Harnessing Uzbekistan’s Potential of Urbanization

Uzbekistan for 2020.”
71 
CIS Legislation. 2019. Law of the Republic of Uzbekistan of 13 August 2019 No. ZRU 552 “About privatization of the parcels of land of nonagricultural 
appointment.”

---

Government Policies and Programs 
29
The Law also stipulates which land plots cannot be privatized: (i) land plots located in territories that do not have 
approved and published layout plans; (ii) land plots with mineral deposits, strategic state property that cannot 
be subject to privatization; (iii) land plots that are part of the lands designated for environmental, recreational, 
and historical-cultural purposes, as well as lands of forest and water funds and public lands of cities and towns 
(e.g., squares, streets, roads, boulevards); (iv) land plots infected with hazardous substances and susceptible 
to biogenic contamination; and (v) land plots provided to residents of free economic and small industrial zone. 
However, on several occasions, contractors have raised buildings in public areas based on approvals obtained 
some years ago or, in some cases, municipal-approved applications for “temporary” commercial use of public 
spaces—which have become a topic for public debate on the use of public space. Civil society has also played 
an active role in voicing views on this matter. Legal entities and citizens claiming resident rights may apply for the 
right of privatizing properties they currently occupy to the designated Commission. If the application is approved, 
the payment takes place and the transaction is to be ratified by the Municipality and recorded by the Cadaster 
Agency. The privatization of free land plots is to take place via online auction. Legal entities and citizens may 
apply for the development of businesses and for the construction of residential properties. Further details on the 
application of the Law were left to subsequent regulations to be published in September 2019, which have not yet 
been issued to date. 
On 13 August 2019, the government also issued the Presidential Decree “on additional measures to enhance 
protection of private property and guarantees of ownership rights,” to “fundamentally improve organization of 
works in support of entrepreneurial initiatives as well as expand access of entrepreneurs to financial resources 
and production infrastructure.”
72
The Decree stipulates that in order to test its regulations and procedures, 
non-agricultural land privatization will be piloted in the Syrdarya Region before it is applied nationwide. This 
pilot program, currently limited to individuals, is currently implemented and is expected to continue until 
March 2021. Legal entities will likely be able to apply for land privatization after this date, according to the 
current forecast. 
Urban Neighborhoods Upgrading Program
In June 2018, a national program, named “Obod Makhalla,” or Prosperous Neighborhood, was launched to 
upgrade the state of urban neighborhoods in the cities of Uzbekistan.
73
A 2-year work program (2018–2019) was 
issued, listing 220 neighborhoods with a total population of 980,000, in cities big and small, that would benefit 
from the program. Around 38% of the beneficiary population was located in the neighborhoods of Tashkent. 
Investments were to be financed via a combination of central government transfers and local government 
resources, with room for international financing, community and private sector contributions,
and bank loans, according to the Decree. 
The work program foresaw the construction and repair of urban infrastructure, such as road networks and bus 
stops; water and sanitation; street lighting; and gas, electrical and heat lines. It also included social infrastructure, 
such as markets, artisanal production areas, community centers, playgrounds, preschools and schools, 
health care, and sports facilities. Housing estates would benefit from landscaping and watering systems, repair 
and maintenance of building roofs, facades, elevators, utility systems, gardens, and waste collection. 
72 
CIS Legislation. 2019. Presidential Decree of the Republic of Uzbekistan of 13 August 2019 No. UP-5780 “About additional measures for strengthening