Uzbekistan: Anti Crisis Action Programme 2009-2012
Description
A stimulus package titled "Anti Crisis Action Programme 2009-2012" was introduced in January 2009. The programme includes support of the banking system, export companies as well as it creates incentives for export through preferential credit and tax rebates.
Documentation for the programme states:
"the implementation of concrete measures to support the exporter-companies in ensuring their competitiveness at foreign markets given the rapid worsening of current conditions, creation of additional incentives for exports, in particular:
- allotting them the privileged credits to replenish the circulation funds with a term of until 12 months on the rate which does not exceed 70 percent of the refinancing rate of the Central Bank;
- prolonging until 2012 relieving the companies with foreign investments, which produce the finished goods, from levying all types of taxes and duties to the budget but for a value added tax;
- restructuring the sum of overdue and current debts on the bank credits and writing off the penalty fees on the payments to budget, and rendering other no less important benefits and preferences." (see "THE GLOBAL FINANCIAL-ECONOMIC CRISIS, WAYS AND MEASURES TO OVERCOME IT IN THE CONDITIONS OF UZBEKISTAN" - information from Ministry of Foreign Affairs of Uzbekistan)
In addition, support for food and consumer goods producers is envisaged:
"The programs adopted to stimulate the expansion of production of food and non-food consumer goods envision a broad system of incentives for the local producer-companies. In particular, for the period until January 1, 2012 the following types of tax and customs benefits are offered:
- decreasing the single tax payment rate by 50 percent to micro-firms and small companies, which process meat and milk with a purposeful channeling of the released funds to undertaking a technical re-equipment and modernize production;
- relieving companies, which produce particular types of finished non-food goods, from paying an income and property tax, single tax payment for micro-firms and small companies."
The sources of financing are going to be as follows: own financial assets of companies and enterprises for a total amount of 8.2 billion US dollars, credits of the Reconstruction and Development Fund of the Republic of Uzbekistan worth 2.5 billion dollars and foreign investments and credits totaling 13.5 billion dollars.
(Two years ago Uzbekistan established the Development and Reconstruction Fund with authorized capital, which now makes up over 3,2 billion US dollars. The Fund plays a very important role in implementing the strategically important projects along structural transformation and modernization of economy, as well as establishment, firstly, of the production infrastructure. In the nearest perspective we are going to take the Fund’s assets up to 5 billion dollars. For over the past two years the Fund allocated credits worth more than 550 million US dollars to finance and co-finance tens of large industrial and infrastructure facilities.)
Any Evidence-Based Deliberation:
| Question | Result |
|---|---|
| Is there anything in the public record to suggest that evidence of the effectiveness of the proposed measure was considered during official deliberations? | |
| Is there any evidence that alternatives to the proposed measure were considered? | |
| Is there anything in the public record that suggests that empirical evidence informed the comparison across the alternatives available to government? | |
| Was such evidence identified? | |
| Is such evidence publicly available? | |
| Did the official decision-maker in question provide an explanation as to why a chosen measure was favoured over alternatives? | |
| Is there any evidence to suggest that potentially affected trading partners were consulted before the measures were taken? | |
| Is there any evidence that safeguards have been put in place to ensure that implementation of the initiative is transparent and non-discriminatory? | |
| Did the government state its intention to review the measure within one year of implementation? |
Date Discovered:
Implemented: Yes
Date of inception: 1 Jan 2009
GTA Evaluation: Amber
Source:
The webpage of the Ministry of Foriegn Affairs. Available from < http://mfa.uz/eng/press_and_media_service/dates/110309_book/ >
Government Response:
- 352 reads
