Neighborhoods with strong tax performance to receive additional funding

Starting this year, the Tax Committee will publish a ’’Best taxpaying neighborhood’’ ranking based on the level of land and property tax payments. President Shavkat Mirziyoyev announced this today, October 14, during a videoconference dedicated to improving the neighborhood system and ensuring more effective organization of work at the local level.

According to the new system, neighborhoods that rank among the top 100 will have 75 percent of their infrastructure expenses covered by the state budget under the updated ’’Initiative budget’’ program. In addition, each of these neighborhoods will receive an extra allocation of 2 billion soums.

Furthermore, members of the Legislative Chamber of the Oliy Majlis will each be provided with 3 billion soums to improve infrastructure in the neighborhoods within their constituencies. Ten percent of fines collected for sanitation, environmental violations, and illegal construction will be directed to neighborhood budgets. Starting from 2026, 200 billion soums will be allocated annually to neighborhood budgets.

’’Through these five funding sources I mentioned, we are allocating an additional 8.5 trillion soums next year to 2,000 neighborhoods,’’ the President stated.

A month ago, a new resolution was adopted under the ’’Initiative budget’’ program, introducing a system that supports community-led projects in neighborhoods. According to the decision, if residents in a neighborhood take the initiative to repair roads, water systems, schools, or kindergartens, the state will cover half of the expenses. For these purposes, 500 billion soums will be allocated next year to fund 1,000 new projects.

The President placed special emphasis on improving infrastructure in neighborhoods. According to the decree signed last week, 33 districts and 330 underprivileged neighborhoods that will reflect the image of the New Uzbekistan have been identified. Each of the selected districts will receive 100 billion soums, while each of the 330 neighborhoods will be provided with 5 billion soums. Additionally, $100 million attracted from the World Bank and the Islamic Development Bank will be directed toward these goals.

Moreover, an additional 2 trillion soums will be allocated for the infrastructure of “driver” projects in these districts and neighborhoods. In total, more than 7 trillion soums will be directed to finance this program. Regional governors are instructed to select two underprivileged neighborhoods each, and district governors one, allocating 5 billion soums per neighborhood. It was also emphasized that living conditions in 236 neighborhoods must undergo significant improvement.