CER recommendations on urbanization in Government decision

13.08.2014

CER recommendations on urbanization in Government decision

On the basis of the decree of the President #PP-2200, adopted on July 3, 2014, "On additional measures for the implementation of state-owned property to the objects of small business and private entrepreneurship", small industrial zones will be soon created in a number of regions of Uzbekistan. Representatives of small business and private entrepreneurship will be able to realize their projects there on the preferential terms basis. 

On August 7 the press conference, held at the State Committee of the Republic of Uzbekistan on Privatization, Demonopolization and Competence, was devoted to discussion of the features of the organization and future of these zones. The President, Islam Karimov, assigned a number of relevant ministries and agencies by the end of August 2014 to develop and approve the Regulations on the procedure for the establishment and operation of the zones, which will become the legal basis for their functioning.

State-owned land, located in the territories of small industrial zones, will be provided to entrepreneurs on rental basis for up to 10 years with the terms that they accept investment commitments and create new work places with the possibility to extend the term of a lease with timely and full implementation of all liabilities of previously signed leases. In turn, the government will finance the construction of necessary utilities and infrastructures.

It should be noted that the idea was first proposed in 2010 in CER report "Improving municipal governance in small and medium-sized cities of Uzbekistan – key directions, mechanisms and instruments." The experts proceeded from the fact that the formation of industrial zones in small and medium-sized cities and settlements could be a major tool for improving the capacity of industrialization in the region. It was offered that an important condition for the effective formation of such small industrial zones would be governmental financing of infrastructure construction in these zones (water, gas, electricity, sewerage).

Also, On June 12, 2014 CER Research Coordinator, Mr. Ergashev, gave a presentation on "Urbanization in Central Asia: the experience of transition period" on a Workshop devoted to "Approaches and best practices in urban planning and land administration."

Up to date, the Center has prepared the following reports on Urbanization and Land management:

  1. "Improving Municipal Governance and Urban Infrastructure in Uzbekistan: Problems and the Search for New Mechanisms and Tools" (2011)
  2. "Urbanization in Central Asia: Challenges, Issues and Prospects" (2013)
  3. "Improving municipal governance in small and medium-sized cities of Uzbekistan – key directions, mechanisms and instruments" (2010), etc.