President Shavkat Mirziyoyev has signed a decree on additional measures for further development of the electro-technical industry and increasing the competitiveness of domestic products.
From March 1, 2021, for up to three years, the State Business Support Fund will compensate a part of the interest rate that exceeds the Central Bank’s basic rate (but not more than 5 percentage points) in part of up to 20 billion soums of loans given to electro-technical enterprises in the national currency for the realization of investment projects for the production of electro-technical and electrical household products, as well as replenishment of working capital, with an interest rate not exceeding 1.5 times the basic rate of the Central Bank.
The document also provides for the introduction of the following measures to support enterprises in the electrical industry by the Export Promotion Agency:
- subsidies to cover 50 percent of transportation costs for the export of electrical products to all countries until January 1, 2024;
- collaterals when obtaining guarantees of domestic commercial banks for the implementation (return) of advance payments, the fulfillment of the terms of contracts in foreign currency and ensuring warranty periods for the supplied goods (works, services) within the framework of tenders, regardless of funding sources, in the amount of up to 50 percent of the guarantee amount (but not exceeding $3 million).
The President also instructed that tax exemptions in the form of a 50 percent reduction in income tax and a 50 percent reduction in property tax be granted to the electrical industry for the period from April 1, 2021, to January 1, 2024.