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German companies to receive benefits for investing in Uzbekistan

19 October 2023 23:05 (UTC+04:00)
German companies to receive benefits for investing in Uzbekistan

German businesses will be able to count on receiving benefits when investing in Uzbekistan, the German publication Deutsche Welle reports, Azernews reports, citing Kun.uz news agency.

Germany included Uzbekistan, Kazakhstan and Georgia on a list of 34 selected countries with which the government will encourage economic cooperation through preferential investment guarantees.

“Those destination countries that have good preconditions for German companies, but have so far received less attention from them, will be encouraged,” the German Ministry of Economic Affairs and Climate Protection explained.

Thus, the German government wants to reduce dependence on China by making it attractive for German companies to operate in alternative markets.

Moreover, the Federal Ministry of Economic Affairs and Climate Protection has changed the rules for providing guarantees to German companies that issue loans for projects to develop foreign mineral deposits. If previously benefits were provided only directly for the extraction of raw materials, now they extend to their processing.

Deutsche Welle believes that an expanded loan guarantee mechanism is of interest to Uzbekistan and Kazakhstan, which are rich in natural resources.

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