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Unlocking Opportunities: Uzbekistan’s Progress in Digitalization

On May 25 of the current year, Presidential Decree No. PP-162 “On Measures to Expand the Coverage and Improve the Quality of Digital Services, as well as the Digital Transformation of Sectors, Industries, and Regions” came into force in the Republic of Uzbekistan.

This Decree was adopted with the aim of creating favorable conditions for the population and business entities to access digital services, improving the business climate, reducing bureaucratic procedures, and promoting digital transformation in public administration, sectors of the real economy, and regions.

In accordance with this Decree, lists of priority projects for the digitalization of public administration, real sectors of the economy, and priority projects for the digital transformation of regions are approved as well. The Decree also provides for an increase in the number of services provided on the Unified Portal of Interactive Public Services up to 570.

According to the Decree, a list of 47 types of information is approved, and starting from December 1, 2023, the requirement to provide this information by the population and business entities is canceled, provided that it is submitted in digital format to the interdepartmental integration platform of the “Digital Government” system. Some of the information includes data on the founders of legal entities, information on the existence of a business entity under an individual’s personal identification number, and information about goods offered for sale and goods sold.

The President of our country has determined that the Ministry of Digital Technologies is responsible for coordinating and accelerating digitalization projects in various sectors and industries, with a particular focus on the healthcare and water management sectors in 2023-2024.

By the Decree, it is determined that in order to increase the volume of trade turnover to 500 million US dollars in 2023 through the development of e-commerce and to reduce the shadow economy, starting from October 1, 2023, business entities are allowed to carry out retail trade operations with goods stored in the customs regime of a free warehouse within the framework of e-commerce activities.

An important aspect of this Decree is the inclusion of additional directions in the list of activities allowed for residents of the Software and Information Technology Park (hereinafter referred to as IT Park), including:

  • development and maintenance of multimedia, design, and animation products using software;
  • venture financing of IT projects and implementation of acceleration programs by organizations located in the IT Park and its branches and registered at the legal address.

It is worth noting that the Decree establishes that the IT Park Directorate and legal entities holding a state share of 50 percent or more in their authorized capital are allowed to directly lease real estate objects to IT Park residents who have advanced digital technology startup projects on the territory of the IT Park.

In this regard, the funds received from leasing real estate objects remain at the disposal of the balance holders of these objects.

Starting from October 1, 2023, a system is being implemented to cover 100 percent of the expenses for obtaining international IT certifications by individuals who have a foreign language proficiency level of B2 or higher. This applies to certifications in areas such as systems management, database and “cloud” platform management, information security, and other in-demand fields.

Non-governmental educational centers will receive one-time subsidies for each graduate who is employed by companies that are IT Park residents and export IT services. The subsidy amount can reach up to 75 times the basic calculated value, and for young people with disabilities, it can reach up to 105 times the basic calculated value, funded by the Digital Technology Development Fund.

The President has also determined that in order to provide the population with quality digital infrastructure, all settlements will be fully covered by broadband mobile communication and broadband data transmission networks by the end of 2024.

The adoption of this Decree by our President demonstrates that the Government of our country attaches great importance to the development of information technology and the digitization of various sectors and industries. The digital transformation of our country’s regions is underway.