Adopts its first PPP law
12 Jun 2019
On 12 June 2019, the Law “On Public-Private Partnership” No. ZRU-573 entered into force. It is the first statutory act in Uzbekistan to regulate public-private partnerships.
The law indicates that PPP projects shall concern the design, construction, supply, financing, reconstruction, upgrading, operation and maintenance of property, property complexes, or public infrastructure. Production sharing agreements and public procurement are excluded from the scope of the law.
The new law specifies the principles of PPPs in Uzbekistan. They include: equality of the public partner and a private partner; transparency of rules and procedures in implementing public-private partnerships; competitiveness and objectivity in the selection of a private partner; non-discrimination; and prohibition of corruption.
Private partners, once selected in a tender, may be granted the following benefits:
- subsidies, including those aimed at ensuring the guaranteed minimum income of a private partner from the implementation of a public-private partnership project;
- contributions in the form of assets and property necessary for the implementation of a public-private partnership project;
- budgetary funds of the budget system of the Republic of Uzbekistan, directed to pay for the absorption or use of a certain amount or part of goods (works, services) produced or supplied in the process of implementing a public-private partnership project;
- provision of loans, borrowings, grants, credit lines, and other types of financing;
- state guarantees ;
- tax and other benefits.
Finally, the law creates the Agency for the Development of Public-Private Partnerships under the Ministry of Finance responsible for the overall coordination of PPP policies of Uzbekistan.
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Type:
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Entry and establishment (Other)
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Promotion and facilitation (Investment incentives)
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Industry:
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