Uzbek President approves measures for the further development of the capital market

Tashkent, Uzbekistan (UzDaily.com) -- President of Uzbekistan Shavkat Mirziyoyev signed a resolution “On measures to further develop the capital market”.

The head of Uzbekistan approved a program for the development of the capital market in 2021–2023, targets achieved as a result of the implementation of the Program, a roadmap for the implementation of the Program and a list of enterprises whose shares are subject to public offering through the stock exchange in 2021–2023.

The resolution notes that bringing the total volume of securities in free circulation to at least 5% of GDP is the main goal of the program.

On the recommendation of the underwriter, starting from 1 January 2023, domestic issuers can place their shares on foreign stock markets after a preliminary placement on the republican stock exchange.

The results of an IPO or SPO public offering of shares are not subject to reconsideration.

The Central Bank was instructed to ensure the transfer of settlement accounts of the Central Securities Depository State Unitary Enterprise to the Central Bank by 1 November 2021.

The roadmap for the implementation of the Capital Market Development Program in 2021 - 2021 provides for the implementation of 40 measures.

In particular, it is planned to introduce new types of instruments (futures, including currency, options, ETFs, exchange-traded bonds), to abolish the requirement for collateral for the issuance of corporate bonds, to introduce Sukuk bonds based on the principles of Islamic finance, etc.

It is planned to reduce the state share in the Uzbekistan Stock Exchange (UZSE) to 25% plus one share through its sale. A mobile application of the UZSE will be developed to carry out transactions with securities online, with the ability to connect brokers.