The government of Uzbekistan recently announced that it will allow small-scale entrepreneurs to access loans of up to 20 times country’s monthly minimum wage of UZS 149,775 (USD 40) “without the establishment of legal entit[ies].” Borrowers will be required to pledge collateral.
The reform package also allows loans as high as 60 times minimum wage for enterprises that acquire “guarantees of citizens’ self-government bodies.” Thirdly, commercial banks can issue funds from the Preferential Lending Fund in amounts as high as 100 times minimum wage for new small enterprises in remote regions and areas with “excessive labor resources.”
By Phoebe Rorke, Research Associate
Sources and Additional Resources
Syminvest:
Uzbekistan provides tax incentives, loans to businesses in remote regions
UzReport Information Agency:
Minimum wage to go up by 15%
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