19.04.2022

On April 19, President Shavkat Mirziyoyev chaired a videoconferencing on improving the system’s effectiveness in the context of makhallas (the local neighborhood community areas) and ensuring employment of the population.

The implementation of these tasks largely depends on the economy of the regions. Therefore, it is envisioned to allocate more than $500 million and over 2 trillion Uzbek soums for entrepreneurship development. The measures have been taken on the issues that are of most concern to entrepreneurs: the tax administration was simplified, as well as the procedure for issuing permits and conducting inspections were facilitated.

The measures for economic development and addressing the social problems of makhallas, organizing this work at the grassroots level were discussed at the meeting.

By the Decree of the President of the Republic of Uzbekistan of December 3, 2021, each makhalla established the position of an assistant khokim (governor) of the district (city) for the development of entrepreneurship, ensuring employment and poverty reduction. This is a completely new system, the correct organization of which is of a great importance today.

In this regard, the first results of the activities of assistant khokims were considered. It was noted that in three months they have conducted a study of 6 million 900 thousand households and divided them into 4 categories. 11% of households turned out to be low-income, 47%– in need of additional income, 6%– in need of social protection, 36%– self-sufficient families. Based on the results of the study, the local leaders were able to organize a targeted work and help thousands of citizens to find jobs and undergo a vocational training.

In the first three months of this year, 50,000 family business projects received 1,3 trillion Uzbek soums of loans and 20 billion Uzbek soums of subsidies on the initiative of assistant khokims. 47,000 new entrepreneurs established their businesses and 8,000 small production and service projects were launched.

The President has instructed to encourage assistant khokims, who showed the best results.

Along with this, the work of assistant khokims at many makhallas is not felt, yet. For example, the unemployment rate at makhallas exceeds 20%.

Such districts were listed and their khokims were warned at the meeting. The Deputy khokims, heads of sectors of several districts and cities have been relieved of their posts.

«There is no place among us for the leaders who do not work for the benefit of families, who do not understand the principle «in the name of honor and dignity», Shavkat Mirziyoyev has said.

The instructions were given to improve the situation at makhallas, the situation which was recognized as unsatisfactory based on the results of the study. 800 billion Uzbek soums will be allocated by optimizing budget expenditures.

It was emphasized that from now on each makhalla shall receive support based on its specialization.

Thus, 2,5 thousand makhallas specialize in animal husbandry, poultry farming, fishing and beekeeping. The incomes of the population will increase if they are provided with additional support and enterprising residents with incubators, domestic chickens and bee hives.

In general, at least 140 thousand people can be employed in animal husbandry, poultry farming, fish farming and beekeeping.

The importance of expanding small industries at makhallas, such as handicrafts, sewing, shoemaking and confectionery, was noted. The President has approved the initiative to create the micro-industrial centers at makhallas for this purpose.

500 billion Uzbek soums shall be allocated for these purposes this year, as well as the centers shall be exempted from paying a land tax and the property tax for 5 years.

It was also noted that for the effective use of unused structures identified at places, the proceeds from their sale or lease should be directed to the development of makhalla infrastructure.

A home-based work is a good opportunity to employ women and persons with disabilities. To this end, today the President of Uzbekistan has signed a resolution on ensuring employment of the population through the development of home-based work.

The entrepreneurs working with home-based workers will receive 500 billion Uzbek soums from the family entrepreneurship program, as well as a guarantee from the Entrepreneurship Fund in the amount of 75% and compensation for part of the loan costs exceeding 10%.

The home-based workers shall be able to pay only social tax as self-employed citizens, and wages for the first month of work in remote areas will be covered by the state.

The khokims of the regions were instructed to employ the socially vulnerable population, effectively using these opportunities.

Over 2 thousand makhallas specialize in services in the country. In this regard, the need for organizing retail and service centers at makhallas with a population of more than 20 thousand people was noted. These centers shall also be exempt from paying a land and property tax for 5 years.

At the meeting, the khokims and their assistants reported on the plans for the «makhallabay» (in makhalla context) work and employment of the population.