Tashkent, Uzbekistan (UzDaily.com) -- Under the chairmanship of President Shavkat Mirziyoyev, a video conference was held on 1 July to discuss the effectiveness of the work being done and further priority tasks in the field of privatization of state assets.

Privatization is one of the important economic measures that not only provides budget revenues, but also serves as the basis for new investment projects, job creation and value-added products. The availability of land, buildings and infrastructure is a prerequisite for the development of entrepreneurship.

Therefore, the issue of privatization has been identified as one of the key areas of economic reforms. Work is underway to reduce the number of enterprises with a state share at least 3 times in the current and next year. These transformations are widely recognized by the world's authoritative experts and media.

On 27 October 2020, the Decree of the President of the Republic of Uzbekistan "On measures for accelerated reform of enterprises with the participation of the state and the privatization of state assets" was adopted. In the first half of this year, 478 objects of state property were sold for 1 trillion 100 billion soums.

However, much remains to be done. In particular, 288 out of 556 objects designated for sale have not yet been put up for auction. In addition, 511 objects at the disposal of enterprises and banks with state participation, which are not related to their main activities, have not yet been sold. 

The meeting discussed the tasks of effectively organizing the privatization process, simplifying the procedures for participating in auctions and expanding access to them.

It was noted that this year more than 900 state-owned objects will be put up for sale. The practice of selling state property at a starting price of "1 soum", the sale of land plots with an investment obligation will be canceled, objects will be put up for electronic auction at the market price. 

In addition, the fee for participation in the online auction will be abolished, and the costs of entrepreneurs for electronic registration will be covered by the State Asset Management Agency. When buying real estate at auction, the payment period will be extended from the current 5 days to 15 days. 

A procedure will be introduced according to which the sale and lease of buildings and vehicles of organizations with a state share of more than 50 percent will be carried out only through an electronic auction.

Responsible persons were instructed to develop a draft resolution providing for this new procedure.

The necessity of putting up for sale with the involvement of foreign consultants of state shares in 13 large real estate objects in Tashkent and 11 industry enterprises was emphasized.

Khokims of regions, districts and cities were instructed to put up for sale 154 empty objects under their jurisdiction within a month.

The share of funds remaining at the disposal of the regions after the sale of property put up for auction by khokimiyats will be increased from 73 to 87 percent. These funds will be evenly distributed between the regional and district (city) budgets.

The State Assets Management Agency was instructed to re-conduct a full inventory of non-core and empty facilities of enterprises and banks with the participation of the state and prepare them for privatization.

Proposals for financial rehabilitation and modernization of idle or unprofitable enterprises were discussed.