Tashkent, Uzbekistan (UzDaily.com) -- The budget deficit should not exceed 4 percent in 2024. This was stated by the President of Uzbekistan Shavkat Mirziyoyev. This goal will be achieved by strengthening financial discipline.

During a meeting dedicated to the government’s priorities for economic development this year, it was noted that in 2023, many state-owned enterprises were unable to direct 8 trillion soums to the budget in the form of dividends and tax payments.

The head of Uzbekistan warned regional khokims that if allocated budget loans are not repaid, strict measures will be taken.

It is emphasized that in Syrdarya and Jizzakh tax revenues increased by 20 percent, while in Khorezm, Bukhara and Kashkadarya this figure did not even reach 7 percent.

It is noted that out of 18 thousand public catering establishments with the status of a legal entity, only 2.3 thousand are VAT payers. The reason is that some enterprises open 3-4 legal entities in one kitchen so that the turnover is below 1 billion soums.

At the meeting, criticism was expressed towards the work of local tax authorities.

In general, it was noted that the time has come for a radical revision of the tax system and the activities of tax officials.

In particular, work with 40 thousand budgetary organizations will be transferred from the regions to the newly created Inspectorate of Budgetary Organizations under the Tax Committee. This Inspectorate will be fully digitized and integrated into the Treasury electronic system.

An inspectorate will be created to collect tax debts. The Inspectorate will have the same powers as the Enforcement Bureau.

A separate system will be created that will work with 80 largest enterprises and 35 commercial banks, providing 50 percent of tax revenues to the budget of Uzbekistan.

For this purpose, a new structure will be created within the Inspectorate for Large Taxpayers, which will work directly with the Ministry of Economy and Finance.