Investment Code to be developed at the initiative of UzLiDeP
In order to create an attractive investment environment in the country, extensive work has been carried out to liberalize the economy, limit interference in the activities of business entities, simplify the rules for granting licenses and permits, ensure the free use of goods (works and services), and create the necessary infrastructure in the territories.
Of course, the effectiveness of the work carried out is impressive. For example, over the 6 months of this year, direct investment amounted to 1.7 billion USD, which is 2.5 times more than this period last year.
However, there is still a lot of work in this direction. It is necessary to solve such important issues as improving legislation to streamline the process associated with investments, implementing investment projects, and allocating land.
This was especially noted during the event on “The need for an Investment Code to increase the investment attractiveness of the country”, organized by the department for working with business structures and farmers of the Executive Committee of the political council of UzLiDeP.
UzLiDeP activists noted that attracting foreign investment is associated with investment legislation. According to the analysis, the laws of the Republic of Uzbekistan “On investment activities”, “On foreign investments”, “On guarantees and protection of the rights of foreign investors”, as well as more than 100 legal and legislative documents are applied in streamlining the sphere.
It was noted that the Party’s Pre-Election Program outlined priority tasks for development and liberalization of the economy. In particular, tasks such as creating an attractive business and investment environment, ensuring reliable protection of guarantees and the right to private property, and prospects for eliminating barriers and restrictions on development of entrepreneurship are indicated. Because UzLiDeP is convinced that increasing the investment attractiveness of Uzbekistan is a necessary condition for increasing the competitiveness of the economy, active and stable development of the country.
As speakers at the event noted, in the process of attracting investments into Uzbekistan, it is not convenient for investors to work with so many documents, as there are certain difficulties in getting to know each document and applying investment law. At the same time, the convertibility of normative-legal documents in the field, the presence of uncertain rules in the laws negatively affecting the investment environment, are the reason for mistrust of investors.
On this basis, in order to increase the volume of gross domestic product by eliminating investment problems and creating a favorable investment environment, creating new jobs, expanding the production of high value-added products, the party considers the development and adoption of the Investment Code through the unification of investment process of existing legal and regulatory documents. The party forwards the idea of developing and adopting an Investment Code taking into account national legislation and international experience, which will be understandable and accessible to local entrepreneurs and investors. The Investment Code should be the only and perfect document systematically streamlining the investment process in Uzbekistan and aimed at protecting the rights of investors.
The Code proposes to include the following aspects:
- An exact definition of priority areas of the investment policy of the country;
- Definition of tasks and obligations of state and local government in formation of a favorable investment environment;
- Definition of investors, types and forms of investments, implementation of an accounting system for the investment process;
- Strong adherence to the principles of distribution when placing investment projects, taking into account the potential, raw material base, labor resources of the territories;
- Solving issues on allocation of land plots, free buildings to investors, conditions for their connection to engineering and communication systems;
- Display issues about the right of residence of investors in Uzbekistan;
- Determining the status of special economic and small industrial zones;
- Taking into account the priority and freedoms in foreign exchange operations;
- Determining the rules for applying benefits for investment attraction.
At the event, special attention was paid to this and other issues, suggestions were made on the Investment Code being developed.
Head of the Executive
Committee Department of the
Political Council of UzLiDeP