Economy of uzbekistan national University of Uzbekistan named after Mirzo Ulugbek

ECONOMY OF UZBEKISTAN

National University of Uzbekistan named after Mirzo Ulugbek

Done by : Jumanazarov.R.

BACKGROUND: Islam Karimov ruled Uzbekistan with an iron fist from the late 1980s until his death in 2016. He never reformed the highly subsidized Soviet-era command economy. Karimov was succeeded by former Prime Minister and current President Shavkat Mirziyoyev, who initially committed to policy conti-nuity but more recently has demonstrated some willingness to reform. Uzbekistan is dry and landlocked, and approximately 9 percent of the land is cultivated in irrigated river valleys. More than 60 percent of the population lives in densely populated rural communities. Uzbekistan is the world’s fifth-largest exporter and seventh-largest producer of cotton, but unsound cultivation practices have degraded the land and depleted water supplies. The economy also relies on exports of natural gas and gold.

BACKGROUND: Islam Karimov ruled Uzbekistan with an iron fist from the late 1980s until his death in 2016. He never reformed the highly subsidized Soviet-era command economy. Karimov was succeeded by former Prime Minister and current President Shavkat Mirziyoyev, who initially committed to policy conti-nuity but more recently has demonstrated some willingness to reform. Uzbekistan is dry and landlocked, and approximately 9 percent of the land is cultivated in irrigated river valleys. More than 60 percent of the population lives in densely populated rural communities. Uzbekistan is the world’s fifth-largest exporter and seventh-largest producer of cotton, but unsound cultivation practices have degraded the land and depleted water supplies. The economy also relies on exports of natural gas and gold.

All land is owned by the state, but inheritable use rights or long-term leases are available and largely respected. The judiciary is nominally independent but subservient to executive law enforcement bodies. Corruption, graft, and bribery are widespread, although the government has launched an anticorruption campaign. Uzbekistan was ranked 158th out of 180 countries in Transparency International’s 2018 Corruption Perceptions Index.

All land is owned by the state, but inheritable use rights or long-term leases are available and largely respected. The judiciary is nominally independent but subservient to executive law enforcement bodies. Corruption, graft, and bribery are widespread, although the government has launched an anticorruption campaign. Uzbekistan was ranked 158th out of 180 countries in Transparency International’s 2018 Corruption Perceptions Index.

The top personal income tax rate is 22 percent, and the top corporate tax rate has been cut to 7.5 percent. Other taxes include value-added and property taxes. The overall tax burden equals 17.3 percent of total domestic income. Government spending has amounted to 29.0 percent of the country’s output (GDP) over the past three years, and budget surpluses have averaged 2.4 percent of GDP. Public debt is equivalent to 23.5 percent of GDP.

The top personal income tax rate is 22 percent, and the top corporate tax rate has been cut to 7.5 percent. Other taxes include value-added and property taxes. The overall tax burden equals 17.3 percent of total domestic income. Government spending has amounted to 29.0 percent of the country’s output (GDP) over the past three years, and budget surpluses have averaged 2.4 percent of GDP. Public debt is equivalent to 23.5 percent of GDP.

The regulatory environment for businesses has been essentially stable, but improvements in tax, trade, and investment policies have had a positive impact on the business environment. The labor market lacks flexibility, partly because of a skills gap, and inefficient regulations undermine dynamic employment growth. The government reduced subsidies for bread in 2018 but increased export subsidies in 2019

The regulatory environment for businesses has been essentially stable, but improvements in tax, trade, and investment policies have had a positive impact on the business environment. The labor market lacks flexibility, partly because of a skills gap, and inefficient regulations undermine dynamic employment growth. The government reduced subsidies for bread in 2018 but increased export subsidies in 2019

The total value of exports and imports of goods and services equals 67.8 percent of GDP. The average applied tariff rate is 8.7 percent. The time and procedure for export and import documentary compliance have been reduced. Measures to modernize the overall investment regime have been taken, and the privatization of 64 state-owned enterprises from various sectors has been approved. Capital controls have been eased.

The total value of exports and imports of goods and services equals 67.8 percent of GDP. The average applied tariff rate is 8.7 percent. The time and procedure for export and import documentary compliance have been reduced. Measures to modernize the overall investment regime have been taken, and the privatization of 64 state-owned enterprises from various sectors has been approved. Capital controls have been eased.