Tashkent, Uzbekistan (UzDaily.com) -- The President signed Decree "On additional measures to create favorable conditions for entrepreneurs in the Republic of Karakalpakstan" was adopted.

To finance investment projects in Karakalpakstan, banks will be allocated US$100 million, while:

loans for investment projects will be provided at a rate of 5% per annum in foreign currency and 12% per annum in national currency for a period of 10 years with a 5-year grace period. The bank’s margin is set at 1% for loans in foreign currency and 2% - in national currency;

projects are carried out by investment companies under the foundation of banks with subsequent implementation to entrepreneurs as a “finished project”;

banks provide loans to finance investment projects for a period of 10 years with a 5-year grace period in an amount not exceeding the main rate of the Central Bank.

The State Fund for Entrepreneurship Support, as an exception, provides a guarantee of up to 75% of the loan amount, but not more than 5 billion soums. provided that the guarantee agreement is not terminated unilaterally.

Entrepreneurs who have fulfilled their investment obligations in small and youth industrial and business zones will be able to privatize land, buildings and structures.

If state-owned objects that are at public auction are not sold within 3 months, they are provided to the applicant who made the best offer, with the obligation to invest.

In 2023-2024, land plots in the region will be provided with the right of direct long-term lease to project initiators with an obligation to invest in Nukus in the amount of US$1 million, in other areas - US$300 thousand each based on the decision of the Council of Ministers of Karakalpakstan.

From 2024, at least 2 trillion soums will be allocated to commercial banks. credit funds for the region within the framework of family business development programs.

For the education of young people in foreign countries, loans will be allocated in the amount not exceeding the main rate of the Central Bank for a period of 10 years with a 4-year grace period.

Small businesses in Karakalpakstan, regions and the city of Tashkent, working in the field of trade, public catering, gas stations and electric charging, will be provided with compensation in the amount and on the terms established by the State Fund for Supporting Entrepreneurial Activities, for allocated loans for the purchase and installation of solar panels.

This year, a “Youth Socio-Economic Center” will be created in Khodjeyli district on an area of 100 hectares, on the territory of which an IT park, project offices, a technology park for start-ups, and “innovation groups” will be created to support start-up projects. Also:

housing will be built for entrepreneurs and youth working in the Youth Center;

tax and customs benefits established for participants in special economic zones apply to entrepreneurs of the Youth Center, subject to the employment of unemployed youth.