FOREIGN MINISTER OF UZBEKISTAN ON PROBLEMS IN THE INVESTMENT SPHERE

Uzbekistan has great potential in the economic sphere. Favorable geographical location of the country in the center of the region, developed transport and production infrastructure, highly skilled manpower make it a valuable investment partner.

Nevertheless, a number of problems remain in the country, which, if any concrete measures are not taken, may hamper further expansion of the investment flow to the national economy. The Minister of Foreign Affairs of Uzbekistan Abdulaziz Kamilov spoke about some of them in his address at the 10th plenary session of the Senate of the Oliy Majlis of the Republic.

Among the significant problems, the head of the Ministry of Foreign Affairs mentioned, first of all, the lack of a distinct and clear division of responsibilities between the ministries and departments of the country on the issues of attracting investments. An unreasonable delay in consideration by the ministries and agencies of the proposals of foreign partners arriving from our diplomatic missions creates a negative impression on the business community abroad. “Many initiatives fail to get proper support, despite the objective benefits for the country, or even simply ignored. The etiquette requires reciprocating the communications of foreign partners, even if their proposals are not of an interest to us”, A.Kamilov said.

The poor preparation of project documentation, feasibility study and investment proposals do not contribute to boost the investments. According to the head of the foreign policy body, the projects proposed by the departments and companies of Uzbekistan do not include the results of marketing research, justification of their prospects, advantages and economic efficiency.

As the Foreign Minister informs, recently a survey was conducted among foreign investors, businessmen and experts from reputable financial institutions with experience of working with Uzbekistan. As a result, there was found out a number of factors and conditions that impede the flow of investments into Uzbekistan. Among them, the problems of currency convertibility and profit repatriation; imperfect banking and credit system; weak protection of investor rights and insufficiently effective judicial system; administrative and bureaucratic barriers, related with the procedure for obtaining licenses and permits during carrying out their activities; low investment ratings.

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