May 15, 2015
Senat OF OLIY MAJLIS OF REPUBLIC OF UZBEKISTAN.. 2
Senators to consider seven laws. 2
141 thousand new jobs has been created in Uzbekistan since the beginning of 2015. 2
Uzbekistan to sell state assets in large enterprises to investors. 2
Uzbekistan attracts grants for US$49.6m in 1Q.. 3
Uzbekistan plans to increase hydrocarbons production. 3
Capacity of Sebzor street grows to 9,800 cars an hour 3
Uzbekistan to introduce Basel III standards in 2015-2019. 4
Senat OF OLIY MAJLIS OF REPUBLIC OF UZBEKISTAN
Senators to consider seven laws
The second plenary session of the Senate of Oliy Majlis of Uzbekistan holds in Tashkent on 15 May 2015.
Senators consider 17 issues, including seven laws. Senators will consider laws “On mandatory insurance of civil liability of transporters”, “On securities market” (new edition), “On electronic commerce” (new edition), “On introduction of changes and amendments, as well as abolishment of some legislative acts of Uzbekistan” and others.
The laws directed at improving investment climate and business environment, developing entrepreneurship, improving judicial-legal system, protecting population health, as well as ensuring information security.
Senate also consider laws on ratification of several international agreements, directed at further expanding bilateral cooperation between Uzbekistan and the United Arab Emirates.
At the session, the Senators also consider reports of some state institutions and departments on their activities in 2014.
economy
141 thousand new jobs has been created in Uzbekistan since the beginning of 2015
At the meeting of Cabinet of Ministers, which took place on April 24, it was noted that as a result of implementation of set of targeted measures, more than 141 thousand new jobs, including more than 88 thousand, or 62.6% in rural areas has been created during the first quarter of this year.
Active implementation of measures, stipulated in the State program “Year of attention and care for the older generation”, which are aimed at provision of proper attention and full support to the elderly, improvement of the level and quality of health and social services has been started as well.
(Source: UzReport )
FINANCE
Uzbekistan to sell state assets in large enterprises to investors
The Government of Uzbekistan is planning to realize state assets in 68 enterprises to foreign investors.
The objects will be realized in line with the resolution of the President of Uzbekistan Islam Karimov “On measures on increasing share and importance of private property in economy” from 28 April 2015.
State assets will be realized in enterprises of Uzkimyosanoat, Uzbekneftegaz, Uzeltehsanoat, Uzbekyengilsanoat, Uzqurilishmateriallari, Uzvinosanoat-holding, Uzavtosanoat and other industries and departments.
In particular, Uzbekistan is planning to sell state shares in large enterprises of chemical industry such as Navoiazot (49%) and Ferghanaazot (48.5%).
The Government also plans to realize 35.9% state share in Qizilqumcement, 75% in Quartz and 33% in Jizzakh Battery Plant.
Shares of the state in Aloqabank (47.6%), Turonbank (63.1%) and Uzagrosugurta (24.6%), as well as Kafolat (15.5%) will be sold to investors.
(Source: UzDaily.com )
investments
Uzbekistan attracts grants for US$49.6m in 1Q
The Government of Uzbekistan attracted 76 grants for US$49.6 million in the first quarter of 2015, the press service of the Ministry of Finance of Uzbekistan said.
According to the Ministry, Uzbekistan attracted 16 grants for US$29.6 million to implement projects in healthcare sphere.
The Government attracted 25 grants for US$5.9 million to implement projects in education, science, training of employees.
Uzbekistan received two grants for US$5.9 million to implement projects on equipping law enforcement and customs bodies. Two grants for US$0.4 million were attracted to implementation of projects in ecology sphere.
About US$0.6 million of grants were directed to implement five projects for material-technical equipment and institutional development of state bodies and US$2.4 million to 6 projects for social protection, and development of culture.
The country received three grants for US$1.2 million to introduction of modern information-communication technologies, 6 grants for US$0.7 million – to development of agriculture and water management, four projects for US$0.7 million – to development of economy, financial market and entrepreneurship. Uzbekistan also attracted US$1.3 million for projects on other directions.
(Source: UzDaily.com )
ENERGETICS
Uzbekistan plans to increase hydrocarbons production
Uzbekistan is planning to increase production of hydrocarbons almost by 2% by 2020 compared to 2014.
According to Uzbekneftegaz, Uzbekistan plans raise annual production of hydrocarbons by 1.9% in 2019 compared to 2014 and natural gas – 2%.
Currently, the programme of developing of oil and gas industry of Uzbekistan for 2015-2019 was dvelopmed and submitted to consideration of the leadership of Uzbekistan.
Uzbekneftegaz said that implementation of the programmes will help to increase reserves by 468.7 million tonnes of standard coal, including natural gas – 365 billion cubic meters and 31.7 million tonnes of liquid hydrocarbons.
(Source: UzDaily.com)
INFRASTRUCTURE
Capacity of Sebzor street grows to 9,800 cars an hour
Capacity of Sebzor street grew from 3,200 cars an hour to 9,800 cars an hour in the result of construction of the six-lane bridge at the cross roads of Sebzor and Abdulla Qodiriy streets in Tashkent.
The width of the bridge is 26 meters and the length is 500 meters. In the result of reconstruction, Abdulla Qodiry street was expanded to eight-lane road.
The capacity of Sebzor street increased from 3,200 to 9,800 cars an hour in the result of reconstruction works, while Abdulla Qodiriy street – from 2,400 to 5,600 cars an hour.
There are no traffic lights. The passengers and cars can move without stop and safely.
Two ground pedestrian overpasses with the length of 102 and 111 meters were constructed on both sides of the bridge. The overpasses have elevators and escalators. The underground pedestrian overpass with the length of 98 meters was construct via Sebzor street.
(Source: UzDaily.com )
BUSINESS CLIMATE
Uzbekistan to introduce Basel III standards in 2015-2019
Uzbekistan is planning to introduce standards and recommendations of the Basel committee on banking supervision (Basel III standards) in 2015-2019.
President of Uzbekistan Islam Karimov signed a resolution “On measures on further raising financial sustainability of commercial banks and develop their resource bases” on 6 May 2015, which envisages measures on introduction of Basel III standards.
The resolution noted that the Basel Committee on banking supervision developed new standards and recommendations (Basel III standards), which envisages improving normative requirements to commercial banks, including new requirements to capital adequacy and liquidity.
Central Bank of Uzbekistan was entrusted to ensure stage-by-stage introduction of Basel III standards in the country in 2015-2019.
The Central Bank in cooperation with the Uzbekistan Banking Association and commercial banks were entrusted to develop and prove mechanism of establishing interest rates on attracted deposits of commercial banks based on gradual fall of inflation rate, refinancing rate of commercial bank and sustainable macroeconomic figures.
In particular, Uzbekistan will adopt measures to improve normative requirements to set liquidity and capital adequacy of the banks, as well as methods and mechanism of their management in line with Basel III recommendations.
The country plans to introduce coefficient of norm of liquidity coverage, which will be determined as ratio of high quality liquid assets to net inflow of resources with execution time of 30 days, setting minimal requirement on this figure at the level of 100%.
It is also planned to set coefficient of norm of net stable financing, which is determined as ratio of available sum of stable resources to financing to necessary sum of stable financings with setting minimal requirements at the level of 100%.
The country also plans to introduce changes to structure of capital via stage-by-stage increasing minimum regulatory capital adequacy ratio from 10% to 14.5%. It is also planned to increase stage-by-stage minimum capital adequacy ratio of Tier I from 5% to 11%, taking into account the capital conservation buffer of 3% of total assets, weighted with risks. The resolution said that methods of rating operational and market risks will be improved to determine capital adequacy.
Uzbekistan will also introduce “Principles of effective corporate management” in new edition, based on recommendation of the Basel committee on banking supervision. It will include measures on conducting healthy and secure banking practices, establishing professional ethics standards and ensuring transparency of the banks.
The resolution said that the measures will be adopted to improve access to information of the banking activities, including publication of annual and interim reports at the websites of the banks and other ways.
Basel III are new standards for work of the banks, which were developed by the Basel Committee of banking supervision after financial crisis in 2008. Basel III strengthens bank capital requirements by increasing bank liquidity and decreasing bank leverage. Basel III also improves quality of risk management to ensure stability of financial system.
(Source: UzDaily.com )
International cooperation
Meetings in MFA
Minister of Foreign Affairs of Uzbekistan Abdulaziz Kamilov received the Principal Deputy Assistant Secretary of State of the United States of America Todd C. Chapman on 14 May 2015.
At the meeting, the sides discussed actual issues of bilateral relations, the press service of the Ministry of Foreign Affairs of Uzbekistan said.
The sides underlined a constructive character of the Uzbek-US dialogue directed at gradual development of cooperation in various areas of mutual interest.
At the meeting, the officials exchanged opinion on regional security, situation in Afghanistan and other international problems.
The Ambassador Extraordinary and Plenipotentiary of the United States of America Pamela Leora Spratlen took part in the meeting.
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Minister of Foreign Affairs of Uzbekistan Abdulaziz Kamilov met a delegation of the Ministry of Foreign Affairs of Romania, headed by the State Secretary for Strategic Affairs Daniel Ionita on 14 May, who arrived in Tashkent to hold the fourth round political consultations between Ministries of Foreign Affairs of Uzbekistan and Romania.
At the meeting, the sides considered current state and perspectives of bilateral relations in various spheres, including in format EU-Uzbekistan, priority directions of interaction within global and regional organizations, the press service of the Ministry of Foreign Affairs of Uzbekistan said.
On the same day, the Ministries of Foreign Affairs of two states held political consultations, during which the sides considered the Uzbek-Romanian relations.
The sides called for further deepening of political and inter-parliamentary relations, strengthening direct contacts among business circles of two nations, including among small and private businesses.
At the meeting, the sides considered practical opportunities on expanding exchange among educational and healthcare institutes, workers of culture and art.
Ambassador Extraordinary and Plenipotentiary of Romania to Uzbekistan Romeo Stanciu participated in the negotiations.
(Source: UzDaily.com)
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