A new step towards improving investment regulation
Tashkent, Uzbekistan (UzDaily.com) - In recent years, Uzbekistan has done a lot of work to systematize the norms of legislation governing investment activities and, for the first time in the history of the country, a unified act has been adopted - the Law of the Republic of Uzbekistan “On Investments and Investment Activities”.
This was an important step towards the further improvement of national legislation and its harmonization with international standards, which positively affected the investment attractiveness of Uzbekistan.
In turn, the adoption of this law required the harmonization of a number of by-laws governing relations in the field of investment and investment activity.
A major achievement in this direction was the adoption of Resolution of the Cabinet of Ministers dated April 30, 2020 No. 264 “On amendments to the resolution of the Cabinet of Ministers from 2 August 2005 No. 180 “On measures to implement the Decree of the President of the Republic of Uzbekistan “On additional measures to stimulate direct private foreign investment”.
The main practical innovation in this context is the approval in the new version of the Regulation on the procedure for concluding, amending, terminating and implementing investment agreements between the Government of the Republic of Uzbekistan and foreign investors.
It radically revised the scheme for concluding and implementing an investment agreement, excluding previously existing excessive bureaucratic procedures and mechanisms. The scheme has become more simplified, affordable and perfect.
For the first time, a standard investment agreement was approved - before its introduction, there was a wide variety of investment agreements, which did not always ensure their high-quality and timely execution, prevented the effective implementation of tasks, the rapid identification and elimination of factors that impede the implementation of investment proposals.
Of particular note is such an innovation as the introduction of a mandatory anti-corruption and antitrust clause in investment contracts.
The document also defines the Ministry of Investment and Foreign Trade as the body authorized to monitor the progress of the fulfillment by foreign investors of the obligations arising from the investment agreement.
The adoption of these documents greatly simplifies and facilitates the activities of investors, improves the image of the Republic in the international legal field and increases investment attractiveness in foreign business circles.