April 10, 2008

Politics:
Uzbekistan calls for cooperation to secure stability in Afghanistan
President Signs Law on Ratifying Child Labor-Related Convention
Uzbekistan adopts law "On countering the trafficking in persons"
Economics:
ADB Executive Director Visits Uzbekistan, Assesses Ties
Tashabbus-2008 Unveils Best Financial Institution
UzbekYengilSanoat (Light Industry) sets up YengilSanoatServis Unitary Company
HeliosNet actively participates in ICT infrastructure development
Society:
Uzbekistan getting ready to celebrate Tashkent's 2200th anniversary
Event on 672nd Anniversary of Amir Temur (Temurlan) Held in Tashkent
UN names winners of human development poster contest

POLICY

UZBEKISTAN CALLS FOR COOPERATION TO SECURE STABILITY IN AFGHANISTAN

The address by President of Uzbekistan Islam Karimov at the NATO/EAPC Summit in Bucharest, assessments given in that address on the prospects of cooperation of Uzbekistan with NATO in the framework of Partnership for Peace Program and proposals on stabilization of the situation in Afghanistan remain to be in the focus of attention of foreign political, expert, analytical and diplomatic circles, as well as the mass media.

Foreign mass media and experts note that the address by President Islam Karimov was constructive, well-timed, concrete, and served as a practical contribution to the work of Bucharest Summit. It was balanced and responded to the expectations and strives of member-states of Alliance involved in the process of rehabilitation of Afghanistan, Jahon Information Agency reported.

The initiative of the Uzbek Leader on resuming the "negotiation process on achieving peace and stability in Afghanistan in the framework of the 6+2 Contact Group with the support of the United Nations" in a new format 6+3 with participation of NATO" is broadly commented. It is noted that in this very key, when the opportunity emerges to apply the yet unclaimed experience and expertise of states neighboring on Afghanistan, one can truly start to resolve the long-term challenges in that country. In this, many foreign experts name Uzbekistan among the leading states that are participating in recovery of Afghanistan.

Thus, the Associated Press cited the President Islam Karimov as follows: "In Uzbekistan we distinctly realize that achievement of peace and stability in Afghanistan is a decisive factor of security which opens up big opportunities to resolve the vitally important problems of sustainable social and economic development of the entire Central Asian region".

According to the BBC Monitoring, President Islam Karimov underscored the impossibility to establish peace in Afghanistan exceptionally by military measures. In this context, demilitarizing the country, re-orienting the people towards the peaceful life, resolving the social and economic problems, and ensuring the stage-by-stage and gradual reforming play an important role.

In particular, the BBC Monitoring underscored that "taking floor before the participants of the Summit President Islam Karimov said that an ever bigger transformation of NATO into a political structure becomes today a reality, and this, in its turn, is a good stimulus for further development and strengthening the Euro-Atlantic partnership – the EAPC. Islam Karimov called upon to establish the large-scale international cooperation and take concrete measures to stabilize the situation in Afghanistan".

In its story the Chinese newspaper Jenmin Jibao quoted the main highlights of address by President of Uzbekistan at the NATO/EAPC Summit in Bucharest. Jenmin Jibao underlined the five main objectives in the address by the Uzbek Leader the implementation of which could positively influence the situation in Afghanistan.

The Russian RIA Novosti agency paid attention to the address by President Islam Karimov on the "importance to ensure the priority of resolution of the most acute and urgent social and economic problems, the problems of employment of population and strengthening the vertical and authority of power. In this we see the key to achieve the most important objective – the trust of population towards the international coalition forces. Along with this, all this may serve as the most powerful factor of resolving the problem of struggle against production and trafficking of drugs which are the main source for financing the militants".

According to the Editor-in-Chief of the Afghan newspaper Daily Outlook Afghanistan H.Yaso, the proposal by President of Uzbekistan Islam Karimov to expand the format of 6+2 Group makes the rehabilitation of peace in Islamic Republic of Afghanistan more active and prompts all parties interested in stabilization of situation in the country to act in a more coordinated way in the interests of long-suffering Afghan people.

He also highlighted the thesis enunciated by President Islam Karimov at the NATO/EAPC Summit in Bucharest on the need to respect and support the traditional religious, national, cultural values and customs of the multiethnic people of Afghanistan, respectfully treat the interests of ethnic minorities.

Yet according to him, the implementation of those two aspects can truly bring peace and well being to Afghanistan.

The story in the Egyptian newspaper Al-Masaiya "Islam Karimov: the instability in Afghanistan continues to threaten the global security" noted that in his address at the NATO/EAPC Summit President Islam Karimov underscored the importance of resolution of the most urgent social and economic problems in the Islamic Republic of Afghanistan as a factor of securing the trust of Afghan people towards the international coalition forces. The newspaper particularly emphasized that the Uzbek Leader spoke in support of putting an immediate stop to attacks on Islam.

Expert of the Afghanistan-based Afghanistan Development Fund A.Karimi said that the way the President of Uzbekistan spoke on the importance of priority of addressing the most acute social and economic problems of Afghanistan testified to his in-depth awareness of today's economic situation in that country.

A.Karimi underlined that it was very important that Islam Karimov as among the first who spoke about it at the NATO/EAPC Summit and thereby presented incontestable arguments on the need to intensify the measures of all sides in soonest settlement of situation in Afghanistan.

Executive director of SAPRA India Research Fund Indranil Banerji said that the proposals by President Islam Karimov have fairly cited the priority of resolution of the most acute and urgent social and economic problems, the problems of employment of population and strengthening the vertical and authority of power. He underscored that the absence of effective social structure in Afghanistan, the high level of unemployment and limited capabilities of local authorities are one of the main reasons for instability and dangerous situation in that country.

According to him, resuming the negotiations on achieving peace and stability in Afghanistan in the framework of 6+2 Contact Group and attracting NATO to its framework was also important. Thus, Uzbekistan's initiative of late 90s played an important role in addressing the Afghan problem. The Group's participating states have a real opportunity to influence the situation in Afghanistan and the support of UN and NATO of the Group's activity would give to it an ever more effectiveness and success.

Expert of Islamabad University Dr. Simbal Khan welcomed the proposal by President Islam Karimov to expand the structure of the Contact Group on Afghanistan by way of involving NATO to it. He particularly emphasized the proposal on resuming the Tashkent Declaration earlier recognized by the UN Security Council as an important step towards the political settlement of the Afghan problem.

According to the official at the Department for cooperation with Central Asian countries of the NATO International military staff Lt. Colonel Jim Lempton, the Alliance understood that the support of efforts of the international security forces in Afghanistan would not be effective without participation of Uzbekistan in that process. In this respect, NATO attached a particular importance to attendance of President of Uzbekistan Islam Karimov of the NATO/EAPC Summit in Bucharest. "The concrete directions of further cooperation highlighted by the Uzbek Leader meet the common interests of sides and enjoy big prospects", Lt. Colonel Lempton said.

Expert at the Center of political expediency of Russia Evgenija Voyko noted that the analysis of the address by President Islam Karimov allowed asserting that the tense situation in Afghanistan was among the top-priority problems for Tashkent in the sphere of security. According to the Uzbek Leader, further aggravation of confrontation and escalation of tension in that country represented serious challenge to global security and international stability. The proposal to expand the Contact Group from the format of 6+2 to the one of 6+3 with inclusion of NATO to it in fact stood for Uzbekistan's appeal to coalition forces to involve all neighbors of Afghanistan and their potential to the process. By taking a floor at the Summit Islam Karimov confirmed that Uzbekistan indeed played one of the key roles in maintaining the stability in Central Asia.

Deputy Editor-in-Chief of the Mir Novostey Russian weekly Andrey Knyazev said that the address by President of Uzbekistan Islam Karimov testified to gradual foreign policy led by Uzbekistan aimed at comprehensive development of international cooperation with constantly taking into account the national interests.

A.Knyazev believed it was very timely the Uzbek Leader's appeal not to allow the attacks and slanders on Islam which cause an absolutely intolerable situation and tension in Afghanistan and entire Muslim world, as a whole.

According to the Professor at the US-based Rutgers University, Director of the Global Scholarly Publications, the scientist-theologian and scholar of oriental studies P.Morvige, the proposals of President of Uzbekistan Islam Karimov to develop the cooperation with NATO on democratic renewal and modernization, struggle against the international drug trafficking, stabilization of the situation in Afghanistan witnessed about the political role of Uzbekistan as an important partner in securing the global prosperity and peace.

He underscored that the five important recommendations enunciated by President Islam Karimov at the NATO/EAPC Summit were certainly the most significant to ensure success in achieving goals of Alliance in Afghanistan.

P.Morvige especially emphasized what President of Uzbekistan had mentioned about the need to respect and support the traditional religious, national and cultural values as well as customs of the Afghan people and respectfully treat the interests of ethnic minorities.

He said that "it is ruinous and thoughtless to engage in attacks on Islam or any other religion".

In his analytical story posted on the web the expert on Central Asian countries at the US-based Jamestown Foundation John Daily wrote that "Uzbekistan's appeal to resume the 6+2 negotiations in a new format noticeably contrasts against a background of the 29 year-old war operations in Afghanistan which were not only able to pacify the country but instead they led to terrible events of September 11, 2001. The proposals enunciated by President Islam Karimov at the NATO/EAPC Summit in Bucharest suggest the potential roadmap which would lead on to stability in Afghanistan".

"There is no doubt that many of official representatives of NATO who have participated at the summit in Bucharest will study the proposals by President Islam Karimov with a big interest", the American expert said.

PRESIDENT SIGNS LAW ON RATIFYING CHILD LABOR-RELATED CONVENTION

On April 8, 2008 the President of the Republic of Uzbekistan Islam Karimov signed the Law of the Republic of Uzbekistan “On ratifying the Convention on banning and immediate measures on eliminating the worst forms of child labor” (Geneva, June 17, 1999), Jahon Information Agency quoting the national newspapers.

The law was adopted by Legislative Chamber (Lower House) of Oliy Majlis of the Republic of Uzbekistan on March 13, 2008. And it was approved by the Senate (Upper House) of Oliy Majlis of the Republic of Uzbekistan on March 27, 2008, the reports have also said.

UZBEKISTAN ADOPTS LAW "ON COUNTERING THE TRAFFICKING IN PERSONS"

Jahon Information Agency has issued a news release on adopting by the Legislative Chamber of Oliy Majlis of the Republic of Uzbekistan of the Law "On countering the trafficking in persons".

Legislative Chamber (lower house) of Oliy Majlis (parliament) of the Republic of Uzbekistan held its session on March 13, 2008. Among the major legislative acts which define the legal foundations of Uzbekistan's international cooperation was the adoption of the Law "On countering the trafficking in persons".

Adoption by Uzbekistan's parliament of this law serves as a reliable basis for preventing this type of encroachment on the rights, freedoms and lawful interests of citizens. Besides, the document will serve the strengthening of legal basis for protecting people, increasing the efficiency of measures on combating the illegal exploitation, migration and trafficking in persons. The law was elaborated by the Ministry of Justice of the Republic of Uzbekistan jointly with other concerned agencies.

The Republic of Uzbekistan actively cooperates with international organizations in the sphere of combating the illegal exploitation, migration and trafficking in persons. In particular, in 2003 the national parliament ratified the Convention on combating the trafficking in persons and exploitation of prostitution by third parties and the Convention against transnational organized crime.

According to the Committee of Legislative Chamber of Oliy Majlis of the Republic of Uzbekistan on legislation and judicial issues, for over the past three years over 1000 applications were filed by people who have fell victim of trafficking in persons. About 700 criminal cases were instigated. Unfortunately, more than half of the prosecuted on criminal cases make up the women.

Not less important peculiarity of the passed law is that with an aim to render protection and assistance to victims of trafficking in persons it envisages the establishment of special institutions on countering the trafficking in persons that would be able to take the whole spectrum of measures, including the medical, psychological, social, and legal aid.

ECONOMY

ADB EXECUTIVE DIRECTOR VISITS UZBEKISTAN, ASSESSES TIES

The visiting Executive Director of Asian Development Bank (ADB) Kyung-ho Kim has held talks at several ministries and agencies in Uzbekistan, Zafar Abdughaffarov of Jahon Information Agency quoting the Uzbekistan National News Agency.

At the talks with the Deputy Chairman of Board of National Bank for Foreign Economic Activity of the Republic of Uzbekistan B.Nurullaev the sides have emphasized that the gradual ongoing reforms in Uzbekistan in all spheres of economy, including in banking and financing system bear positive results that serve as an important factor to further extend ties with foreign partners.

From 1995 the Asian Development Bank has been investing into several social and economic spheres of Uzbekistan while supporting the ongoing fundamental reforms in the country. The results of cooperation with ADB are particularly seen in the notable changes in the spheres of education, assimilation of natural resources, agriculture, transport and transport communications, healthcare, banking and finances, industry, trade and energy.

In March 2006 the ADB approved the strategy and program of cooperation for Uzbekistan for 2006-2010.

At the moment, the volume of loans allotted to Uzbekistan by ADB exceeds 1 billion US dollars. They have been channeled to implementation of 25 strategic projects related to the spheres of transport infrastructure, energy, agriculture, municipal economy, small business and private entrepreneurship, general, secondary special and professional education.

TASHABBUS-2008 UNVEILS BEST FINANCIAL INSTITUTION

The Karakalpak office of the Joint-Stock Commercial Bank Mikrokreditbank won at the Tashabbus-2008 contest for the prize of President Islam Karimov in the nomination “The best financial institution”, Lola Bekmuratova of the Information Agency “Jahon” quoting the Uzbekistan National News Agency Russian-language website.

At the first quarter of this year announced as the Year of Youth in Uzbekistan the Bank allotted micro-credits to young families worth UZS 1 billion.

“The main direction of our activity is to render financial support for the youth”, - the manager of the Karakalpak office of the Bank Dilbar Khojaniyazova has said. “The bank has announced a contest “The best entrepreneur” to support the young business people. Our goal is to develop the small and private businesses, in particular, expand micro-financial services for the youth residing in distant countryside areas”.

This year the Bank allotted about UZS 3 billion credits for the development of small businesses and 1700 people were provided with jobs.

With an aim to increase the livestock cattle 30 bank offices allotted UZS 231 million credits for the less well-off families. Besides, the entrepreneurs received UZS 760 million to procure techniques for leasing. The small businesses which cooperate with the Bank are seeing their rise from day to day. At the moment, they make up about 3300 people.

Those are the results of gradual reforms now underway in the country aimed at further increasing the wellbeing of Uzbek people.

UZBEKYENGILSANOAT (LIGHT INDUSTRY) SETS UP YENGILSANOATSERVIS (LIGHT INDUSTRY SERVICE) UNITARY COMPANY

UzbekYengilSanoat State Joint-Stock Company has made the decision to set up the "YengilSanoatServis" Unitary Company and raise the statutory fund of the company through additional float of common stock.

The issuance of 7,442 shares with the par value of 100,000 soums each will raise the statutory fund of the company to 8.15 billion soums, in which the state's share will make up 88.2%, Uzreport Business Information Portal reported

The need to set up a service structure on the base of the UzbekTextilMash was pointed out in November 2004 Resolution of the Cabinet of Ministers "On the issues concerning the liquidation of the UzbekTextilMash Production Association." The production complex occupies 26 hectares of land.

Among other functions of the liquidation commission was to determine the list of objects (buildings and structures) which could be used as a base for the establishment of joint ventures to specialise in the production of spare parts, junctions and component parts for the enterprises of the light industry, as well as the production of sewed and knitted products.

The functions of the new YengilSanoatServis Unitary Company include the provision of services to companies located on the territory of the liquidated production association, particularly services involving coordination of management, exploitation and major repairs of the general engineering services, protection of the territory, transportation of freight, and shipping services, etc.

It should also perform a complex of construction and finishing works, intended to provide a modern industrial zone that would comply with the ecological and sanitary norms set within the city boundaries. The new textile complex will be established through the contributions of the enterprises located here.

A number of Turkish and Uzbek companies have already bought out the buildings and facilities where the production of finished textile products will be launched after the completion of the modernisation and reconstruction. A presentation of one of such companies Sirkeci TashTextile has recently been held here.

Uzbekistan is one of the key players in the Central Asian cotton market. Despite the substantial cut-down on the areas used as cotton fields, the country remains the second largest exporter and the fifth–sixth largest producer in the world. The supplies to the Asian region, according to UzbekYengilSanoat Company's reports, comprise over 70% of the total export volume of cotton fibre, to Europe – 20%, and to Russia and CIS – 10%.

Numerous companies are being set up in partnership with investors from India and China. One of the examples is a foreign company in Toytepa. The Spentex Company was bought by Indian investors for over US$80 million.

The main funds are being actively renewed through the attraction of foreign capital. Today textile enterprises operated by investors from Germany, Italy, South Korea, Turkey, Russia, India, the United States, the United Kingdom and other countries of the world are present in Uzbekistan. Last year alone 23 new companies were set up attracting over US$87 million in foreign investments. In 2008 it is expected that about 20 new objects will be launched with the total volume of investments comprising US$119.4 million.

The following statistics were quoted at the industry presentation made at the First Industrial Fair and Cooperation Exchange of Uzbekistan: 1 kg of cotton fibre costs on average US$1 in the world market, a growth trend is observed. After processing, 0.88 kg of yarn is obtain, which now costs US$2. Processed further into a piece of fabric this cotton weighs about 0.77 kg and costs US$2.4. As for the finished textile products, one kilo of cotton fibre is enough to produce 3.5 t-shirts, each of which can be sold for US$5 on average.

Therefore, it is not accidental that the programme on modernisation and technical re-equipment of enterprises of the sector for 2006-2008 targets raising the volume of cotton processed into fabrics and ready-made clothes to 50%.

In order to stimulate the investment activity in the light industry the legislation has created a series of benefits and preferences. In particular, the enterprises specialised in the production of ready-made clothes (sewed, knitted, and leather products), hosiery and footwear are exempt from all types of taxes and duties, except for the value added tax. They are also exempt from the customs duties (except for customs paperwork) on technological and auxiliary equipment, and spare parts imported for production purposes.

The funds saved on these taxes and customs duties, however, should be reinvested and used for technological re-equipment or production modernisation, development of new types of products, enrichment of the working capital, and motivation of staff.

A large part of equipment, according to the experts of UzbekYengilSanoat, are modern machinery imported from the West. In 2006 the production capacities of joint and reconstructed ventures equipped with the latest machinery reached 240,000 tonnes of cotton fibre, which is 80% of the aggregate capacity.

The construction of modern textile complexes, including finishing, knitting and sewing enterprises was launched in 2003. New dyeboarder capacities were installed (over 40,000 tonnes) which allowed to dye and fix of fabric to match the international standards.

In order to intensify the processing of cotton fibre and textile semi-finished goods into ready-made garments, increase the country's export potential, and satisfy the growing demand for consumer goods a Programme on modernisation and technological re-equipment of enterprises of the textile industry for 2007-2012 has been developed. The programme envisages 79 investment projects for the total amount of some US$614.6 million.

The expected results are to raise the cotton processing volume to 510,000 tonnes by 2012, yarn production volume to 407,100 tonnes, fabric production volume to 319.5 million square meters, production of sewing threads – to 145.8 million bobbins, and the production of ready made clothes – to 275.6 million pieces.

The demand for goods made of natural fibre is growing steadily in the world market. This illustrates the unconstrained export potential of Uzbekistan.

HELIOSNET ACTIVELY PARTICIPATES IN ICT INFRASTRUCTURE DEVELOPMENT

A business meeting between Uzbek and Russian entrepreneurs was held in Tashkent. The Chamber of Industry and Commerce of Uzbekistan and one of the largest independent satellite operators in Russia, Web Media Service Company rendering its services under the HeliosNet brand, organised the event.

The aim of the business seminar was to establish direct partnership contacts between the Uzbek entrepreneurs and the HeliosNet, UzA reported. Among the topics discussed were the prospects of business cooperation, and favourable investment climate created in Uzbekistan, which is a strong motivational factor for the flow of foreign investments into the economy of the country.

According to the Chairman of the Chamber of Industry and Commerce A. Shayhov, HeliosNet will take part in the implementation of joint programmes on the development of the telecommunication infrastructure together with Uzbek partners. In total up to US$20 million are to be invested in the Uzbek economy over the course of the following three years.

HeliosNet provides services on the organisation of cooperative networks, IP-telephony, video-conferencing, and distance learning, as well as high speed Internet access.

SOCIETY

UZBEKISTAN GETTING READY TO CELEBRATE TASHKENT'S 2200TH ANNIVERSARY

Preparatory measures for the celebration of the Tashkent city's 2200th anniversary started in Uzbekistan.

The jubilee celebration is planned for 2009. Thus it is necessary to reconstruct the historic monuments and shrines, construct new objects and develop the urban infrastructure. A lot of various festivals, sport competitions and other cultural activities are to take place.

An international conference "Role of Tashkent in the world civilization" with attraction of the local and foreign scientists and specialists is planned to be held in March 2009.

As is known, the resolution on celebration of the 2200th anniversary of the foundation of the city of Tashkent was adopted by the 34th session of the UNESCO General Conference in November 2007.

EVENT ON 672ND ANNIVERSARY OF AMIR TEMUR (TEMURLAN) HELD IN TASHKENT

The event dedicated to the 672nd anniversary of Amir Temur was held at the State Museum of the History of Temur and His Dynasty in Tashkent. The scholars, specialists, pedagogues and students participated in it, Lola Bekmuratova of the Information Agency “Jahon” quoting the Pravda Vostoka newspaper.

Under the leadership of President Islam Karimov a special attention is now being paid in Uzbekistan to objectively study the rich history, life and works of the great Uzbek ancestors, carefully treat their spiritual heritage, as well as bring up the young generation to be faithful to ancient traditions.

Thanks to such efforts the scientific research on various periods of history of the nation related, in particular, to the time-period of Amir Temur and his dynasty are now held in the country. The particular successes were secured in discovering the rare manuscripts which are kept in the country and abroad and researching of yet unknown pages of history.

It has become a kind tradition to organize scientific and practical conferences, seminars and roundtables which aim to bring to specialists, students and public the sensational openings in the area.

At the event in Tashkent the historians and scholars of source and oriental studies spoke on the creative activity of Sakhibkiran Amir Temur, archeological findings of his period and his dynasty, as well as books published on such topics. A profound impression made the exhibition of works of young artists on the history of governance of Amir Temur and his dynasty, according to the newspaper.

UN NAMES WINNERS OF HUMAN DEVELOPMENT POSTER CONTEST

The United Nations in Uzbekistan announced winners of the national poster contest on human development on April 7.

The competition was organized by the UN Office in Uzbekistan under the overall theme "UN Contribution to Human Development through the Language of Contemporary Design". It was co-sponsored by the Academy of Arts of Uzbekistan, the UN Development Programme Office (UNDP) in Tashkent, and the UN Office for Drugs and Crime (UNODC) in Central Asia, Uzreport. Business Information Portal reported.

The organizers aimed to promote UN ideas and its efforts to advance human development through such a powerful medium of expression as posters. Posters have always played an important role in transmitting knowledge as well as forming values and behavior models in society. The organizers also sought to stir up interest of creative young people to the art of poster.

The contest received over 100 works, mainly from young graphic designers. Overall, the contestants' age ranged from 17 to 85. They were invited to design posters on a broad range of issues, varying from improving living standards, health and education to preserving cultural heritage and combating HIV/AIDS and drug abuse. However, the latter topic has received most of their attention and thus was featured in many works.

The judging took place under the chairmanship of Anna Paolini, UNESCO Representative in Uzbekistan, in February-March 2008. The jury comprising of graphic designers from UN HQs in New York and Geneva, prominent Uzbek artists and UN experts in communications and development judged the posters by the criteria of the message communicated, originality of expression and integrity of composition.

The first prize has been awarded to Artur Kan for the poster titled "Fill in life with colour". The second prize has been shared by Alexander Barkovskiy for the series of posters dedicated to human development issues and Makhbuba Bakhramova for the poster titled "…Was very young". The third prize has been awarded to Kamila Galitskaya for the poster titled "In captivity" from her series of posters on AIDS and drug abuse.

"I was positively surprised by the variety and the quality of the entries received. This proved the good advertisement campaign done by the three partners, the interest in the subject and the motivation and enthusiasm of the participants most of which were young," said Mrs Paolini, UNESCO Representative.

"While a lot of the entry focused on anti AIDS and anti smoke campaigns, the one chosen by the jury got a real consensus of being the most representative of the topic of the context and also the most innovative as artistic and cultural expressions."

Winners will be awarded at the official opening of an exhibition that will take place in May 2008 in Tashkent. The organizers will display there a selection of best entries from the contest as well as posters published by the United Nations on a wide array of human development topics.