Προφίλ συναλλασσόμενης χώρας Ουζμπεκιστάν

Setting up a company | FDI in figures | Why you should choose to invest | Procedures relative to foreign investment | Finding assistance for further information

Setting up a company

Types of companies and capital (max/min)	Number of partners/shareholders and liability
Private Limited Company Minimum share capital of 150 000 USD if the company benefits from foreign investments . Each partner has to release 30% of the statutory share capital on the day of the registration of the company and the remaining within a period of one calendar year.	Minimum 1 shareholder and maximum 50.
Close Public Limited Company	Minimum 3 shareholders. Liability is limited to the amount contributed.
Open Public Limited Company The minimum share capital is 50 000 USD if the company benefits from foreign investments.	Minimum 1 shareholder. Liability is limited to the amount of secured contribution.

Business setup procedures

Setting up a company	Ουζμπεκιστάν	Eastern Europe & Central Asia
Procedures (number)	7	6.3
Time (days)	15	16.3

πηγή: Doing Business.

For further information: Consult Doing Business Website, to know about procedures to start a Business in Uzbekistan.
Attorneys Service Group, Company formation in Uzbekistan
The competent organization: The Ministry of Justice.

FDI in figures

Foreign Direct Investment	2008	2009	2010
FDI of inward flow (millions USD)	711.3	711	822
FDI inward stock (millions USD)	2887.5	3637.5	4459.5
Performance Index*, ranking on 141 economies	96/141	74/141	-
Potential Index**, ranking on 141 economies	107/141	-	-
Number of Greenfield investments***	18	20	-
FDI inwards (in % of GFCF****)	13.202229945826	10.1834458939333	-
FDI stock (in % of GDP)	9.56114581127788	10.0044502240047	-

πηγή:

Note: * The UNCTAD Inward FDI Performance index is based on a ratio of the country's share in global FDI inflows and its share in global GDP. ** The UNCTAD Inward FDI Potential index is based on 12 economic and structural variables such as GDP, foreign trade, FDI, infrastructures, energy use, R&D, education, country risk.*** Green field investments are a form of foreign direct investment where a parent company starts a new venture in a foreign country by constructing new operational facilities from the ground up. **** Gross fixed capital formation (GFCF) measures the value of additions to fixed assets purchased by business, government and households less disposals of fixed assets sold off or scrapped.

Why you should choose to invest Uzbkistan

Strong points: Uzbekistan is the most populated country in central Asia with 27.73 million inhabitants. Moreover, its population is young, with an average age of 24.7 years. The country is rich in raw materials (copper, zinc, gold, silver, tungsten, lead and natural gas). In terms of consumption, it is potentially the largest market in the region. It is also the world's fourth biggest producer of cotton and the second biggest exporter after the United States.

This country is a regional power in progress, even if the government is long in creating favorable conditions to attract foreign investments. A foreign-investor favorable taxation policy is to be noted and a will to modernize the main sectors of the economy. Also, the Uzbek State had been careful to strengthen the commercial banks, especially eight of the most important ones, before the financial crisis.
Weak points: Despite government statements confirming their will to encourage foreign investments, the regulatory environment and the legal conditions remain erratic and the guarantees offered in order to benefit from these investments are ambiguous.
Even though outwardly, it gives the impression of good will by putting forward privatization efforts, corruption, the likelihood of a humanitarian crisis due to persistant economic difficulties, as well as the continued State seizures in the key sectors (cotton, gold, hydrocarbons and raw materials), are amongst many of the weak points.
One of the controversial political factors of the current government remains working school children in cotton fields, a fact which gave rise to the boycott of the Uzbek "white gold" by western companies.
Government measures to motivate or restrict FDI: According to Uzbek legislation, the State must guarantee and protect the rights of foreign investors in the country. Investment programs were launched in order to encourage big investments in the priority sectors. Programs include 86 foreign direct investment projects totalling 1.8 billion dollars, of which more than half is for the energy sector. Amongst the investors, China with the CNPC company, is expected to participate in the construction of a section of an oil pipeline. South Korea is involved in a chemical-gas complex and the Russian company Lukoil, in putting into operation gas wells.

Procedures relative to foreign investment

Freedom of establishment: In principle, it is guaranteed.
Acquisition of holdings: A majority holding interest in the capital of a local company is legal. Minimum is fixed at a 10% and there is no maximal limitation.
Obligation to declare: The Agency for the Promotion of Foreign Investment in Uzbekistan provides information on the authorizations required for setting up a company.
The compulsory systematic registration of all import contracts with the Ministry of Foreign Relations, Investments and Trade has been abolished. Only certain import contracts are subjected to it especially if it involves financing from the State budget. However, other import contracts still need to be registered with authorized banks or with the customs authorities.
Requests for specific authorizations: It is to be noted that a company receiving foreign investments and a company funded with foreign capital is not treated in the same way, the former having a special status.

Finding assistance for further information

Investment aid agency: Uzbekistan investment Gateway
Uzinfoinvest, Agency for the promotion of Investments
Other useful resources