«Opportunities for expanding trade and economic

cooperation between business communities of the

Republic of Uzbekistan and the Republic of Latvia»

Nazira Dadakhanova

Deputy chairman

Chamber of Commerce

Of the Republic of Uzbekistan

2

Uzbekistan and Latvia - a partnership based on trust,

consideration of mutual interests and mutual respect.

«Uzbekistan among the five fastest growing economies in

the world»

Opinions of foreign organizations about Uzbekistan

3

For 10 years, Uzbekistan's GDP growth has exceeded 7%

GDP growth in Uzbekistan in 2005-2016 (%)

7 7,3

9,5 9

8,1 8,5 8,3 8,2 8 8,1 8

7,8

0

1

2

3

4

5

6

7

8

9

10

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

4

Share of small businesses and privet entrepreneurship in some spheres of economy

(%)

6 5

In 2016 the share of business income increased up to 52 percent in total income

structure.

85,7

64,8

50,9

24,0

10,0

6,0

98,4

77,9

67,2

36,3

38,9

26,9

2006 2016

Export_________________________

Industry_______________________

Investment___________________

Construction_____________

Number of employed____

Agriculture___________

Share of small business in GDP and industry (%)

6

34,6 35,6

42,1

48,2

52,554,6 55,8 56 57

15,4

11 10,914,6

18,822,2 23

31,1

43,8

2002 2004 2006 2008 2010 2012 2013 2014 2016

GDP Industry

China 60 Uzbekistan

56,9 Malaysia

47

Czech Republic 35 Canada

27 Kazakhstan

26,2 Armenia

25 Russia 21

The share of the SME in GDP in comparison with other countries for 2016

(%)

7

8

Uzbekistan «Doing business 2017»

Decree of the President of the Republic of Uzbekistan of February 7, 2017 №4947

«On the strategy for further development of the Republic of Uzbekistan»

Improving of state and social construction

Ensuring the rule of law and reforming the judicial system

Development and liberalization of the economy

Development of the social sphere

Ensuring security, inter-ethnic harmony and religious tolerance, the implementation of a balanced, mutually beneficial and constructive foreign policy

Strategy of action for 2017-2021

9

Development and liberalization of the economy

Modernization and diversification of leading industries

Modernization and diversification of leading industries

Increasing the competitiveness and openness of the economy

10

In 2017 - 2021: 649 investment projects worth $ 40 billion.

Center «Development Strategy»

According to the order of the President of Uzbekistan established the Centre «Development Strategy». It will implement the Strategy actions in five priority areas of the Republic of Uzbekistan in 2017-2021 and the State program

10

The decree establishes "providing greater freedom to small business and private

entrepreneurship, a radical reduction of interference in their activities with a focus on

early warning, improving the efficiency of prevention of violations" as a critical priority

and of paramount tasks of the state authorities.

Decree of the President of Uzbekistan “On additional measures to ensure the

accelerated development of entrepreneurial activity, comprehensive protection of private property and substantial improvement of business climate”

Decree of the President of the Republic of Uzbekistan (October 5, 2016)

11

According to the Decree of the President of Uzbekistan recommended the Chambers of the Oliy Majlis of the Republic of Uzbekistan to consider establishment of the Ombudsman institution to protect the rights and lawful interests of business entities under the Oliy Majlis of the Republic of Uzbekistan with the key authorities.

As the experience of developed countries shows, the such Institute plays an important role in ensuring the legal protection of business entities and representing their interests in relations with state bodies

The Business Ombudsman institution

12

Decree of the President of Uzbekistan “On additional measures to improve providing public services to business subjects”

The purpose of the Decree is further improve of the quality, accessibility and

transparency of public services to business, including the centers “one stop shop”,

strengthening protection their rights and legal interests, as well as ensuring the

effectiveness of direct dialogue with the people.

Decree of the President of the Republic of Uzbekistan (February 5, 2017)

13

Decree of the President of Uzbekistan “On the creation of the Guarantee Fund for small business development”

The purpose of this Fund is further improve the business climate and deepening market

reforms, creating the most favorable conditions to accelerate the development of small

businesses by increasing their access to the credits provided commercial banks for the

purchase of modern technological equipment, developing the production of

competitive products, the best-selling in domestic and foreign markets, increase on this

basis, the role of small business in the social economic development of the country.

Decree of the President of the Republic of Uzbekistan (February 10, 2017)

14

7

Program for Expansion of the private sector’s share in the economy

Printing Industry (1)

Agro-Industrial Sphere (1)

Financial Institutions (4)

Automobile Industry (1)

Electrical Engineering (4)

Winery Plants (2)

Branch of Construction (5)

Chemical Industry (4)

Food Production (15)

Transports Sphere (3)

Foreign Trade Sphere (2)

Oil and Natural Gas Sphere (16)

Light Industry (2)

Enterprises of Other Spheres (8)

STOCKS AND

SHARES IN

68 LARGE

ENTRPRISES

On April 28, 2015 President of the Republic of Uzbekistan approved the Program for Expansion

of the Private Sector’s Share in the Economy, which stipulates transfer into the Private

Ownership of 1247 Enterprises and Facilities, including:

• State-owned Shares in 68 Enterprises - offered to Foreign Investors;

• State-owned Shares in 343 Enterprises – subject to be put onto Sales for their purchase by

Foreign and Domestic Investors;

• 512 State-owned Facilities – offered to Foreign and Domestic Investors at a “Zero” Purchase

Price with Undertaking the Investment Obligations;

• 324 Facilities – offered to Sale through the Public Auctions to Foreign and Domestic Investors.

Program for Expansion of the private sector’s share in the economy

Costs of the State-owned Assets offered for purchase

by Foreign Investors will be evaluated with participation of the International Appraisal

Companies

8

Relations between Uzbekistan and Latvia

1

2 3

63 documents were signed: 26 intergovernmental and intergovernmental; 20 interdepartmental; 17 not having the status of an international treaty

18

In Uzbekistan there are 30 enterprises with participation of investors from Latvia, including 11 enterprises with 100% Latvian capital.

Representative offices of 16 Latvian companies are accredited at the MFERIT of Uzbekistan.

Prospects for cooperation

Participation of businessmen of two countries in international exhibitions and fairs held in Latvia and Uzbekistan

Expansion of cooperation between exporters and large trading networks of Latvia and Uzbekistan, including online (e-commerce).

Organization of trips of Uzbek and Latvian businessmen to the regions of the two countries

19

Prospects for investment cooperation

Realization of joint projects on the basis of industrial cooperation of national economies

Joint participation in the implementation of "start-up" and innovative projects of interest to both countries

Creation of high-tech industries in free economic zones of Uzbekistan

20

21

In Latvia there are 3 large ports - Liepaja, Riga and Ventspils, and 7 small ports - Engure, Lielupe, Marsrags, Pavilosta, Roy, Salacgriva and Skulte, which are located along the entire Latvian maritime border

Cooperation in the logistic field

Latvia has traditionally been one of the important transport hubs of European and international importance, through the ports of which the transportation of Uzbek goods to the countries of the European Union.

22

УРГУТ

КОКАНД

ГИЖДУВАН

FEZ "Gijduvan" Bukhara region

FEZ "Urgut" Samarkand region

FEZ "Kokand"

Fergana region

FEZ "Khazarasp" Khorezm region

НАВОИ

АНГРЕН

FEZ "Jizzakh" Jizzakh Province

FEZ "Angren" Tashkent region

FEZ "Navoi" Navoi region

Emerging FEZ

Operating FEZ

Free economic zones of Uzbekistan

FEZ "Muynak" Karakalpakstan

23

Namangan

FEZ “Bustonlik-pharm" Toshkent region

FEZ “Parkent-pharm" Toshkent region

FEZ «Kosonsoy-pharm»

Namangan region

FEZ “Sirdaryo-pharm" Sirdaryo region

Tashkent

Emerging FEZ

Pharmaceutical Free economic zones of Uzbekistan

FEZ “Nukus-pharm" Karakalpakstan

FEZ “Zomin-pharm" Jizzakh region

sirdarya

FEZ “Boysun-pharm" Surhandaryo region

surxandaryo

Participation in the export of the regions of Uzbekistan in Latvia

24

1

Export potential of Uzbekistan

Fresh fruit and vegetable

Processed agricultural products

Wine and Vodka Products

Food products

Medicinal Herbs and Seasonings

Meat products

Milk products

National sweets

25

1 9

Textile products

Cars, trucks and buses

Construction materials

Chemical products

Household electrical engineering

Leather and footwear products

Electrical Appliances

Pharmaceutical products

Cosmetic products ICT services

Export potential of Uzbekistan

26

Major exhibitions in Uzbekistan in 2017

14th Central Asian International Specialized Exhibition «Textile Industry - Textile Expo Uzbekistan 2017»

(13-15 September 2017)

Foodweek / Agritek Uzbekistan 2017 (Agriculture / Food Industry)

(6-9 September 2017)

International Uzbek Cotton and Textile Fair (12-13 October 2017)

Tashkent International Tourism Fair "Tourism on the Silk Road 2017" (5-6 October 2017)

International Industrial Fair and Cooperation Exchange (23-30 October 2017)

International Fruit and Vegetable Fair (October-November 2017)

27

THANK YOU FOR YOUR ATTENTION!

The Republic of Uzbekistan 100047, Tashkent, Amir-Temur street, 6-block,

Tel .: (+998 71) 150-60-06 Fax: (+998 71) 2320903

Website: www.chamber.uz