President Mirzyoyev chaired the Uzbekistan’s Government virtual meeting on the development of entrepreneurship and budget revenues amid the pandemic

President noted: “The only way to overcome the pandemic by being strong is to create favorable conditions for small businesses & entrepreneurship.”

Key points:

            1. As a result of the recent lockdown relaxations, enterprises resumed their activities. Nevertheless, it is necessary to revive the activities of 69 K businesses.

            2. Local authorities have been tasked for ensuring the operation of at least 70% of all enterprises for the first 9 months, and other 30% entities by the end of 2020.

            3. The President denounced quarantine requirements contradicting each other. The relevant government agencies were instructed to review the current procedures and clearly explain in the media the requirements for business operations amid the pandemic.

            4. 23k (24%) out of the entrepreneurs registered in 2019 are currently not operating at all. Responsible managers were tasked to create a dialogue with them and take measures for the speedy resumption of their activities.

            5. A completely new system for supporting new small businesses will be elaborated. The measures envisage training entrepreneurs, companies’ registration and subsidizing to cover the costs for purchasing equipment.

            6. To ensure implementation of these tasks at all levels, regional units of the Agency for the Entrepreneurship Development will be created, which currently works only at the national level.

            7. As a result of reforming the tax system in recent years, $ 1,18 bn remained at the enterprises’ disposal in 2019. It is expected in 2020 they will have $1,08 bn.

            8. The State Tax Committee will create a new system “Tax Service – Entrepreneur’s Assistant”.

            9. From July 1, 2020 a mechanism for VAT return to entrepreneurs introduced, allowing local businesses to save $69m.

            10. The President pointed out the obstacles remaining in the allocation of land and buildings. The relevant bodies tasked speed up the process of putting them up for public & electronic auctions.

            11. At least 257k low-income families will be employed and 37k families will receive government loans as part of the Family Entrepreneurship Program.