12.24 AM Wednesday, 17 April 2024
  • City Fajr Shuruq Duhr Asr Magrib Isha
  • Dubai 04:36 05:52 12:21 15:49 18:45 20:02
17 April 2024

The Uzbek Minister of Digital Technologies praises the UAE's continued support for the IT sector in Uzbekistan

By ​Dubai - Ali Alzakary

The Minister of Digital Technologies of Uzbekistan, Sherzod Shermatov, praised the continued support provided by Dubai and the UAE to his country in the technical sector, as well as in other fields. He said in statements to Emirates247, on the sidelines of the Uzbekistan Outsourcing Conference, held in the Dubai International Financial Center (DIFC): The relations between the UAE and Uzbekistan are excellent, benefiting the technology industries in our country. This cooperation is also evident in our organization of a large conference in Dubai.

He added: Thanks to the great support from the UAE government, we implemented joint projects with the UAE, such as the "One Million Uzbek Coders" program, which is an extension of the "One Million Arab Coders" initiative, launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.

He explained that the UAE welcomed the great success of the Uzbek version, which surpassed the original version in the number of graduates, and was considered one of the most successful projects.

He continued: Another joint effort is the mGovAward, which supports startups by providing recognition and funds. These initiatives received direct support from the President of Uzbekistan, Shavkat Mirziyoyev, after he learned of their success, and this partnership has strengthened the growth of the startup ecosystem in Uzbekistan.

He added: We were also inspired by the successful experience of the Dubai International Financial Center, and we are establishing the "Enterprise Uzbekistan" International Digital Technology Center to create a welcoming environment for those looking to expand in Uzbekistan, ensuring their sense of belonging.

"Enterprise Uzbekistan" will provide international companies not only through the tax benefits but also by ensuring a strong legal framework that protects their intellectual property and incorporates the principles of common law. The goal is for international companies to feel safe when they come to Uzbekistan. This initiative is about creating a safe and enabling environment for these institutions. 

Destination for outsourcing

Regarding the growth of the information technology sector in Uzbekistan and his country’s vision for the future of this sector, Sherzod Shermatov said: Uzbekistan is emerging as a new outsourcing destination for several reasons:

First, Uzbekistan has a young and growing population. Our population has increased by more than 16 million, consist of over 36 million citizens, and continues to grow annually. We invest heavily in improving the quality of education to ensure that the next generation of graduates is well prepared for careers in IT and outsourcing services.

Secondly, we are working to create competitive conditions and comprehensive support for IT companies to operate in Uzbekistan. This includes tax incentives. IT companies are exempt from paying taxes, and their employees enjoy a lower income tax rate compared to other industries.

In addition, we offer key support programs “Zero Risk”, “Regional Headquarters” and services like “OneStopShop” and “Virtual Office” for foreign IT and BPO companies interested in the Uzbek market. 

The Uzbek Minister of Digital Technologies concluded his speech by saying: One of the benefits is our unique program designed to support businesses in mitigating the risks associated with entering a new market. Uzbekistan offers a year-long risk minimization initiative called “Zero Risk”, which includes the provision of fully equipped offices and compensation for training and human resources expenses throughout the entire year. Then, if these companies find their presence in Uzbekistan worthwhile and successful, they can continue operations, and if not, they can simply withdraw without incurring any costs.

This approach has led to a twenty-fold increase in the number of companies with foreign capital in just two years, making Uzbekistan an attractive destination for international companies to take advantage of outsourcing opportunities. He concluded by saying: "We are crafting the world's finest condition for outsourcing. Outsource with confidence - choose Uzbekistan".