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PRESIDENTIAL DECREE OF THE REPUBLIC OF UZBEKISTAN

of December 21, 2018 No. UP-5600

About measures for further enhancement of system of coordination and management of activities of free economic zones

(as amended on 07-10-2021)

In the country the legislation regulating activities of free economic zones is created, the controling mechanism by their activities due to decentralization of administrative functions and expansion of powers of administrative boards of free economic zones and small industrial zones in the Republic of Karakalpakstan, areas and the city of Tashkent is simplified (further - administrative boards).

At the same time, studying of practice of creation and functioning of free economic zones testifies to availability of the system problems and shortcomings interfering ensuring efficiency of their activities.

In particular, insufficiently effective work of administrative boards and directorates of free economic zones, and also poor development of transport and engineering and communication infrastructure complicate the accelerated implementation of investment projects and reduce their attractiveness for potential investors.

Duplication of functions of state bodies in the organization and coordination of activities of free economic zones leads to tightening of the solution of the organizational matters connected with implementation of investment projects.

For the purpose of further simplification of system of coordination and management of activities of free economic zones, improvement of conditions for investment attraction, ensuring the accelerated implementation of investment projects, the organization on this basis of new workplaces and increases in the income of the population:

1. Determine that:

the parcels of land in the territory of special economic zones are allocated to directorates of special economic zones on the right of permanent use and are at their disposal, except for the territories of special industrial zones;

the parcels of land in the amounts determined in the investment requests approved by decisions of administrative boards of special economic zones are exposed by directorates of special economic zones on electronic online auction, at the same time approval of exposure to auction of the parcel of land of other organizations, including its inclusion in the automated information system "YERELEKTRON", it is not required;

the offer on the starting price of the parcel of land in case of exposure can be also provided in the investment requests offered by investors it on electronic online auction, and also about the amount of the annual rent for it;

the starting price of the parcel of land exposed on electronic online auction, and also the amount of the annual rent for it is determined by the decision of administrative boards of special economic zones by consideration of investment requests;

the winner of electronic online auction acquires the right to lease of the parcel of land specified in investment requests and the conclusion of the investment agreement, at the same time lease term of the parcel of land makes a reservation in the investment agreement;

the money which arrived from electronic online auction (less expenses on holding the auction), and also the annual rents is listed to directorates of special economic zones which according to master plans of special economic zones are spent for construction and improvement of external and internal engineering and communication and production infrastructure;

adoption by administrative boards of the decision on project implementation in the territory of free economic zones is performed only in the presence of the positive conclusion SUE The Center of Complex Examination and Import Contracts under the Ministry of Economy and Industry of the Republic of Uzbekistan (further - the Center) according to business plans or feasibility statements on implementable projects;

the term of issue of the conclusion of the Center for business plans or feasibility statements on implementable projects shall not exceed twenty calendar days;

aggregate term of consideration by administrative boards of investment requests for placement of productions in the territory of free economic zones shall not exceed thirty calendar days, including process of issue of the conclusion of the Center;

the customs clearance of all goods imported by members of free economic zones using privileges on customs payments is performed in the presence of the positive conclusion of the Center for results of complex examination of inventories;

the term of issue of the conclusion of the Center for results of complex examination of inventories shall not exceed fifteen calendar days;

the privileges provided to members of free economic zones are applied only to products made in the territory of free economic zones;

master plans of free economic zones affirm administrative boards in coordination with the Ministry of construction and the Ministry of investments and foreign trade of the Republic of Uzbekistan;

directors of directorates of free economic zones are appointed to position and dismissed by administrative boards in coordination with the Cabinet of Ministers of the Republic of Uzbekistan.

The Cabinet of Ministers of the Republic of Uzbekistan on quarterly basis hears reports of heads of directorates of free economic zones on the course of implementation of the approved investment projects.

2. To the Cabinet of Ministers of the Republic of Uzbekistan to introduce the draft of the regulatory legal act on enhancement of activities of the free economic zone of Navoiy on the basis of the best international experience providing in a month:

transformation of form of business SUE Directorate of the Free Economic Zone Navoi in joint-stock company with transfer on its balance of objects of the engineering and communication networks located in the territory of the free economic zone of Navoiy as the state share, and also all parcel of land of the free economic zone of Navoiy on the right of permanent use;

rendering the free economic zone of Navoiy of services by directorate for members of the free economic zone, including the marketing, consulting, logistic, household, hotel, educational, insurance and other types of service which are not prohibited by the legislation;

implementation in the territory of the free economic zone of Navoiy of the simplified visa regime and procedure for hiring of employees, including foreign citizens;

establishment of the simplified procedure for licensing and receipt of permissions for members of the free economic zone. At the same time the directorate of the free economic zone of Navoiy is allocated with power to accompany the participant and to confirm the applicant's compliance to qualification requirements;

establishment of procedure according to which in case of non-compliance with placement of projects by the participant of conditions in the territory of the free economic zone of Navoiy agreement cancelation with it is made exclusively judicially;

creation in the territory of the free economic zone of Navoiy of comfortable conditions for work and accommodation of foreign citizens.

3. Confer responsibility on:

a) The ministry of investments and foreign trade of the Republic of Uzbekistan for:

investment attraction, including foreign, on the territory of free economic zones;

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