June 06, 2008

Politics:
President Leaves for St.Petersburg to Attend CIS Informal Summit
President of Uzbekistan receives OSCE Chairman
President of Uzbekistan receives Mediator of France
Ombudsmen of Uzbekistan, France sign cooperation agreement
Economics:
Ways for improvement of new Tax Code of Uzbekistan discussed
Uzbek delegation learns from experience of Polish credit unions
Some US$2m of foreign investments attracted to edible oil and food industry
Trastbank launches "Golden Crown"
Society:
Reflection of tolerance principles declaration in national legislation discussed
Students Compete for Making Best Gold-Embroidery Skullcaps
Uzbek National Dance Contest Aimed to ‘Discover Talents’

POLICY

PRESIDENT LEAVES FOR ST.PETERSBURG TO ATTEND CIS INFORMAL SUMMIT

On June 6 the President of the Republic of Uzbekistan Islam Karimov left for Saint-Petersburg in Russia. He will participate at an informal summit of the Commonwealth of Independent States (CIS), Jahon Information Agency reported.

The leaders of the CIS participating countries will discuss the issues related to drafting the Commonwealth’s economic development strategy project document set for 2020, humanitarian topics, as well as main directions of the CIS development, according to report.

PRESIDENT OF UZBEKISTAN RECEIVES OSCE CHAIRMAN

President of Uzbekistan Islam Karimov received OSCE Chairman-in-Office, Finnish Foreign Minister Alexander Stubb in Tashkent on June 4.

During the talks, the sides considered the current state and perspectives of Uzbekistan’s cooperation with OSCE and the Uzbek-Finnish relations, UzA reported.

Alexander Stubb said Finland was interested in development of multilateral cooperation, including cooperation within international organizations.

Uzbekistan has been the member of the OSCE since the early years of independence. The cooperation with this structure covers areas like development of civil society institutes, strengthening regional security and stability, expansion of international economic and humanitarian relations and environment.

The foundations for the Uzbekistan-Finland relations were laid during the visit of the President Islam Karimov to this country in 1992.

Finland was the first EU state to ratify the Partnership and Cooperation Treaty, signed between Uzbekistan and the European Union.

The two countries cooperate not only within the OSCE and the EU, but also in the framework of the UN and the NATO’s Partnership for Peace program.

PRESIDENT OF UZBEKISTAN RECEIVES MEDIATOR OF FRANCE

President of Uzbekistan Islam Karimov received the Mediator of the French Republic Jean-Paul Delevoye on July 4 at Oqsaroy residence in Tashkent.

Welcoming the guest, the head of the state said the French Ombudsman’s visit to Uzbekistan was a good opportunity to familiarize with the process of reforms in the country, UzA reported.

Jean-Paul Delevoye, in his turn, said relations between the two countries were developing steadily in all spheres.

The sides considered issues related to cooperation between Uzbekistan and France.

On June 3, the ombudsmen of Uzbekistan and France signed a cooperation agreement.

During his visit to Tashkent, the Mediator of France held talks with the representatives of the Legislative Chamber, the Senate and a number of ministries and state bodies.

OMBUDSMEN OF UZBEKISTAN, FRANCE SIGN COOPERATION AGREEMENT

The ombudsmen of Uzbekistan and France signed a cooperation agreement on June 3 in Tashkent. The signing took place at the conference on the experience of Uzbekistan and France in human rights protection held at the Legislative Chamber.

The forum participants listened to the reports on the protection of rights and interests of the people, the activities of the ombudsman and cooperation with the law enforcement bodies, UzA reported.

Uzbekistan has achieved a lot in creation of the democratic state and civil society, the Mediator of the French Republic Jean-Paul Delevoye said.

France widely supports the reforms in Uzbekistan, and the two countries have great opportunities for expansion of cooperation, he added.

The Uzbekistan Parliamentary Representative for Human Rights has established close ties with related organizations in more than 40 countries, and France is among them. The Ombudsman of Uzbekistan is Sayyora Rashidova.

The Mediator of France also held talks with the Speaker of the Legislative Chamber Dilorom Toshmuhamedova, as well as representatives of the Senate, ministries and other state bodies.

ECONOMY

WAYS FOR IMPROVEMENT OF NEW TAX CODE OF UZBEKISTAN DISCUSSED

A meeting of the Expert Council of the Business Forum for Fiscal Policy Improvement of the Chamber of Commerce and Industry of Uzbekistan on the "New Tax Code of Uzbekistan: Ways for Improvement" was held in Tashkent on June 6, Uzreport Business Information Portal reported.

Tax system is a key tool and a factor of government policy influencing country's development in general, and private sector in particular. Tax Code is the key regulatory act of the taxation system. The Tax Code adopted in 1997 did not fully meet new objectives and priorities of economic reforms in the country. Since then many changes and amendments were introduced to the Tax Code and a number of taxation-related regulations were adopted. As a result, tax legislation lost its systemic nature, became non-transparent, and the Code could no longer be the answer to many tax-related questions, and it became possible to interpret its provisions differently.

To this end, by the decision of the Government, new Tax Code of Uzbekistan was developed and took effect since 1 January 2008. New Tax Code is a law of direct action incorporating all taxes and contributions to the government, i.e. it encompasses entire "tax field" of the country, and reflects special features of taxation in various sectors of the economy.

According to the Law on adoption of Tax Code, the Government has been undertaking comprehensive monitoring and analysis of its effectiveness in 2008-2009. The Business Forum was arranged for the purposes of assistance in implementation of this monitoring, discussion of the norms and provisions of Tax Code with all stakeholders, which requires further improvement and adjustment in order to exclude existing ambiguities and contradictions and develop joint proposals focused on further improvement of the norms and provisions of tax legislation.

At the same time, the objective of the roundtable is to facilitate regular exchange of opinions among stakeholders for long-term cooperation on improvement of the norms of tax legislation and its practical implementation.

Chamber of Commerce and Industry of Uzbekistan, UNDP Business Forum of Uzbekistan Project, and Public Finance Reform Project co-hosted this event. The officials of Oliy Majlis, Cabinet of Ministers, Ministry of Finance, Ministry of Economy, State Tax Committee, Chamber of Commerce and Industry, representatives of private sector and international organizations as well as taxation and tax administration experts attended the Business Forum.

Issues of practical implementation of the norms and provisions of New Tax Code as well as specific issues of corporate taxation, deadlines and procedures for payment of taxes were discussed at the event. Issues of labor and payroll taxation including the procedures for calculation and payment of income tax, flat social tax, insurance premiums, and grounds for and targeted nature of appropriate benefits were subject to intense discussions. Special focus was on the issues of indirect taxation in the agenda of Business Forum.

Debates were heated in the course of discussion of tax audits, streamlining individual income taxation scale, rates and procedures for payment of flat social tax and indirect taxes including value-added tax.

Exchange of opinions enabled to develop specific recommendations and practical proposals to improve the norms and provisions of Tax Code, which will be submitted for review to the special interagency group for comprehensive monitoring and analysis of practical implementation of Tax Code of Uzbekistan.

UZBEK DELEGATION LEARNS FROM EXPERIENCE OF POLISH CREDIT UNIONS

A delegation of the representatives of the Association of Credit Unions of Uzbekistan visited Poland on May 24-31 to study the country's unique experience in developing the system of financial cooperation.

The country, where every 25th citizen is a member of one of the 67 savings-credit cooperatives (SKOKs) and the cooperatives system itself is at the same level of sophistication as the banking system, impresses by the effectiveness of the operation of its functional mechanisms.

During the visit, the members of the delegation fo the Association of Credit Unions met with the managers of all organizations supporting the system of credit unions in Poland. The parties discussed the organizational principles of the operation of the national system of credit unions (KSKOK), the system of staff training, provision of services on the insurance of deposits and property of credit unions, the provision of services on life insurance of the SKOKs' borrowers, the provision of investment services to credit unions and their members, the system of supervision and monitoring of their activity the informational systems of record-keeping and reporting.

The members of the Uzbek delegation also visited the credit unions and their branch offices, where they looked closely at the model of the organisation of daily operations, the system of security and internal control, and the functional responsibilities of the staff, as well as the principles of servicing SKOK members.

SOME US$2M OF FOREIGN INVESTMENTS ATTRACTED TO EDIBLE OIL AND FOOD INDUSTRY

Since the beginning of the year the enterprises of the Yog-Moy va Ozik-Ovkat Sanoat (edible oil and food industry) Association attracted some US$2 million in foreign investments.

Over 30 projects were implemented on the re-equipment of the industry's enterprises, development of production and expansion of the assortment of products, Uzreport Business Information Portal reported.

In the process of modernization, particular attention is paid to production localization and the manufacturing of import-substituting products. Thus, the Golden Oil LLC (Samarkand region) has set up the production of soy oil, and the Effective Oil private company in Ferghana region has launched the apricot oil manufacturing.

The Guliston Yog Extract company has installed Dutch filters, and Chimboy Moy – Russian bottling equipment.

About 25% of the edible oil manufactured in Uzbekistan today is supplied by over 70 enterprises that make up a part of the association. They have set up the production of over 100 types of products, including edible and industrial oil, margarine, sugar, soap, mineral water, etc. Over 30 small and private companies specialized in the production of foodstuffs, manufacture confectionary, dairy, baked and macaroni products.

TRASTBANK LAUNCHES "GOLDEN CROWN"

Trastbank private open joint-stock exchange bank made presentation of Golden Crown new money transfer service on June 4 at Markaziy Hotel in Tashkent.

The presentation of the new system was held by Asad Khasanov, chief specialist of "Golden Crown - money transfers" division.

Trastbank in the first bank signed agreement with Golden Crown system. Technology supplier of "Golden Crown - money transfers" is Center of Financial Technologies, one of largest innovative companies working in IT solutions market for bank business. GFT company is leader of Russin market of bank automation.

Golden Crown renders service not only in money transfers but also presents bank card, social card, mobile services, transportation cards, advance-paid cards and loyalty system.

Last year Golden Crown emitted 8.5 million cards which shows 71% growth, general turnover of system consists US$100 billion. Standard transfer tariff amounts 1.5%.

Besides, the bank also presented new unique type of bank service of Internet banking. Internet banking is service enabling to control bank account through Internet. For complete work with Internet-banking service enough to have computer and access to internet.

Internet banking is more perfected modification of Client-bank system Client can receive on-line information on bank account status. Settlements between client and bank are fulfilled on-line. Client can control all stages of payment documents processing and information on payments made to clients account.

Performance capabilities of this service enable client to send to bank all types of financial documents, receive bills and documents on his accounts in bank for all periods of time.

Service of Internet banking costs 20,000 soums. E-documents confirmed with e-signatures of parties bear legal power equivalent to signed and sealed paper documents.

Bank specialists constantly work on widening types of services and their quality. Currently the bank renders the following services on economically founded tariffs: opening and keeping accounts in national and foreign currency for physical bodies and legal entities, attraction and distribution of assets in national and foreign currency in forms of credits, deposits and other forms of investment accepted in international bank practice.

At the moment Trastbank has 2 subsidiaries (branches) and more than 11 mini banks in Tashkent, centers of retail services in Namangan, Samarkand, Kitab, Navoi, Andijan, Karshi, Termez and Bukhara.

SOCIETY

REFLECTION OF TOLERANCE PRINCIPLES DECLARATION IN NATIONAL LEGISLATION DISCUSSED

Reflection of the norms of the UNESCO Declaration on the Principles of Tolerance in the national legislation and the legal practice in Uzbekistan was considered at the round table in the Legislative Chamber on June 3.

The forum was organized by the Committee for international affairs and inter-parliamentary relations and chaired by the committee chairman M.Teshaboyev.

In the years of independence, Uzbekistan joined more that 60 human rights documents and has been making a worthy contribution to the efforts of the international community in this area, the forum participants said.

The particular attention is paid to the implementation and wide introduction of rules and norms of the Declaration on the Principles of Tolerance into the national legislation.

Of particular importance is the signing of the Decree “On the program of activities devoted to the 60th anniversary of the Universal Declaration of Human Rights” by the President on 1 May 2008.

The round table participants discussed the experience of Uzbekistan in strengthening ethnic unity and inter-religious consent, which are the essential norms of tolerance.

STUDENTS COMPETE FOR MAKING BEST GOLD-EMBROIDERY SKULLCAPS

This week the regional stage of the contest on making the gold-embroidery skullcaps among the students of academic lyceums and professional colleges was held in Samarkand, according to Jahon Information Agency.

The Women’s Committee of Uzbekistan jointly with the Center for secondary special, professional education and the Academy of Arts of the country organized the event, the report said.

The groups of the Samarkand pedagogical, Toylok pedagogical and the First Samarkand Pedagogical colleges took part at the contest held with an aim to accustom the youth to the traditions of national culture and spiritual values, to bring up the forthcoming generation respecting its ancient history and invaluable heritage of the Uzbek people.

In their skullcaps and embroidery items the contenders are reported to have brightly demonstrated the ancient traditions of national arts in harmonic combination with modern style. In such a way they have showcased their abilities and masterly skills in gold-embroidery.

On the outcomes of the contest the young embroideresses of skullcaps from the Samarkand pedagogical college secured the first place. They have been granted the right to participate at the Republican stage.

UZBEK NATIONAL DANCE CONTEST AIMED TO ‘DISCOVER TALENTS’

The nationwide contest of national dance among the young dancers ended at the Uzbek National Academic Drama Theater in Tashkent.

The Ministry for Culture and Sports of Uzbekistan alongside with the Uzbekraks National Association organized the event, the Uzbekistan National News Agency reported.

Uzbekistan pays a particular attention to further developing the arts of national dance, reviving and enriching its historical traditions and schools. The foundation of the Uzbekraks National Association on the initiative of the Uzbek Leader in 1997 has served as an important step in this cause.

The contest of young dancers held annually in the country in memory of prominent representative of the Uzbek national arts Mukarrama Turgunbaeva is aimed at discovering the new talents, according to the report.

Thus, on the outcomes of the contest the first place went to the dancer from the “Syrdaryo navolari” (‘Melodies of Syrdaryo’) Song and Dance Ensemble Nargiza Bektemirova.

The student of the Abdulla Kadyri Tashkent State Institute of Culture Malika Kurbanova and dancer of the “Uzbekiston” Song and Dance Ensemble at the Directorate of Academic and Folk Groups named after Mukhiddin Kari-Yakubov Dilfuza Kadirova were awarded the second place.

The artist of the Namangan Regional Theater of Music Drama and Comedy named after Alisher Navoi Durdona Ismanova and dancer of the “Aykulash juldizlari” Karakalpak State National Folk Ensemble Kalligul Sarsenbaeva secured the third place.