Uzbekistan announces plan to halve business fines, introduce entrepreneur innocence presumption from 2027
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Uzbek President Shavkat Mirziyoyev announced on Aug. 18 at a meeting with entrepreneurs in Khorezm that business fines will be cut by roughly half on average. From 2027, entrepreneurs will be presumed innocent in disputes with the state until a court proves otherwise. The plan also gives a 10-day correction window for first non-harmful violations.
Key Facts
- All types of business fines will be reduced by an average of 50 percent.
- A presumption of entrepreneur innocence will apply from 2027 in disputes between business and the state.
- A first violation that causes no harm to life, health or property will allow 10 days to correct deficiencies.
- Fifty-one agencies currently have the right to impose financial fines on entrepreneurs.
- Supervisory agencies will pay state duty at every court stage after the first-instance review.
Business Fine Reductions
President Shavkat Mirziyoyev told entrepreneurs in Khorezm on Aug. 18 that all types of business fines will be cut by an average of half. He said 51 agencies now have the right to impose financial penalties and criticised the practice of leaving part of fine revenue with the oversight bodies themselves. "A fine should serve discipline and prevention in the sector, not money collection," Mirziyoyev said. The return of deposits to entrepreneurs for goods purchased by state enterprises will be automated.
Presumption of Innocence
From 2027, the principle of presumption of entrepreneur innocence will be introduced in disputes between business and the state. Under the announced initiative, an entrepreneur will be considered innocent until guilt is proven in court. Until then, no fine or other enforcement measure may be applied to that entrepreneur. A separate warning for first violation rule is being introduced for violations that do not harm life, health or property. Such entrepreneurs will receive 10 days to correct the deficiencies.
Court Duty and Expert Council
Mirziyoyev also announced changes to court dispute procedures with state bodies. Supervisory agencies will be obliged to pay state duty at each subsequent stage of court proceedings after the first-instance review. The Expert Council under the Chamber of Commerce and Industry will receive authority to review disputes in five sectors: customs, construction, sanitation, quarantine and veterinary medicine.
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Uzbekistan announces plan to halve business fines, introduce entrepreneur innocence presumption from 2027
