Execution of tasks on development of entrepreneurship is analyzed

Tashkent, Uzbekistan (UzDaily.com) -- On 2 August, a meeting devoted to analysis of activities on development of small business and entrepreneurship was held under the chairmanship of the President of the Republic of Uzbekistan.

The meeting became a logical continuation of a similar event held on 23 July 2019. The existing systemic problems in the sphere were comprehensively discussed, a number of tasks for supporting and further development of small business were identified. Reports of heads of responsible ministries and agencies, regions on how work in this direction is organized, were heard at the current meeting. It was noted that a number of problems hindering the implementation of initiatives of entrepreneurs can be solved on the spot, without intervention of organizations at the national level.

Thus, most of problems of entrepreneurs are related to allocation of land and connection to infrastructure. However, 8 agencies, whose conclusions are necessary for allocation of land, unreasonably delay the consideration of documents, sometimes for months.

The President noted the need for optimizing the licensing functions of these agencies, as well as reducing the number of organizations issuing conclusions and improving the procedure itself through mutual integration of their databases.

The Cabinet of Ministers, the Ministry of Economy and Industry, the Agency for Management of State Assets were tasked to organize small industrial zones (SIZ) on the basis of unused facilities of large enterprises, as well as introduce an order according to which 65 percent of costs for connecting the SIZ to the networks of electricity, water, gas, communications, bringing roads to them will be covered from the Republican budget.

At the meeting held on July 23, it was noted that it is absolutely unacceptable to demolish property and seize land plots of entrepreneurs without compensation. The Head of the state noted the need for establishing a republican working group headed by Deputy Prime Minister, which will have to study damage caused to entrepreneurs and compensate it at market value.

Work in this direction from August 5 this year will be carried out in a strictly established order, in three stages. At the first stage, khokimiyats at places introduce materials on objects to the Cabinet of Ministers, which are supposed to be demolished. At the second stage, a conclusion is being prepared on requirements of urban planning by the First Deputy Prime Minister, on financial calculations by the Deputy Prime Minister. Finally, these conclusions are submitted to the Prime Minister for consideration and taking decisions.

The issue of ensuring targeted and effective use of allocated funds were also discussed at the meeting along with financial support for entrepreneurship.

A huge amount of loans has been provided in recent years for development of entrepreneurship. More than 90 percent of these loans are state funds, UzA reported.

The study of the state of affairs in this direction showed that more than a thousand business projects financed by bank loans in 2017-2018 faced problems related to allocation of land, connection to infrastructure, obtaining permits, import of equipment and other issues. This, in turn, reduces the return of issued resources.

In this regard, the Accounts Chamber, the Central Bank, the Ministry of Economy and Industry were instructed to draw up a list of projects facing such problems and provide them with practical assistance.

The Head of the state noted that banks should radically change their style of work, support entrepreneurs throughout their activities, become real business partners of their customers.

The necessity of wider attraction of funds of international credit lines in business, development of appropriate proposals in the context of each region of the country was emphasized. It was noted that clients should be widely informed about directions and conditions of obtaining such loans through Investment Centers organized in commercial banks.

The state of work on resumption of activities of small business entities that have suspended their activities was also analyzed. Responsible officials were instructed to study tax and statistical data to identify the causes of downtime of enterprises. It was noted that deputy khokims for entrepreneurship and heads of departments of the economic complex at places should work with such enterprises and help to solve their problems so that they could resume activities.

Instructions were given to expand the tax base through resuscitation of inactive enterprises, legalization of jobs, timely launch of new projects.