How will rural areas be developed in Uzbekistan?

    In focus 1 April 2024 860

    Resolution of the President of the Republic of Uzbekistan dated 03/28/2024 No. PP-141 "On measures for the implementation of the project "Integrated Rural Development" (2nd stage) with the participation of the Islamic Development Bank" was adopted.

    To improve the socio-economic situation of rural settlements through the construction of road transport infrastructure, engineering and communication networks and social facilities, a Framework and Agency Agreement in the amount of $260 million was signed between Uzbekistan and the Islamic Development Bank (IDB) on April 26, 2023 for a period of 20 years, including a grace period of 5 years.

    The UNDP representative Office in Uzbekistan acts as a partner of the responsible executive body. At the same time, the total cost of the Project is $293.5 million, of which Uzbekistan's share is $33.5 million.

    The project is being implemented in 157 gatherings of citizens of mahallas of 21 districts of Kashkadarya, Samarkand and Surkhandarya regions for 5 years (2024-2028).

    The Ministry of Economy and Finance is the responsible executive body for the timely implementation and coordination of the project, as well as the targeted and effective use of IDB loans.

    The selection of subproject designers and contractors is carried out in an open and transparent manner based on the requirements of the IDB and public procurement procedures.

    After identifying the necessary subprojects in the selected villages, an examination will be carried out in the examination bodies of technical and economic calculations for the planned activities in each area.

    SUE "Engineering Company "Single Customer Service" under the khokimiyats of Kashkadarya, Samarkand and Surkhandarya regions are customers for the implementation of the Project.

    As part of the Project implementation:

    • the resulting amount of VAT is paid at the expense of the participating business entities and reimbursed at the expense of the republican budget;
    • imported goods are exempt from customs duties and VAT refunds at the expense of the republican budget;
    • expenses related to the repayment of donor loans, including additional payments (surcharge) and interest payments, commission and other payments, are covered by the republican budget.

    The document is approved:

    • The main technical and economic parameters of the project "Integrated rural development" (2nd stage);
    • The main technical and economic parameters of the project by region;
    • The forecast schedule of payment in installments of funds allocated by the IDB.

    The document was published in the National Database of Legislation and entered into force on 03/29/2024, Norma reports.