Changes in the field of licensing and permits
A number of changes in the field of licensing and permits were introduced to legislation of the Republic of Uzbekistan (hereinafter – “RUz”) by Decree of the President of RUz “On measures to radically improve licensing and permitting procedures” No. UP-6044 dated 24.08.2020 (hereinafter – the “Decree”).
A two-stage transition to a new system of licensing and issuing permits:
- Within the first stage (in 2020), it is planned to reduce and switch to alternative methods of regulation of certain types of permits and licenses, along with simplification of procedures and full digitalization of the processes for issuing licenses and permits;
- Within the second stage (in 2020-2021), it is planned to systematize legislative acts, develop passports for providing public services, and introduce standard administrative regulations for issuing certain types of licenses and permits.
The Decree also provides for the following changes, that will come into force starting from January 1, 2021:
Cancelation of the licensing requirements for some types of activities, including:
- Audit activity;
- Activities for the reproduction of audio-visual works, phonograms and computer programs;
- Operation of bridges and tunnels;
- Appraisal activities;
- Realtor activities;
- Mining of precious and rare earth metals and precious stones;
- Activities for urban, suburban, and intercity transportation of goods by road;
- Production, manufacture, and wholesale of medical products, as well as packaging and wholesale of medicinal raw materials of plant origin.
Cancelation of some types of permits, including:
- Permit to hire foreign employees. At the same time, there is still a requirement to obtain confirmation of the foreign employee’s right to work in Uzbekistan;
- Certificate of the right to conduct audits in banks;
- Permit for the design, construction or the acquisition, installation, importation and use, of cable TV networks;
- Approval of a project for the construction of new and reconstruction of existing enterprises involving the use of water resources and discharge of drainage and wastewater.
New types of licenses are being introduced
The following new types of licenses are introduced by combining some existing licenses, including:
- License to design local, long-distance, and international telecommunications networks;
- License for the construction of local, intercity, and international telecommunications networks;
- License to operate local and long-distance telecommunications networks.
Some types of licenses and permits are being replaced by a notification procedure, including:
- License to produce jewelry and other products made of precious metals and precious stones;
- License for operation of pawn shops;
- License for the sale of petroleum products, except for those, factory packaged;
- Permission to authorized banks to import foreign and / or national currency in cash;
- Authorization certificate for the right to engage in retail trade of alcoholic products;
- Registration certificate for working with precious metals and precious stones.
All licensing, permitting and notification procedures will be carried out in electronic form through the License information system, but with the following exceptions:
- permits issued to subjects of foreign economic activity through the Single Window customs information system;
- procedures that contain state secrets and information that is restricted by law.
The Agency of State Services under the Ministry of Justice of RUz is appointed as the authorized body responsible for maintaining the License information system.
A mechanism for motivating and encouraging citizens to report violations is being introduced
Individuals who report violations of legislation on licensing and permitting procedures will be provided with remuneration of 10 percent of the fine collected upon confirmation of the offense.
It should be noted that all the above-mentioned measures are dedicated to improving the business and investment climate of Uzbekistan by streamlining and simplifying licensing and permitting procedures.
We hope that the provided information will be useful to you. The following specialists are available to answer any additional questions which you may have:
