OREANDA-NEWS. November 14, 2011. The Government of Uzbekistan expects that the gross domestic product (GDP) will grow by 8.4% and industrial output will increase by 9.3% in 2011.

In line with the forecasts, the agriculture production in Uzbekistan will increased by 6%, capital investments by 7.9%. This was announced at the session of the Committee on budget and economic reforms of the Legislative Chamber of Oliy Majlis of Uzbekistan.

During the session, MPs considered main directions of tax and budget policy and the draft State Budget of Uzbekistan for 2012.

It was said that forecast of main macroeconomic figures, main directions of tax and budget policy, as well as draft State Budget for 2012 were developed to ensure sustainable, dynamic and balanced macroeconomic development of the country, modernize Uzbekistan, stable growth of real income of population.

Implementation of the offered measures on tax-budget policy for 2012, incomes of the State Budget will be 21.1% to GDP, expenses 22.1% of GDP, while deficit of the State Budget will not exceed 1% of GDP.

It was said that tax and budget policy envisaged implementation of complex measures on stimulating modernization of economy, support of business entities, small and private businesses, decreasing tax burden, improving investment climate, ensuring macroeconomic growth and improving population well-being.

Tax policy for 2012 is directed at further supporting and stimulating small businesses, single tax payment for industrial enterprises will decrease from 6% to 5%. Decreasing of single tax payment will allow small enterprises and microfirms to save 50 billion soums and direct them to expansion of production, introduction of new technologies and stimulate employees. It is planned to decrease minimal rate of income tax for individuals by one percentage points.

In the result of the adopted measures, tax burden to economy will decrease by 0.7% in 2012 compared to the previous year.

MPs underlined that the concept of tax and budget policy and draft State Budget for 2012 envisages several measures directed at stimulating internal demand.

It was said that the budget envisages further development of social spheres and targeted support of population. It is planned to increase salaries of the budget sector, pensions, stipends, allowances, etc.

Expenses to education sector will increase from 7.3% to GDP in 2011 to 7.5% in 2012, healthcare – from 2.8% to 2.9%. This will allow to finance all planned projects in healthcare system.

It is also planned to carry out reforms of inter-budget relations directed at increasing independence of state bodies and their interest to increase income of local budgets, as well as effective use of territory resources.

It was said that the draft State Budget for 2012 will ensure stable development of Uzbekistan and increase well-being of population.