A new system will be implemented in the regions to ensure rapid economic growth.
A Decree of the President (Decree No. 223, December 20, 2024) has been adopted, titled "On measures to establish a new system for ensuring high rates of economic growth and employment in the regions and increasing the role and responsibility of local self-government bodies in this regard."
According to the Decree, a system will be implemented aimed at enhancing the responsibility and accountability of local self-government bodies and strengthening their initiative, the "ownership" of reforms and changes.
In 2025, target indicators for economic growth, reduction of unemployment, and poverty in the republic and regions have been approved.
Local government bodies will be granted the following financial opportunities and powers:
From January 1, 2025, the complete transfer of sales tax, corporate property tax, land tax for legal entities, income from leasing state property, and at least 50 percent of personal income tax revenues to local (city) budgets;
90 percent of the revenue from the sale of shares (stakes) owned by local self-government bodies will be distributed equally between the republican budget of the Republic of Karakalpakstan, the regional budgets of the provinces, the budget of the city of Tashkent, and the budget of the district (city) where the asset is located.