ABOUT ADDITIONAL MEASURES FOR IMPROVING THE PROCEDURE FOR CREDITING PROJECTS IMPLEMENTED WITHIN THE STATE PROGRAMS FOR THE DEVELOPMENT OF FAMILY ENTREPRENEURSHIP

President of the Republic of Uzbekistan

the decision

Implementation of program measures on creation of additional and stable sources of income by providing broad employment of the population for 2018-2019, provision of employment in crafts, home-based work and other spheres of entrepreneurial activity, social protection of the population, especially in remote areas. this helped improve the economic situation of certain families in need.

At the same time, development of small business, family entrepreneurship, employment, increasing the effectiveness of financial support for women and youth initiatives, as well as improving the working methods of state-owned commercial banks and enhancing the popularity of banking services. It is necessary to establish a full partnership with the business entities, small businesses and family businesses.

Decree of the President of the Republic of Uzbekistan dated August 13, 2019 "On additional measures for radical improvement of the organization of work on protection of private property and strengthening the guarantees of property rights, supporting entrepreneurial initiatives, as well as access to financial resources and production infrastructure." Consistent implementation of the objectives set out in the Decree of the President of the Republic of Uzbekistan No. PF-5780 "On the expansion and rational use of public resources in targeted programs of development of small business, family entrepreneurship, employment, support of women and young generation. for:

1. The Decree of the President of the Republic of Uzbekistan from November 17, 2017 "About measures for further development of crafts and comprehensive support of craftsmen" from February 2, 2018 of the Institute of support of women and the family Decree of the President of the Republic of Uzbekistan "On measures to radically improve the activity in the field of strengthening" and the Decree of the President of the Republic of Uzbekistan "On the State Program" Youth - our Future "dated June 27, 2018 "On additional measures to improve the activities of farms and homeowners" No. PP-3680, "On the implementation of the program" Every family - entrepreneur "of June 7, 2018, PP-3777,No. PP-3856 of July 14, 2018 "On Measures to Improve and Increase Effectiveness of Employment" and "Additional Measures for Increasing Entrepreneurship and Family Entrepreneurship in Regions" of March 7, 2019 Decree of the President of the Republic of Uzbekistan No. PP-4231 "On the implementation of state programs on small business, family business, self-employment, empowerment of women and support of young generation (hereinafter - the Programs)."

2. To establish the order according to which from January 1, 2020:

Crediting of projects under the programs is carried out at the refinancing rate of the Central Bank of the Republic of Uzbekistan mainly through the People’s Bank, JSCB "Microcreditbank" and JSCB "Agrobank" (hereinafter - authorized banks);

The State Fund for Employment Promotion under the Ministry of Labor and Employment of the Republic of Uzbekistan, Regional Fund for Promoting New Job Creations under the Council of Ministers of the Republic of Karakalpakstan, Khokimiyats of provinces and Tashkent city, Public Youth Support Fund - development of small business, family entrepreneurship, employment at the expense of the Fund for Support of Farmers, Dehkan Farms and Farmers (hereinafter - the Fund) under the Fund of the Future, Farmers, Farmers and Farmers of Uzbekistanallow women and young generation to provide compensation and subsidies to cover interest expense on loans provided by authorized banks;

The Fund for Reconstruction and Development of the Republic of Uzbekistan, which will allocate resources for program financing, will be allocated to authorized banks on a monthly basis to finance projects under the Program, with a rate of 4% lower than the Central Bank refinancing rate.

3. To approve:

Target parameters of financing projects under the programs through centralized resources in 2020;

Target parameters of projects crediting by authorized banks in the framework of the Program by 2020 in Appendices 2, 2a, 2b, 2v;

To approve the forecast of repayment of the credit lines allocated within the state programs for 2020-2022 according to appendix 3.

4. Supervisory boards of authorized banks shall within two months develop and approve the action plan providing:

creation of a wide network of “banking services offices” in all regions, revision of the existing branch network structure if necessary;

active introduction of new types of loans on the basis of new banking services and "modular" lending with the use of information technologies;

cooperation with reception centers of the Prime Minister of the Republic of Uzbekistan on addressing urgent financial problems that hinder the development of small business and entrepreneurial initiatives of the population;

implementation of modern methods of corporate governance through the selection of independent members to the Board of the Bank, capable of practical discussion and discussion of information and proposals provided by the bank’s management;

implementation of policies to prevent and regulate the conflict of interests aimed at the prevention of corruption, to improve the rules of ethics that are binding on the members and members of commercial banks;

further strengthening the banks’ customer-oriented approach through the introduction of the Bank’s internal monitoring system, identifying and eliminating existing customer service problems.

5. The Fund for Reconstruction and Development of the Republic of Uzbekistan until November 1, 2019 approves the IT People’s Bank for financing projects under the Decree of the President of the Republic of Uzbekistan dated June 27, 2018 NF-5466 "On the State Program of Youth" to increase the authorized capital of 250 billion soums, the authorized capital of Microcreditbank to 170 billion soums, and the authorized capital of Agrobank to 290 billion.

The Youth Union of Uzbekistan jointly with the Council of Ministers of the Republic of Karakalpakstan, the Centers for Family Entrepreneurship Support under the provinces and Tashkent city have to compile a list of youth-led projects financed by authorized banks.

6. The Central Bank of the Republic of Uzbekistan jointly with commercial banks shall ensure systematic monitoring and control over targeted use of funds allocated under the Program and repayment of loans in each district.

7. To recommend to the Jokargy Kenes of the Republic of Karakalpakstan, regional and district councils of people’s deputies quarterly to hear reports of the Deputy Chairman of the Council of Ministers of the Republic of Karakalpakstan on the effectiveness of implementation of the programs.

8. The Central Bank of the Republic of Uzbekistan jointly with the Ministry of Finance and the Ministry of Justice within two months to submit to the Cabinet of Ministers proposals on amendments and additions to the legislation arising from this decision.

9. Control of execution of this resolution to assign to the vice-premier - the Minister of Finance of the Republic of Uzbekistan Dzhakuchkarov and the chairman of Central bank of the Republic of Uzbekistan MBNurmuratov.

Republic of Uzbekistan

President Sh.MIRZIYOYEV

Tashkent,

October 24, 2019