Write-off of 1.7 Trillion soums in Debts of Economic Entities
Uzbekistan writes off 1.7 trillion soums of debt imposed by financial sanctions
The government of Uzbekistan has made a significant decision to write off a total of 1.7 trillion soums of debt that had accumulated due to the application of financial sanctions against 2,144 economic entities in the country. This move aims to provide relief to businesses affected by these penalties and support their recovery.
According to the announcement made by the Tax Committee, starting from June 1, 2023, penalties accrued on overdue receivables from foreign economic operations will be cancelled. This means that the businesses will no longer be required to pay these penalties, and any ongoing judicial and enforcement proceedings related to the collection of these penalties will be terminated.
In addition, the maturity of receivables from foreign trade operations will be recalculated from June 1, 2023. This will allow businesses more flexibility and time to settle their outstanding debts, considering the challenging economic circumstances they might have faced.
Furthermore, as a result of a presidential decree, the economic courts will suspend the consideration of claims received for imposing fines of 2.5 trillion soums against 1,631 entities. This decision aims to alleviate the burden on these businesses and provide them with an opportunity to recover and stabilize their operations.
Similarly, measures taken to impose a fine totaling 5.5 trillion soums in relation to 4,170 subjects have also been suspended. This move demonstrates the government’s commitment to supporting businesses and ensuring a favorable business environment in Uzbekistan.
This decision is expected to have a positive impact on the affected economic entities, allowing them to alleviate their financial burdens and focus on rebuilding and growing their businesses. It is hoped that this measure will stimulate economic activity and contribute to the overall recovery and development of the country’s economy.
The government’s decision to write off the accumulated debt is a significant step towards providing relief and support to businesses. It reflects the government’s commitment to promoting a conducive business environment and supporting the growth and prosperity of the economy.
