Uzbekistan Simplifies Procedure for Debt Recovery

Tashkent, Uzbekistan (UzDaily.com) — Uzbekistan has adopted a new law expanding the scope of simplified debt recovery procedures, including arrears related to utility services and mandatory payments by property owners.

Under the legislation, the list of debts subject to simplified enforcement proceedings now includes payments for коммунal services, mandatory contributions and fees from apartment owners, postal service costs, video conferencing expenses, as well as any claims not exceeding five base calculation units, equivalent to 2.06 million soums.

At the same time, the simplified procedure does not apply to the enforcement of criminal fines or to cases requiring immediate execution under court orders.

The law also introduces a restriction on the use of automatic bank account deductions for the specified categories of debt, limiting the ability of enforcement officers to directly withdraw funds from citizens’ bank cards or accounts under simplified procedures.

Instead, repayment may be carried out through deductions from wages, scholarships, pensions, or other personal income, within established legal limits, provided that the debt does not exceed the minimum wage threshold.

The simplified enforcement mechanism is designed to allow debt collection without personal visits to debtors and without asset seizure, aiming to accelerate procedures for relatively small outstanding amounts.