Issue 742 - 26.10.2020
26.10.2020

Uzbekistan puts budgetary funds allocated for employment are under the parliamentary control

On 22 October 2020, the Committee on Labour and Social Issues of the Legislative Chamber of Parliament held an event dedicated to the results of the study of the implementation in the Kashkadarya region of the targeted and effective use of state budget funds allocated for the socio-economic development of regions.

As noted in the event, held in the format of video conferencing, the committee examined the allocation of subsidies and grants at the expense of the State Employment Promotion Fund of the Republic of Uzbekistan, as well as the targeted use of funds from the public works fund.

It was emphasized that in the Kashkadarya region the population is 3.29 million people, of which the able-bodied population is 1.83 million, the economically active population is 1.3 million, the employed population is 1.13 million, including the number of the employed population in the official sector of the economy standing at 425,300 (37.7 percent of the employed population), as well as the number of employed population in the informal sector at 703,900 (62.3 percent of the employed population). In the region, the number of unemployed citizens is 175,424 people, the unemployment rate relative to the economically active population is 13.4 percent.

However, over the past eight months, relative to the number of unemployed citizens, the share of citizens who applied to employment assistance centers was 21 percent, the share of people who were awarded unemployment benefits was only 1.6 percent, as well as the share of those who were registered as job seekers. amounted to only 6.6 percent. From this it becomes obvious that not all strata of the population are fully aware of the possibilities of centers for promoting employment of the population, the introduced amenities and benefits.

The effective labor fairs held are very low, in particular, only 1 percent of unemployed citizens were attracted to these events, in addition, only about 13 percent of the offered vacancies were occupied.

In order to ensure employment of the population during a pandemic, during January-August of this year in the region at the expense of the State Fund for the Promotion of Employment, a total of 1952 citizens were allocated subsidies for 4.3 billion soum, in particular, for the construction of greenhouses made of lightweight structures, 661 citizens were allocated 2.9 billion soum, for the purchase of seeds and seedlings for 554 citizens - 441.9 million soum, for the purchase of irrigation means for 429 citizens - 693.7 million soum.

Also, 245 unemployed citizens were allocated 63.2 million soum of subsidies to establish entrepreneurial activity, they passed state registration. In order to train, retrain and improve the qualifications of workers, the regional (city) centers for the promotion of employment of the population of 59 citizens allocated subsidies to employers for 102.3 million soum.

Only 0.3 percent of 778,924 families in the oblast have received subsidies. The Regulation on the procedure for allocating subsidies and grants at the expense of the State Fund for the Promotion of Employment of the Republic of Uzbekistan does not specify the norms on monitoring the facts of the effective use of subsidies allocated to the population, which became the subject of criticism of the deputies.

During the study, the deputies criticized the existence of facts of ineffective use of greenhouses, water pumps, built in some houses at the expense of subsidies.

It was also noted that the population made a number of proposals to expand the areas of allocation of subsidies to ensure employment of the population in a private household.

The event noted that as of September 2020, the amount of 39.8 billion soum was planned for paid public works, until today 34,658 citizens have performed public works worth 35.5 billion soum. In the region, relative to the planned public works, funds were spent by 4.3 billion soum less.

At the same time, opinions and proposals were expressed on the targeted use of budget funds allocated to ensure employment of the population, decent wages for workers, and increase their responsibility.

During the discussion of the information presented, the deputies drew attention to the incomplete use of opportunities for the targeted use of budget funds in order to ensure employment of the population. The deputies also stressed that the norms for the legal solution of some systemic problems in this area are indicated in the Law of the Republic of Uzbekistan on Employment of the Population signed by the President of the country the other day.

Based on the results of the meeting, which was held in the spirit of lively discussion, an appropriate decision was made on the basis of the opinions and proposals expressed.

Reported by the Uzbekistan Daily.

Uzbekistan General

26.10.2020

Resident population of Uzbekistan increases by 477,500 people

The resident population of the Republic of Uzbekistan as of 1 October 2020 is 34.38 million people and, since this year, it has increased by 477,500 people, or 1.4%, the State Statistics Committee of Uzbekistan said. 

In particular, the urban population reached 17.4 million people (50.6% of the total population), rural...

The resident population of the Republic of Uzbekistan as of 1 October 2020 is 34.38 million people and, since this year, it has increased by 477,500 people, or 1.4%, the State Statistics Committee of Uzbekistan said. 

In particular, the urban population reached 17.4 million people (50.6% of the total population), rural...

26.10.2020

Uzbekistan adopts Law on employment of population

In order to regulate relations in the field of employment of the population, the Law of the Republic of Uzbekistan on employment of the population was adopted.

Employment is the activity of citizens, not prohibited by law, related to the satisfaction of their personal and social needs, bringing them earnings (labour...

In order to regulate relations in the field of employment of the population, the Law of the Republic of Uzbekistan on employment of the population was adopted.

Employment is the activity of citizens, not prohibited by law, related to the satisfaction of their personal and social needs, bringing them earnings (labour...

26.10.2020

Number of people recovered from COVID-19 in Uzbekistan exceeds 62,000

As of 23:30 on 23 October 2020, the number of registered cases of coronavirus infections in Uzbekistan made up 64,811 (+87).

Also, 2 patients with coronavirus died and the total reached 542.

Today in the city of Tashkent, the Republic of Karakalpakstan, Tashkent, Andijan, Bukhara, Navoi, Namangan, Samarkand, Syrdarya, Surkhandarya, Ferghana and...

As of 23:30 on 23 October 2020, the number of registered cases of coronavirus infections in Uzbekistan made up 64,811 (+87).

Also, 2 patients with coronavirus died and the total reached 542.

Today in the city of Tashkent, the Republic of Karakalpakstan, Tashkent, Andijan, Bukhara, Navoi, Namangan, Samarkand, Syrdarya, Surkhandarya, Ferghana and...

Finance and Investment

26.10.2020

Loan interest rates in Uzbekistan continue to decline

Interest rates on loans continue to decline, follows from the data of the Central Bank.

In September, average rates on short-term loans fell to 18.8%. For comparison, last September they were 24%. After the collapse in the summer, rates on long-term loans began to grow again and amounted to 20.6%:

Loan rates...

Interest rates on loans continue to decline, follows from the data of the Central Bank.

In September, average rates on short-term loans fell to 18.8%. For comparison, last September they were 24%. After the collapse in the summer, rates on long-term loans began to grow again and amounted to 20.6%:

Loan rates...

26.10.2020

Economic consequences of price regulation in Uzbekistan

A few days ago, the topic of regulating the price of meat by the state was actively discussed on social networks. This is not the first and, unfortunately, not the last time when someone from the outside tries to keep prices artificially. And, as a rule, such an intervention leads...

A few days ago, the topic of regulating the price of meat by the state was actively discussed on social networks. This is not the first and, unfortunately, not the last time when someone from the outside tries to keep prices artificially. And, as a rule, such an intervention leads...

26.10.2020

Customs Committee of Uzbekistan wants to gain access to companies' banking secrets

The State Customs Committee wants to gain access to information constituting bank secrecy, follows from the draft law submitted for discussion.

Now, according to the Bank Secrecy Law, access can be obtained by the Accounts Chamber and the Department for Combating Economic Crimes under the General Prosecutor's Office, if they need...

The State Customs Committee wants to gain access to information constituting bank secrecy, follows from the draft law submitted for discussion.

Now, according to the Bank Secrecy Law, access can be obtained by the Accounts Chamber and the Department for Combating Economic Crimes under the General Prosecutor's Office, if they need...

26.10.2020

US$100 million allocated to Uzbek Export Support Fund

In Uzbekistan, consistent work is being carried out aimed at increasing the export potential and providing comprehensive support to exporting enterprises. In the context of the global economic crisis caused by the consequences of the COVID-19 pandemic, one of the most important priorities is to further stimulate the export activities...

In Uzbekistan, consistent work is being carried out aimed at increasing the export potential and providing comprehensive support to exporting enterprises. In the context of the global economic crisis caused by the consequences of the COVID-19 pandemic, one of the most important priorities is to further stimulate the export activities...

26.10.2020

Over 4.4 trillion soum In loans issued to over 150,000 mini-scale projects in Ubekistan

Within the framework of family entrepreneurship development programs over the past period of 2020, a total of 4.4 trillion soum in soft loans was allocated for the implementation of more than 150,000 projects.

Of the allocated loans, 1 trillion 964 billion soum (44%) were directed to legal entities and individual entrepreneurs,...

Within the framework of family entrepreneurship development programs over the past period of 2020, a total of 4.4 trillion soum in soft loans was allocated for the implementation of more than 150,000 projects.

Of the allocated loans, 1 trillion 964 billion soum (44%) were directed to legal entities and individual entrepreneurs,...

26.10.2020

Greenback resumes decline with daily, weekly losses posted

The dollar weakened slightly against a basket of major currencies on Friday amid uncertainty over a new round of stimulus ahead of the upcoming U.S. elections, with the greenback set to record a weekly decline of around 1%.

U.S. House of Representatives Speaker Nancy Pelosi said another round of COVID-19 aid...

The dollar weakened slightly against a basket of major currencies on Friday amid uncertainty over a new round of stimulus ahead of the upcoming U.S. elections, with the greenback set to record a weekly decline of around 1%.

U.S. House of Representatives Speaker Nancy Pelosi said another round of COVID-19 aid...

26.10.2020

World stock markets bearish along with US dollar

Global stocks treaded water and the dollar fell on Friday as investors were left hanging, waiting to see if a long-awaited agreement on a fresh U.S. coronavirus relief package will finally be reached.

U.S. House of Representatives Speaker Nancy Pelosi said it still was possible to get another round of COVID-19...

Global stocks treaded water and the dollar fell on Friday as investors were left hanging, waiting to see if a long-awaited agreement on a fresh U.S. coronavirus relief package will finally be reached.

U.S. House of Representatives Speaker Nancy Pelosi said it still was possible to get another round of COVID-19...

26.10.2020

EEC develops the international agenda together with business

The development of cooperation of the Eurasian Economic Union with partners in the regions of the Commonwealth of Independent States, the European Union, the Association of Southeast Asian Nations, the Shanghai Cooperation Organisation, the African Union and Latin America were considered during the meeting under chaired by Minister for Integration...

The development of cooperation of the Eurasian Economic Union with partners in the regions of the Commonwealth of Independent States, the European Union, the Association of Southeast Asian Nations, the Shanghai Cooperation Organisation, the African Union and Latin America were considered during the meeting under chaired by Minister for Integration...

Oil and Gas Sector

26.10.2020

Newly built substation opened at Uzbekistan’s Shurtan gas chemical complex

The Chairman of the Management Board of Uzbekneftegaz JSC and members of the Working Group took part in the opening ceremony of this large project.

The Chairman of the Board thanked everyone who took an active part in the completion and delivery of this project in a short time and expressed...

The Chairman of the Management Board of Uzbekneftegaz JSC and members of the Working Group took part in the opening ceremony of this large project.

The Chairman of the Board thanked everyone who took an active part in the completion and delivery of this project in a short time and expressed...

26.10.2020

Brent drops below $42/b with Libya back in business

Oil fell nearly 2% on Friday, finishing lower for the week, in anticipation of a surge in Libyan crude supply and demand concerns caused by surging coronavirus cases in the United States and Europe.

Crude prices sank after Libya’s National Oil Corp (NOC) said it lifted force majeure on exports from...

Oil fell nearly 2% on Friday, finishing lower for the week, in anticipation of a surge in Libyan crude supply and demand concerns caused by surging coronavirus cases in the United States and Europe.

Crude prices sank after Libya’s National Oil Corp (NOC) said it lifted force majeure on exports from...

Agriculture

26.10.2020

US grain benchmark futures resume high ride as global trade gains steam

U.S. wheat, soybean and corn futures rose on Friday, with strong export demand continuing to push prices higher, traders said.

Wheat notched the biggest gains, pushing back toward a six-year high on concerns about drought in major production belts, coupled with a flurry of overseas tenders illustrating the robust global demand.

After...

U.S. wheat, soybean and corn futures rose on Friday, with strong export demand continuing to push prices higher, traders said.

Wheat notched the biggest gains, pushing back toward a six-year high on concerns about drought in major production belts, coupled with a flurry of overseas tenders illustrating the robust global demand.

After...

Metals and Minerals

26.10.2020

Asaka Bank tells about the investment project with Tashkent Metallurgical Plant

The Tashkent Metallurgical Plant is a large-scale project based on a syndicated loan, where Asaka Bank is one of the leading financial partners.

The construction of the Tashkent Metallurgical Plant began in 2017 on the basis of the decree of the President of Uzbekistan On measures to implement the investment project...

The Tashkent Metallurgical Plant is a large-scale project based on a syndicated loan, where Asaka Bank is one of the leading financial partners.

The construction of the Tashkent Metallurgical Plant began in 2017 on the basis of the decree of the President of Uzbekistan On measures to implement the investment project...

26.10.2020

Bullion braves strong greenback on U.S. stimulus optimism

Gold edged up on Friday on hopes that a U.S. stimulus package would eventually be passed, boosting the metal's appeal as an inflation hedge, although a stronger dollar capped gains.

Spot gold  rose 0.1% to $1,906.29 per ounce by 0405 GMT, after slipping more than 1% in the previous session. Bullion...

Gold edged up on Friday on hopes that a U.S. stimulus package would eventually be passed, boosting the metal's appeal as an inflation hedge, although a stronger dollar capped gains.

Spot gold  rose 0.1% to $1,906.29 per ounce by 0405 GMT, after slipping more than 1% in the previous session. Bullion...

26.10.2020

Copper drifts lower as investors question recent rally

Copper eased on Friday as some investors questioned whether recent gains were exaggerated and not fully supported by supply and demand fundamentals.

Benchmark copper stormed to $7,000 a tonne on Wednesday, its highest in 28 months and up more than 50% since late March, partly owing to rumors that China would...

Copper eased on Friday as some investors questioned whether recent gains were exaggerated and not fully supported by supply and demand fundamentals.

Benchmark copper stormed to $7,000 a tonne on Wednesday, its highest in 28 months and up more than 50% since late March, partly owing to rumors that China would...

Energy Industry

26.10.2020

Uzbekistan's energy sector faces dramatic changes

On October 23, 2020, a round table was held on the further reform of the country's energy sector. The online conference was attended by the Minister of Energy, Deputy Ministers of Finance, as well as Investment and Foreign Trade, heads of the Agency for State Assets Management, Uzbekneftegaz, Uztransgaz, National...

On October 23, 2020, a round table was held on the further reform of the country's energy sector. The online conference was attended by the Minister of Energy, Deputy Ministers of Finance, as well as Investment and Foreign Trade, heads of the Agency for State Assets Management, Uzbekneftegaz, Uztransgaz, National...

26.10.2020

Fitch assigns Uzbekhydroenergo B+ rating; outlook stable

Fitch Ratings has assigned Uzbekistan-based hydro power generator Uzbekhydroenergo JSC (UGE) a Long-Term Foreign Currency Issuer Default Rating (IDR) of ‘B+’ with Stable Outlook.

Fitch rates UGE top down minus one notch from the rating of Uzbekistan (BB-/Stable) under Fitch’s "Government-Related Entities Rating Criteria". This reflects our assessment of links with...

Fitch Ratings has assigned Uzbekistan-based hydro power generator Uzbekhydroenergo JSC (UGE) a Long-Term Foreign Currency Issuer Default Rating (IDR) of ‘B+’ with Stable Outlook.

Fitch rates UGE top down minus one notch from the rating of Uzbekistan (BB-/Stable) under Fitch’s "Government-Related Entities Rating Criteria". This reflects our assessment of links with...

Manufacturing industry

26.10.2020

Uzbekistan increases export of textiles by 14.6%

In 9 months of 2020, Uzbekistan exported 455 items of textile products to the amount of US$1.3 billion. Compared to the same period of last year, the export of textiles will increase by US$171.6 million, or 14.6%, the State Statistics Committee of Uzbekistan said.

The main export of textile products from...

In 9 months of 2020, Uzbekistan exported 455 items of textile products to the amount of US$1.3 billion. Compared to the same period of last year, the export of textiles will increase by US$171.6 million, or 14.6%, the State Statistics Committee of Uzbekistan said.

The main export of textile products from...

26.10.2020

Uzbekistan exports vehicles worth US$108.2 million

In 9 months of 2020, Uzbekistan exported 11,135 vehicles worth US$108.2 million, the State Statistics Committee of Uzbekistan said. 

Exports of passenger cars increased by US$35.1 million over the same period of last year or by 47.9%. The largest number of cars were exported to Kazakhstan (8 985).

Countries to which Uzbekistan...

In 9 months of 2020, Uzbekistan exported 11,135 vehicles worth US$108.2 million, the State Statistics Committee of Uzbekistan said. 

Exports of passenger cars increased by US$35.1 million over the same period of last year or by 47.9%. The largest number of cars were exported to Kazakhstan (8 985).

Countries to which Uzbekistan...

Regional News

26.10.2020

Russia keeps key rate at 4.25%

Russia’s central bank kept interest rates at a record low on Friday amid increased geopolitical risks but said there was room for lower rates as the COVID-19 pandemic situation was deteriorating.

The Bank of Russia held its key rate at 4.25%, in line with a Reuters poll that forecast Russia would...

Russia’s central bank kept interest rates at a record low on Friday amid increased geopolitical risks but said there was room for lower rates as the COVID-19 pandemic situation was deteriorating.

The Bank of Russia held its key rate at 4.25%, in line with a Reuters poll that forecast Russia would...

26.10.2020

Russian rouble, equity regain strength, defying bug gloom

The Russian rouble gained on Friday, reaching a one-month peak against the dollar as the central bank left interest rates unchanged at 4.25%.

By 1051 GMT, the rouble was 0.3% stronger against the dollar at 76.37 after touching 76.12, its strongest since Sept. 22. Versus the euro, the rouble was up...

The Russian rouble gained on Friday, reaching a one-month peak against the dollar as the central bank left interest rates unchanged at 4.25%.

By 1051 GMT, the rouble was 0.3% stronger against the dollar at 76.37 after touching 76.12, its strongest since Sept. 22. Versus the euro, the rouble was up...

26.10.2020

China stocks retreat on profit taking

China stocks ended lower on Friday, posting weekly losses, as investors locked in profits in consumer and healthcare stocks on concerns over lofty valuations.

At the close, the Shanghai Composite index was down 1.04% at 3,278.00, while the blue-chip CSI300 index lost 1.25%.

The smaller Shenzhen index ended down 1.9% and the...

China stocks ended lower on Friday, posting weekly losses, as investors locked in profits in consumer and healthcare stocks on concerns over lofty valuations.

At the close, the Shanghai Composite index was down 1.04% at 3,278.00, while the blue-chip CSI300 index lost 1.25%.

The smaller Shenzhen index ended down 1.9% and the...

26.10.2020

China tends to ramp up de-dollarisation by dumping US treasuries

Beijing may be speeding up the diversification of its foreign exchange reserves away from US dollar assets in response to Washington’s potential sanctions, the South China Morning Post reported, citing analysts.

Data from the US Department of Treasury shows China cut its holdings of US government debt for three consecutive months...

Beijing may be speeding up the diversification of its foreign exchange reserves away from US dollar assets in response to Washington’s potential sanctions, the South China Morning Post reported, citing analysts.

Data from the US Department of Treasury shows China cut its holdings of US government debt for three consecutive months...

26.10.2020

Huawei’s revenue growth slows sharply

Chinese telecoms giant Huawei said the company’s revenue growth slowed significantly in the third quarter of 2020 as a result of the Covid-19 pandemic and US sanctions, which had disrupted its business.

Revenue for the September quarter came in at 217.3 billion yuan ($32.55 billion) – up just 3.7 percent from...

Chinese telecoms giant Huawei said the company’s revenue growth slowed significantly in the third quarter of 2020 as a result of the Covid-19 pandemic and US sanctions, which had disrupted its business.

Revenue for the September quarter came in at 217.3 billion yuan ($32.55 billion) – up just 3.7 percent from...

26.10.2020

Clashes in Nagorno-Karabakh continue as U.S. talks prove futile

Fresh clashes broke out between Azerbaijan and ethnic Armenian forces over Nagorno-Karabakh - a day after talks in Washington were held in an effort to end the bloodshed.

Azerbaijan's defense ministry reported conflict in and around the mountainous breakaway region - considered part of Azerbaijan but populated and controlled by ethnic...

Fresh clashes broke out between Azerbaijan and ethnic Armenian forces over Nagorno-Karabakh - a day after talks in Washington were held in an effort to end the bloodshed.

Azerbaijan's defense ministry reported conflict in and around the mountainous breakaway region - considered part of Azerbaijan but populated and controlled by ethnic...

Prices and Statistics

26.10.2020

Commodities

Date: October 26, 2020; Source: Bloomberg.com

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Date: October 26, 2020; Source: Bloomberg.com

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26.10.2020

Exchange Rates

Date: October 26, 2020; Source: the Central Bank of Uzbekistan
1 US DOLLAR USD / UZS 10371.76
1 EURO EUR / UZS 12153.63
1 RUSSIAN ROUBLE RUB / UZS 133.19
1 GREAT BRITIAN POUND GBP / UZS 13393.05
1 KAZAKHSTAN TENGE KZT / UZS 24.16

Date: October 26, 2020; Source: the Central Bank of Uzbekistan

1 US DOLLAR

USD / UZS

10371.76

1 EURO

EUR / UZS

12153.63

1 RUSSIAN ROUBLE

RUB / UZS

133.19

1 GREAT BRITIAN POUND

GBP / UZS

13393.05

1 KAZAKHSTAN TENGE

KZT / UZS

24.16