a US$ 10 million loan to the country’s largest private lender Hamkorbank.

A loan agreement to finance the construction of a copper beneficiation plant-3 (CBP-3), which is part of the Almalyk Mining and Metallurgical Plant (AMMC) was signed on November 18 during an online meeting between the management of the AMMC and the Russian development corporation VEB.RF, the press service of the plant reported.

During his stay in the Russian Federation, the Deputy Prime Minister/Minister of Investments and Foreign Trade S. Umurzakov met with Chairman of the Board of the Eurasian Development Bank N. Podguzov.

The President Shavkat Mirziyoyev signed the Measures to implement the project “Financial support for small and medium-enterprises” with the participation of the German Development Bank Decree.

Uzbekneftegaz has for the first time successfully placed USD 700 million worth of Eurobonds on the London Stock Exchange with the assistance of the Ministry of Finance to mature in 7 years and 4.75%, yield, the company said.

The Asian Infrastructure Investment Bank (AIIB) has approved a US$ 100 million loan to ACWA Power Sirdarya for the construction of a 1,500 MW thermal power plant with combined cycle gas turbines in the Syrdarya province of Uzbekistan, the bank's said.

UNDP, the Ministry of Emergency Situations, OSCE – implementers of the joint project on the uranium legacy remediation in Central Asia – jointly with NGO Ekomaktab (EcoSchool) awarded 24 winners of a Disaster Risk Reduction Drawing Contest. The contest was conducted among schoolchildren living in uranium legacy areas of Uzbekistan, namely Charkesar, Namangan and Yangiabad, Tashkent region.