Commercial banks withdrawn from Uzbek Fund for Reconstruction and Development's co-founders
Uzbekistan, Tashkent, March 26 / Trend D.Azizov /
Uzbek President Islam Karimov has approved a decree according to which the sole founder of the Uzbek Fund for Reconstruction and Development (FRDU) will remain the government through the Finance Ministry.
The document was adopted in order to streamline the FRDU normative legal base.
As reported earlier, the co-founders of the fund included the five largest commercial banks in the republic -- the National Bank of Foreign Economic Activities of Uzbekistan, Asaka, Uzpromstroybank, Agrobank and Mortgage Bank.
The current presidential decree also excludes a provision on the possibility of including international and foreign funds and investors as co-founders.
The fund's means are formed due to over-expected revenues of taxes on profits, on the use of natural resources and the excise tax as well as income from sales of products under the production sharing agreements (PSAs) with foreign partners, and other financial sources.
The fund was created in May 2006 to finance and co-finance major investment projects in the public investment program.
The fund is exempt from all taxes, levies, duties and obligatory payments to the state trust funds, except single social payments.
The fund's loans are issued for 7-15 years.
Currently, its authorized capital has been formed at a rate of $10 billion..
In 2011, the fund provided approximately $600 million to implement 24 projects.