Table 2.5. Incentives for fixed capital formation introduced since 2021, Million UZS

74. From the WTo perspective, such measures can between 2021 and 2023, primarily due to revitalized ance with Uzbekistan's future WTo commitments. 2023. However, the main aim of this subsidy was not If designed as structural adjustment assistance, ment assistance provided through investment aids." during the winter of 2022/2023, which nearly bank- rupted the industry. Such significant bankruptcies inevitably create major issues for SOEs.30 or prices. Such investment incentives could also be 76. Preferential loans under Every Family is an exempt under Article 6.2. To maintain necessary Entrepreneur, which has governance challenges and needs better transparency mechanisms, also gations, these measures must align with WTO provi- delivered subsidies to fixed capital formation. sions, ensuring that capital support is targeted, 75. Subsidies for fixed capital formation have lation by providing preferential loans; training the doubled in nominal terms, and in terms of the share of public agricultural expenditure, they practical assistance in launching new business; increased from 9.4 percent to 17.4 percent. This of entrepreneurial activities; and creating opportu- (micro-firms). There is evidence of loan approvals expansion of orchards and vineyards, purchase of without the required assessments, a high share breeding livestock, and support for smallholders. of non-performing loans (an estimated 7.9 to 20