Industrial Development Fund (IDF) will be set up under the Uzbekistan Fund for Reconstruction and Development (UFRD). This is provided for by the president’s July 21 decree.
The IDF will get US$1 billion in funds, including $200 million from the UFRD in 2023-2024.
The Fund is allowed to attract funds from external sources, in the future – from new sources.
2 trillion soums will be contributed annually from the state budget for infrastructure costs Starting from 2024, as well as 15 million US dollars in equivalent for expenses on subsidies and compensations provided to the Fund.
At the expense of the Industrial Development Fund:
- loans, including working capital, in foreign and national currency will be contributed for industrial projects aimed at the production of new types of high-tech products and the expansion of existing capacities;
- loans will be provided for the purchase and lease of buildings and structures on the basis of the Industrial Mortgage system to increase production volumes;
- part of the costs associated with marketing research projects aimed at mastering the production of demanded products, as well as the development of project documentation, attracting foreign specialists and certification of products, is financed;
- assistance will be provided to industrial enterprises in the form of participation in their authorized capital, the acquisition of property, the provision of loans in national and foreign currencies, as well as other forms that do not contradict the law.
In January 2019, a Direct Investments Fund (DIF) was set up with a capital of $1 billion, as well as a management company for this fund with an authorized capital of $5 million.
