Irodakhon komilova

Distribution of shares in joint-stock companies formed by state-owned enterprises

State-owned company	=>	State share (SS = 25%)	=>	Joint-stock company
		Labor community share (LCS = 25%)
		Foreign investors (FIS = 25%)
		Free Trade (FTS = 25%)

As a result, the newly established joint-stock enterprises were owned by the government, the labor movement, foreign investors, and local people and businesses. In the charter funds of joint-stock firms, they were eligible for equal participation (On Priorities for Further Development of the Process of Denationalization and Privatization of Property in the Republic of Uzbekistan, Decree of the President of the Republic of Uzbekistan, 1994)


From 1994 to 1997, this approach was used. As a result, from 1998 to 2002, privatization was in place, and a total of 98% of all joint-stock businesses were a result. There haven't been any preset share distribution ratios set up during privatization since 2003. Instead, each state-owned enterprise is treated uniquely depending on its unique set of characteristics.


As a result of the privatization of state-owned industries, the bulk of joint-stock corporations in use in Uzbekistan (71%) were created. The state, the labor movement, foreign investors, legal entities, and individuals should have had nearly equal interests as the major owners of each company as a result of the privatization techniques employed to convert state-owned enterprises into joint-stock companies. Although the base of chosen joint-stock firms is quite limited, comprising only 2.5% of all joint-stock companies, there is a need to significantly extend the analytical database. Because it is closely tied to the principles of information disclosure in joint-stock enterprises, there are few opportunities to increase the analytical database. The efficiency of the components taken from other models in the current circumstances must be evaluated when the corporate governance model is implemented in the joint-stock firms of Uzbekistan. The degree to which the interests of small stakeholders (minority shareholders) and the labor community are safeguarded by the current ownership structure should also be considered.