17 August, 2006

Politics
EurAsEC and CSTO leaders meet in Sochi
Uzbekistan regains full-fledged membership in CSTO
Ukrainian Prime Minister calls for stronger ties with Uzbekistan
Japanese Prime Minister to visit Uzbekistan
Uzbek party considers several draft laws

Economics
Uzbekistan targets 7.7% growth in 2007
Uzbek Airways meets professional holiday with good results in 1H

Society
Belgian delegation's head to receive Honorable Doctor's Diploma in Tashkent

POLITICS

EURASEC AND CSTO LEADERS MEET IN SOCHI

Heads of member states of the Eurasian Economic Community and the Collective Security Treaty Organization held an informal meeting in Sochi, Russia on 16 August.

President of Uzbekistan Islam Karimov, President of Russia Vladimir Putin, President of Armenia Robert Kocharyan, President of Belarus Alexander Lukashenko, President of Kazakhstan Nursultan Nazarbayev, President of Kyrgyzstan Kurmanbek Bakiyev, President of Tajikistan Emomali Rahmonov and Prime Minister of Ukraine Victor Yanukovich (as an observer) participated in the meeting. The leaders discussed creation of the Customs Union within the EurAsEC and exchanged views on the community’s perspectives.

Among other discussed issues were creation of the single energy market and the water and energy consortium.

The presidents also discussed issues of cooperation in the field of security. They listened to the reports of the EurAsEC General Secretary Grigory Rapota and CSTO General Secretary Nikolai Bordyuzha.

At the press conference after the negotiations, the leaders said they had common views on the issue of development of the single energy market. They also said they discussed cooperation in development of nuclear energy and efficient use of water resources in Central Asia.

The Customs Union will start functioning among Russia, Belarus and Kazakhstan. Other member states will join it after bringing their laws in accordance with the Customs Union documents.

A special attention was paid to cooperation between EurAsEC and CSTO. The presidents signed a document confirming Uzbekistan’s official membership in this CSTO. The resumption of membership was announced at the previous summit of the two structures in Minsk, Belarus.

President of Uzbekistan Islam Karimov said without ensuring security it was hard to develop economy and inter-state integration processes. The head of Uzbekistan received Ukrainian Prime Minister Victor Yanukovich at his residence, and the two discussed development of trade and economic relations. The sides stressed the importance of conducting a session on trade and economic cooperation, and expansion of ties in the oil and gas industry.

Islam Karimov and Victor Yanukovich underlined that the two countries had a great potential for efficient cooperation in various sectors. Ukraine demonstrated interest to exploration of oil and gas fields in Uzbekistan. The sides also said they were interested in investment cooperation. (UzA)

UZBEKISTAN REGAINS FULL-FLEDGED MEMBERSHIP IN CSTO

Uzbekistan has regained full membership in the Collective Security Treaty Organisation (CSTO). Corresponding decision was adopted today in Sochi in the course of the informal summit of Eurasian Economic Community (EurAsEC) member-states.

Uzbekistan announced its revocation of the moratorium on the active membership in the frames of the CSTO and intention to regain full-righted membership in this military structure during the session of the CSTO Council in June of this year.

At the press conference, the President of Uzbekistan Islam Karimov said that membership in the CSTO was of great importance to his country. "CSTO is a much needed structure," he said. "Time will come when we will integrate the EurAsEC and the CSTO, and form a structure that will solve economic issues paying due attention to the creation of the due security conditions, without which no economy can function properly."

UKRAINIAN PRIME MINISTER CALLS FOR STRONGER TIES WITH UZBEKISTAN

Ukraine is interested in participating in the reconstruction of the Uzbek section of the gas transportation network in order to increase natural gas deliveries from Turkmenistan and Uzbekistan, Ukrainian Prime Minister Viktor Yanukovich told Uzbek President Islam Karimov at their meeting at the Black Sea resort of Sochi on Wednesday. Yanukovich said his country was interested in investing in Uzbek gas fields.

The Ukrainian premier stressed the need to step up the Ukrainian-Uzbek cooperation, calling for another meeting of the intergovernmental commission for economic cooperation.

The two parties agreed to start preparations for the meeting. Yanukovich said that the free trade area agreement between Ukraine and Uzbekistan was not working as effectively as necessary.

JAPANESE PRIME MINISTER TO VISIT UZBEKISTAN

Japanese Prime Minister Junichiro Koidzumi will make visit to the Republic of Kazakhstan and the Republic of Uzbekistan on 28-30 August 2006, embassy of Japan in Uzbekistan said in its press release dated 17 August.

During the visit Japanese Prime Minister Junichiro Koidzumi will meet Kazakh President Nursultan Nazarbayev and Uzbek President Islam Karimov.

The press release of embassy said Japan takes active part in the maintenance of stability in Central Asian region by encouraging their independent development and promoting intraregional cooperation. This visit will be the first visit in the history of Japanese prime minister to Central Asia.

In the course of the visit it is expected that the heads of both countries will share information, which plays important role in the retention of stability and the development of this region, on Japan's active participation policy in this region. It is envisaged that they will exchange their opinions on the consolidation of bilateral relations and international problems, including the situation in the region, the release added.

UZBEK PARTY CONSIDERS SEVERAL DRAFT LAWS

Faction of Liberal Democratic Party of Uzbekistan (UzLiDeP) in Legislative Chamber of Oliy Majlis of Uzbekitan held a session with participation of representatives of ministries and departments.

The faction considered draft bills on introduction of changes and amendments to Code of Uzbekistan on Administrative Liability, Civil Code and some other legislative act of Uzbekistan, which directed to strengthen fight against crime in financial-economic and tax spheres, legalization of crime income. MPs also discussed draft bill "On administrative procedures".

MPs discussed main approaches and direction on further improvement of tax policy in 2007 and concept of tax policy.

UzLiDeP' fraction supported this concept and said it will give opportunity to people to acquaint with upcoming changes to taxation system.

MPs considered bills on introduction of changes and amendments to Law "On Central Bank of Uzbekistan" in connection with adoption of new Law "On microcredit organization", as well as to some other legislative documents.

The fraction adopted corresponding decisions on considered issues.

ECONOMICS

UZBEKISTAN TARGETS 7.7% GROWTH IN 2007

Uzbekistan's government is targeting real GDP growth of 7.7% in 2007 and inflation to fall to 5%-7%, the Cabinet's press office said.

Industrial output should rise 10%, investment 8% and real incomes 17%.

The Cabinet approved the macroeconomic forecast and draft tax policy, which are the bases for the 2007 state budget, at the end of last week.

Tax policy involves lowering corporate profit tax to 10% from 12% and the unified social payroll deduction from enterprises to 24% to 25%.

The upper tax threshold for individuals would be lowered to 25% from 29%. (Interfax)

UZBEK AIRWAYS MEETS PROFESSIONAL HOLIDAY WITH GOOD RESULTS IN 1 HALF 2006

Aviation day of Uzbekistan is traditionally marked on third Sunday of August, and this time it coincides on 20 August.

The national ferryman of the country Uzbekiston Havo Yollari (Uzbekistan Airways) airline is currently occupying durable positions on the international market for air transportation, providing qualitative and competitive product.

In the years of its activity Uzbekiston Havo Yollari repeatedly became the possessor of prestige rewards in the realm of guaranteeing safety and reliability of flights. And this most visibly proves the correctness of selected strategy in the sphere of the civil aviation of Uzbekistan

On the eve of the 15th anniversary of the country's Independence and a professional holiday of airmen, the National Airline Company Uzbekiston Havo Yollari summed up the results of the first half of 2006. As a whole, one may note an increase in the basic production and financial indices on the airline company.

Over the past six months, the company executed 10,660 flights, on which about 800,000 passengers were flown, meanwhile the commercial load increased by 1.9%, and the passenger load - by 0.6%. In the first six months of the current year, the airports of the National Airline Company Uzbekiston Havo Yollari flew over 600,000 passengers, which is up by 1.3% than during the same period of 2005. The volume of transportation on CIS directions is still very high.

In the years of independence, the aircraft inventory Uzbekiston Havo Yollari was supplemented by contemporary air vessels of the chief world producers - Boeing-.767-300ER, Boeing-757-200, A -310, RJ-85 and domestic Il-114-100. Their operation made it possible for the airline company to ensure the high level of service and flight safety, and so it removed all limitations to the execution of flights into the foreign countries.

The airline company administration is constantly paying attention to the providing of safety flights; to the complete and timely satisfaction of the needs of our country's national economy and population for the transportation of passengers, cargoes; to the guarantee of airworthiness of aircraft and proper working order of aviation equipment, to an improvement in the technical and repair base of the airline company; to the strengthening of its positions and their implementation for new international markets; to the raising of maintenance and service level, to the providing of all specific services in accordance with the international standards; to the training of highly skilled personnel, to the growth of the volumes of work.

Difficulties are being surmounted, and successes inspire for new achievements. Therefore, the airline company, having thousands of employees sets new tasks to further optimize the aircraft fleet, assimilate new flights, attract the increasing number of passengers to the National Airline Company's flights.

SOCIETY

BELGIAN DELEGATION'S HEAD TO RECEIVE HONORABLE DOCTOR'S DIPLOMA IN TASHKENT

A robe, a headdress and a diploma of the Institute of art studies of the Academy of Fine Arts of Uzbekistan have been presented to Director-General of the Royal Museums of Art and History in Belgium, a scientist with the world name, archaeologist, the author of over 250 scientific works, Anne Cahen-Delhaye, who was heading a delegation of Belgium museum workers, and currently visiting Uzbekistan.

It occurred at a session of the Academic council of the Institute of art studies of the Academy of Fine Arts of Uzbekistan on 16 August, 2006 in the presence of Uzbek associates, compatriots and media representatives. There was such writing in the diploma: "By a resolution of the Academic council of the Scientific research Institute of art studies (protocol 5 of 15 August, 2006) a degree the Honorable Doctor of the Institute of art studies of the Academy of Fine Arts of Uzbekistan is to be conferred on Anne Cahen-Delhaye (Belgium)".

The Belgian delegation is comprised of a professor and a Doctor, the head of the department for archaeology of the antiquity of the Near East and Central Asia, Bruno Overlaet and a head department of the temporary exhibitions Mrs. Carine Theunis.