President of Uzbekistan Shavkat Mirziyoyev signed a decree on improving mechanisms for allocating mortgage loans and improving housing conditions for the population in 2024 on April 30.
Starting from May 1, when allocating mortgage loans for the purchase of apartments in the primary housing market, the requirement for insuring the mortgage subject against insurance risks is canceled. The head of state noted that the cancellation of insurance for mortgage housing pledged will allow citizens to save around 5 million sums.
In addition, the government has been tasked with developing a document to improve the mechanism for attracting funds from individuals and legal entities for housing construction (shared participation).
- The project should include the introduction of mandatory notarization of contracts for participation in shared construction of residential buildings.
- The "Transparent Construction" system will include maintaining a list of contractors attracting funds from individuals and legal entities for housing construction, measures of responsibility for contractors starting shared construction without electronic registration, and monitoring procedures for shared construction.
Furthermore, the right to construct multi-story residential buildings is also granted to construction organizations with an electronic rating assessment of "C" and "CC" in the "Transparent Construction" system. Previously, under the new regulations, companies with a rating of CC and above could build multi-apartment buildings, and on the "Yangi Uzbekiston" arrays, companies with a rating of CCC and above, easing the rating requirements slightly.
Builders with a rating of "C" are allowed to build housing up to 5 floors, and those with a rating of "CC" can build housing up to 9 floors.
To replenish the working capital of construction companies participating in the construction of multi-story residential buildings in the "Yangi Uzbekiston" arrays, 500 billion sums will be allocated from the republican budget.
The Ministry of Economy and Finance will place these funds in banks for a period of 18 months, including a preferential period of 12 months, at the Central Bank's base rate, and banks will provide funds as loans to construction organizations with a 2% margin.
The list of developers eligible to receive these loans is compiled by the Ministry of Construction and Housing and Communal Services and the Central Bank based on their rating.
Works on the construction in the "Novy Uzbekistan" arrays of pedestrian walkways, lighting systems, parking lots, landscaping, and greening of territories, including tree planting, are carried out by hokimiyats and the Council of Ministers of Karakalpakstan at the expense of local budgets and the own funds of industry organizations.
To reduce the cost of housing and meet the demand in the primary market, measures have been instructed to identify 20 hectares of non-agricultural land in Karakalpakstan and regions, 60 hectares in Tashkent, and then put them up for auction for the subsequent construction of multi-story buildings.
Until January 1, 2025, the customs duty on the import of electric motor-driven hoists and lifting devices (jacks) is zeroed.
