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Ease of Doing Business in

Uzbekistan

Uzbekistan Download Profile (1809.3KB, pdf)
Region Europe & Central Asia
Income Category Lower middle income
Population 31,299,500
GNI Per Capita (US$) 2,150
City covered Tashkent

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 87 82 down
5
63.03 62.68 down
0.35
Starting a Business 25 23 down
2
93.93 93.91 up
0.02
Dealing with Construction Permits 147 147
-
59.79 59.58 up
0.21
Getting Electricity 83 78 down
5
71.81 71.32 up
0.49
Registering Property 75 81 up
6
66.23 65.25 up
0.98
Getting Credit 44 42 down
2
65.00 65.00
-
Protecting Minority Investors 70 78 up
8
56.67 55.00 up
1.67
Paying Taxes 138 139 up
1
59.06 57.96 up
1.10
Trading across Borders 165 166 up
1
44.31 44.31
-
Enforcing Contracts 38 37 down
1
67.26 67.26
-
Resolving Insolvency 77 72 down
5
46.29 47.24 down
0.95

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:

147

DB 2016 Rank:

147

Change in Rank:

0

DB 2017 DTF (% points):

59.79

DB 2016 DTF (% points):

59.58

Change in DTF (% points):

up0.21

STANDARDIZED WAREHOUSE
Estimated value of warehouse UZS 278,637,210
City Tashkent
Indicator Uzbekistan Europe & Central Asia OECD high income
Procedures (number) info_outline 23 15.1 12.1
Time (days) info_outline 176 160.7 152.1
Cost (% of warehouse value) info_outline 3.8 4.2 1.6
Building quality control index (0-15) info_outline 11 11.3 11.3
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    Request and obtain land clearance from Tashkent City Hokimiyat (submission of an application for a land plot and of approved materials)

    Agency: District Governor's Office

    BuildCo applies to the Hokimiyat of Tashkent for the land allotment. In the application BuildCo must specify the purpose for which the land is required, its location and size, the approximate dates of commencement and completion of construction, details of a legal entity or an individual passport data.

    The Hokimiyat forwards the application to the Main Department of Architecture and Construction (Главное Управление Архитектуры и Строительства – GUAS) for consideration. Main Department of Architecture and Construction will send the head architect of the district where the warehouse is planned to conduct an on-site inspection. The head architect of the district will prepare a map of 1/2000 scale for the land plot. Once the map is prepared, GUAS establishes a land commission to consider the land allotment case. The land commission consists of different agencies including engineering communications, utilities and government agencies. The land commission gets together every week to examine the cases and approve the decision. By law, these approvals have to be obtained by the GUAS in a one-stop shop principle; however, in practice the building company obtains the approvals by itself.

    After the land allotment document is signed and approved by all members of the commission, the Hokimiyat has to send the application package to the Tashkent General Plan (Tashgenplan) for obtaining their approval. This is needed because Tashkent has a general plan and any new construction has to meet the zoning rules and architectural norms set by the General Plan. GenPlan will approve the land allotment application and send it back to GUAS, which will forward the application to the Hokimiyat. There is a separate commission at the Hokimiyat that will do the signing in about 1 week. After that, the Hokimiyat will forward the application to the Cabinet of Ministers of the Republic of Uzbekistan for final approval. The final approval is obtained from the Cabinet of Ministers.

    According the the Government Resolution No. 150 from May 2013, the cost for the land allotment is the following:

    1. Land selection - For the preparation and coordination of materials for selection of land: 2.5 * minimal salary
    2. For the preparation and approval of materials for the allotment of land: 2 * minimal salary
    3. For work on the stakeout of land boundaries: 2 * minimal salary
    4. For state registration of rights to land: 0.5 * minimal salary
    Total: 7 * minimal salary

    30 days UZS 826,000
    2

    Register the land plot's precise location (red lines) by "UzGAShKLITI"

    Agency: State Design Research Institute of Engineering Studies in Construction, Geoinformatics and Urban Cadastre - "UzGAShKLITI"

    A specialized agency draws the precise location of the land plot on a map (usually in red color, hence the name "red lines").

    2 days no charge
    3

    Obtain approval of the land allotment decision from the electricity provider

    Agency: Tashkent City Electric Network Enterprise OJSC

    Main Department of Architecture and Construction (GUAS) issues a document that specifies all agencies which have to provide approval for the land allotment decision. BuildCo has to take that document and obtain approvals from the specified agencies. By law, these approvals have to be obtained by the GUAS in a one-stop shop principle, however, in practice the building company obtains the approvals by itself.

    3 days no charge
    4

    Obtain approval of the land allotment decision from the water and sewage company

    Agency: Water and Sewerage Authority

    Main Department of Architecture and Construction (GUAS) issues a document that specifies all agencies which have to provide approval for the land allotment decision. BuildCo has to take that document and obtain approvals from the specified agencies. By law, these approvals have to be obtained by the GUAS in a one-stop shop principle, however, in practice the building company obtains the approvals by itself.

    3 days no charge
    5

    Obtain approval of the land allotment decision from the sanitary and epidemiological agency

    Agency: State Sanitation and Epidemic Supervision Authority

    Main Department of Architecture and Construction (GUAS) issues a document that specifies all agencies which have to provide approval for the land allotment decision. BuildCo has to take that document and obtain approvals from the specified agencies. By law, these approvals have to be obtained by the GUAS in a one-stop shop principle, however, in practice the building company obtains the approvals by itself.

    3 days no charge
    6

    Obtain approval of the land allotment decision from the fire safety agency

    Agency: State Fire Safety Supervision Agency

    Main Department of Architecture and Construction (GUAS) issues a document that specifies all agencies which have to provide approval for the land allotment decision. BuildCo has to take that document and obtain approvals from the specified agencies. By law, these approvals have to be obtained by the GUAS in a one-stop shop principle, however, in practice the building company obtains the approvals by itself.

    3 days no charge
    7

    Obtain approval of the land allotment decision from the Ministry of Emergency Situations

    Agency: Ministry of Emergency Situations

    Main Department of Architecture and Construction (GUAS) issues a document that specifies all agencies which have to provide approval for the land allotment decision. BuildCo has to take that document and obtain approvals from the specified agencies. By law, these approvals have to be obtained by the GUAS in a one-stop shop principle, however, in practice the building company obtains the approvals by itself.

    3 days no charge
    8

    Request and obtain developed geologic and topographic maps of land plot

    Agency: State Design Research Institute of Engineering Studies in Construction, Geoinformatics and Urban Cadastre - "UzGAShKLITI"

    The construction and architecture department of the city must, within 18 working days, develop the geodesic/topographic map of the land plot through Main Department of Architecture and Construction. In Tashkent, the maps are developed by State Enterprise for Engineer and Geological Research (ГУП «УзГАШКЛИТИ» "). However, in practice the building company has to obtain these maps.

    The technical conditions for connecting to utilities and the architectural planning terms (APZ) can be obtained in parallel with map development.

    14 days UZS 1,200,000
    * 9

    Request and obtain technical conditions for the connection to water and sewerage

    Agency: Water and Sewerage Authority

    BuildCo must obtain technical terms for the connection to the water and sewerage systems. The terms are necessary for preparing project documentation.

    BuildCo must submit the following information to the local water and sewerage authority:
    • For water: the load of water demand, the calculation of water height, and the expected date of commencement of water consumption
    • For sewerage: the calculation of sewage volume, qualitative composition of the sewage, specification of whether the any plans for internal treatment, and the expected date the sewerage system is to be put into operation

    By law, this procedure should be completed in 3 business days. However, in practice, it takes longer.

    7 days no charge
    * 10

    Request and obtain technical conditions from the electricity provider company

    Agency: Tashkent City Electric Network Enterprise OJSC

    BuildCo has to obtain technical conditions from the electricity provider. The technical conditions are necessary for preparing project documentation.

    10 days no charge
    11

    Request and obtain architectural and technical objectives

    Agency: Main Department of Architecture and Construction

    Based on the terms for designing the building in accordance with engineering supply norms and regulations, the technical conditions, and the decision of the Hokimat on the land plot (all provided by the department on architecture and construction of the city), the Main Department of Architecture and Construction develops the architectural planning terms (APZ, parts I and II).

    The fee is established by Government Resolution No. 150 (dated May 30, 2013) was set at 4 MMW.

    30 days UZS 472,000
    12

    Request ecological examination

    Agency: Private Licensed Organization

    BuildCo should submit the project and pre-project documentation for ecological examination to a private expert firm. The expert firm will provide the examination and will also obtain the conclusion from the State Ecological Examination body of the Committee on the Protection of Nature of the city of Tashkent. This document is necessary for subsequent submission to the territorial Inspection of State Architectural Building Supervision of the city of Tashkent.

    20 days UZS 725,000
    * 13

    Request and obtain examination of project documents on their compliance with fire safety and seismic stability

    Agency: State Architectural and Construction Inspection (GASN)

    BuildCo must submit the construction plans for state examination on their compliance with fire safety and earthquake stability.

    14 days UZS 236,000
    * 14

    Request and obtain sanitation clearance for the project

    Agency: State Sanitation and Epidemic Supervision Authority

    BuildCo must obtain project clearance from the state sanitation and epidemic supervision authority.

    14 days no charge
    * 15

    Request and obtain project clearance from the local water and sewerage authority

    Agency: Water and Sewerage Authority

    BuildCo must obtain project clearance from the local water and sewerage authority. This authority checks whether the project and other relevant documentation conform to construction rules and technical terms. BuildCo enters into a contract with the local water and sewerage authority on technical supervision of the construction.

    7 days no charge
    16

    Request and obtain construction permit from State Architectural and Construction Inspection (GASN)

    Agency: State Architectural and Construction Inspection (GASN)

    The permit for construction works is issued by the local branch of the architecture and construction authority. Although the permit should be issued within 5 days, in practice it takes longer.

    An inspector from the local branch of the architecture and construction authority undertakes oversight of the construction. There is no permit application fee. However, for the oversight/inspection phase, the company enters into a contract with the authority at a cost of 0.03% of the value of the warehouse.

    The company must submit the following documents:
    • Application form
    • Positive evaluation summary from the public examination bodies on the working project
    • Copy of the general plan and elevations of the building approved by the architectural bodies, or the protocol of the Town-Planning Council of the Main Department on Architecture and Construction of the city of Tashkent
    • Address list of construction sites

    The Inspectorate registers the construction project and issues the building permit. BuildCo starts construction of the warehouse and notifies the Inspectorate of the commencement of works within a month of receiving the building permit.

    10 days UZS 83,591
    * 17

    Hire a technical supervision company for construction supervision

    Agency: Private construction supervision company

    There are three levels of construction supervision in Uzbekistan: (1) internal supervision or author's supervision, (2) technical supervision conducted by an external firm and (3) government supervision. The technical supervision companies usually charge around 2-3% of the construction costs.

    1 day UZS 6,965,930
    18

    Receive inspection from the State Architectural and Construction Inspection (GASN)

    Agency: State Architectural and Construction Inspection (GASN)

    Inspection is carried out by State Architectural and Construction Inspection (GASN). GASN will assign one inspector for the specific construction who will be responsible for conducting the inspections throughout the construction period.

    1 day no charge
    19

    Connect to water and sewerage services

    Agency: Water and Sewerage Authority

    5 days no charge
    20

    Call and establish Working Commission and submit documents to the Commission

    Agency: Working Commission

    After completion of the construction works, BuildCo requests the creation of a Working Commission composed of the representatives of district architects, the sanitation supervision authority, the state fire supervision authority, the ministry on emergency situations, the city committee on nature protection, and others.

    The timeframe under the Construction rules, registered by Ministry of Justice No.545, for establishing Working Commission is 5 working days. However, in practice it takes 14 days, as the Commission only meets once every two weeks and in case the file doesn’t make it to the first meeting, it would almost certainly be reviewed at the second one.

    BuildCo must submit the following documents to the Working Commission:
    • The list of organizations that participated in the building and construction works, along with the type of work done by these organizations, the family names of the responsible engineers and technical employees
    • The full set of design drawings of the property developed by the project organizations
    • Certificates, technical passports, and other documents certifying the quality and safety of the materials, constructions, and details used in the building and construction works
    • Other relevant documents

    14 days no charge
    21

    Receive inspection and obtain certificate of completion from Working Commission

    Agency: Working Commission

    After the inspection, an act of acceptance is drafted and endorsed by all members in no more than 5 working days.

    The Working Commission will inspect, among other things:
    • The compliance of the building and construction works with the requirements on labor protection, fire safety, environment protection, and its prevention of human-caused emergency situations, and so forth
    • The separate constructions and units of the warehouse

    If its findings are favorable, the commission then accepts the construction for subsequent presentation to the State Acceptance Board.

    The Working Commission issues the following:
    • The certificate of allowable concentration of radon in the completed constructions
    • The certificate of acceptance of the temporary buildings and constructions
    • The certificate of readiness of the construction for presentation to the State Acceptance Board

    7 days no charge
    22

    Request and obtain certificate of acceptance from the Tashkent City Hokimat

    Agency: Hokimat

    The Hokim (the head of the city government) decides whether to approve the Working Commission’s act of acceptance within 2 days. However, in practice, this takes longer. There is no fee involved. The decision of Hokim is further needed for registering the building with the cadastre authorities.

    BuildCo should submit to the State Acceptance Board, among other documents, the following documents:
    • The certificate on elimination of defects brought to light by the Working Commission
    • The approved project and estimate documentation
    • The list of project and research organizations that participated in construction
    • Other relevant documents

    14 days no charge
    23

    Register the new construction with the cadastre

    Agency: Cadastre

    BuildCo must register the new construction with the real estate cadastre of the relevant district of the city of Tashkent. The registration takes around 2 weeks in Tashkent and costs 50% of MMW for legal entities.

    14 days UZS 59,000

    * Takes place simultaneously with previous procedure.

  • Measure of quality
    Answer Score
    Building quality control index (0-15) 11.0
    Quality of building regulations index (0-2) 2.0
    How accessible are building laws and regulations in your economy? (0-1) Available online; Free of charge. 1.0
    Which requirements for obtaining a building permit are clearly specified in the building regulations or on any accessible website, brochure or pamphlet? (0-1) List of required documents; Fees to be paid; Required preapprovals. 1.0
    Quality control before construction index (0-1) 1.0
    Which third-party entities are required by law to verify that the building plans are in compliance with existing building regulations? (0-1) Licensed architect; Licensed engineer. 1.0
    Quality control during construction index (0-3) 2.0
    What types of inspections (if any) are required by law to be carried out during construction? (0-2) Inspections by in-house engineer; Inspections by external engineer or firm; Unscheduled inspections; Inspections at various phases. 1.0
    Do legally mandated inspections occur in practice during construction? (0-1) Mandatory inspections are always done in practice. 1.0
    Quality control after construction index (0-3) 3.0
    Is there a final inspection required by law to verify that the building was built in accordance with the approved plans and regulations? (0-2) Yes, final inspection is done by government agency; Yes, in-house engineer submits report for final inspection; Yes, external engineer submits report for final inspection. 2.0
    Do legally mandated final inspections occur in practice? (0-1) Final inspection always occurs in practice. 1.0
    Liability and insurance regimes index (0-2) 1.0
    Which parties (if any) are held liable by law for structural flaws or problems in the building once it is in use (Latent Defect Liability or Decennial Liability)? (0-1)  Architect or engineer; Professional in charge of the supervision; Construction company. 1.0
    Which parties (if any) are required by law to obtain an insurance policy to cover possible structural flaws or problems in the building once it is in use (Latent Defect Liability Insurance or Decennial Insurance)? (0-1) No party is required by law to obtain insurance . 0.0
    Professional certifications index (0-4) 2.0
    What are the qualification requirements for the professional responsible for verifying that the architectural plans or drawings are in compliance with existing building regulations? (0-2) Minimum number of years of experience; University degree in architecture or engineering. 1.0
    What are the qualification requirements for the professional who supervises the construction on the ground? (0-2) Minimum number of years of experience; University degree in engineering, construction or construction management. 1.0