Uzbek president approves creation of financial center with tax breaks for investors
TASHKENT. July 13 (Interfax) - Uzbekistan has created the Tashkent International Financial Center (TIFC), which will operate under a special legal regime, with international standards for protection of investors and tax breaks.
"The president of Uzbekistan has signed the constitutional law 'On the Tashkent International Financial Center.' This is one of the most important pieces of economic news of the year and the result of reforms that we pursued for almost ten years," the head of the presidential administration, Saida Mirziyoyeva said on social media.
She said the center will operate as a jurisdiction with a special legal regime based on English law, with its own regulatory framework, independent commercial court and legal environment based on international standards.
"These are the mechanisms to which global investors, banks, investment funds and international financial companies are accustomed. This new regulatory ecosystem should make the country more attractive for capital, modern financial services and major international projects," Mirziyoyeva said.
The TIFC has four objectives: to attract investment, develop the capital market, develop the financial services sector and create an ecosystem for innovation and professional services.
Residents of the TIFC will be able to hire foreigners without obtaining work permits, and fulfill monetary obligations (settlements, wage payments, etc.) in foreign currency or cryptocurrency in accordance with contracts. TIFC workers and participants, along with their family members, will be eligible for special entry visas with terms of up to five years.
Center participants will also have the right to repatriate capital or income from work on the territory of the center without restriction. Issues concerning taxation relations between the tax authorities and the center will be regulated by the TIFC's internal documents.
A number of tax breaks will be in effect within the TIFC until January 1, 2076.
