Privatization Program for the period 2007-2010

With the purposes of cardinal reduction of the state share in the authorized funds of the enterprises of leading strategic branches, increasing of role of private property in development of national economy, and also wide attraction of the direct investments in the enterprises, the Decree of the President of Republic of Uzbekistan

"On measures for the further deepening of processes of privatization and active attraction of the foreign investment in 2007-2010 years " from July 20, 2007 № PP-672 has been accepted, where the updated Program of Privatization was adopted.

Major, basic provisions of this Decree of the President of Republic of Uzbekistan is the decision of the following questions:

- Brought in by the investors as the investment obligations of means and property are not subject to income (profit) taxation, and development of social infrastructure and land improvement and value added taxation, and investment in foreign currency are not subject for obligatory sale;

- The order entered in compliance with, during the investment period, the investment are not subject to collecting in the compulsory order on account of repayment of debts before the formed debts of the privatized enterprise, and the debts before the budget and state funds-in-trust of the enterprise, which state share is realized to the potential investors with the investment obligations, can be restructured for the investment period determined in the sale contract At the same time the norms directed on increase of the investors responsibility for performance of the enterprises, taken at a privatization, of the obligations are provided;

This Program provides in the period till 2010 to sale the state packages of the shares, up to control stocks , on tenders to the investors under the concrete investment obligations on modernization, technical and technological re-equipment of manufacture and providing on this basis increasing of direct to export production.