PRESIDENTIAL DECREE OF THE REPUBLIC OF UZBEKISTAN

of October 21, 2020 No. UP-6091

About measures for further expansion of financial support of export activities

For the purpose of ensuring macroeconomic stability at the present stage of social and economic development of the republic by growth in volumes of export, additional financial and organizational stimulation of suppliers of finished goods, and also accomplishment of the tasks determined in the State program by strategy implementation of actions in five priority directions of development of the Republic of Uzbekistan in 2017 - 2021 in "Year of development of science, education and digital economy":

1. Establish procedure according to which to exporters, including core activity of which is trade mediation, and also exporting conversion products in customs regime "re-export", the State fund of support of business activity for a period of up to January 1, 2024:

a) provides compensations for a period of up to three years for covering of the part of the interest rate which is exceeding the main rate, but not exceeding 30 percent of the main rate, the credits allocated by commercial banks in national currency on preexport financing, including current assets which total cost does not exceed 5 billion sum interest rate - does not exceed 1, the 5-fold size of the main rate of the Central bank;

b) provides the guarantee on the credits of commercial banks allocated on preexport financing, including current assets at the rate to 50 percent inclusive of credit amount, but not exceeding 2,5 of one billion sum.

To the state fund of support of business activity since January 1, 2024 to perform support of exporters according to the procedure established by the resolution of the President of the Republic of Uzbekistan of May 24, 2019 No. PP-4337 "About measures for expansion of funding mechanisms and insurance protection of export activities.

2. Assign to the Agency of promotion of export under the Ministry of investments and foreign trade (further - the Agency) the following additional tasks:

allocation of financial resources to commercial banks for the credits for the trading activities connected with export and preexport financing;

the organization of works on attraction of financial resources of the international financial institutions, the foreign government financial organizations, foreign banks and finance companies on preexport financing.

3. Form Fund for export support (further - Fund) under the Agency without formation of legal entity for the purpose of realization of the tasks which are in addition assigned to the Agency which resource base is created for the account:

fund of reconstruction and development in the amount of 100 million US dollars on irretrievable basis;

loans of the international financial institutions, foreign government financial organizations, foreign banks and private finance companies;

the income arriving from investment of funds of Fund on deposits of commercial banks in accordance with the established procedure;

other sources which are not prohibited by the legislation.

4. In a month to provide to fund of reconstruction and development allocation Fonda of 50 percent of means from 100 million US dollars, the stipulated in Item 3 presents of the Decree, on forming of its original capital.

5. Determine that:

the support measures provided by this Decree are not applied to the primary goods included in the list approved by the Presidential decree of the Republic of Uzbekistan of November 29, 2018 No. UP-5587;

The agency provides to commercial banks one-time financial resources for the credits for the trading activities connected with export, and preexport financing in the amount of, not exceeding in equivalent of 1 million US dollars (to the export companies with annual export volume in the amount of, not exceeding in equivalent of 20 million dollars, - in equivalent to 5 million US dollars) for a period of up to one year;