Page 154 - Theoretical and Practical Interpretation of Investment Attractiveness

being implemented step by step to increase the activity of the financial market by expanding
the size of the economy.
Decree of the President of the Republic of Uzbekistan No. PF-4720 dated April 24,
2015 “On measures to introduce modern methods of corporate governance in joint-stock
companies” identified a number of tasks aimed at ensuring serious changes in this direction:
- in-depth analysis of international experience and on this basis the introduction of
modern methods of corporate governance, increasing the efficiency of use of production,
investment, material, technical, financial and labor resources;
- creation of joint-stock companies with the participation of foreign capital, creation of
favorable conditions for the widespread attraction of foreign investment in joint-stock
companies;
- radical reorganization of the management structure of joint-stock companies, taking
into account the liquidation of old divisions and positions, the introduction of new divisions
and positions in accordance with modern international standards and the requirements of a
market economy;
- increasing the role of shareholders, including minority ones, in ensuring the strategic
management of joint-stock companies and effective control over management personnel;
- training of management personnel on the basis of cooperation with leading foreign
educational institutions and raising their professional level, as well as attracting highly
qualified foreign managers to senior positions in joint-stock companies 168 .
During 2015, the following events were carried out in Uzbekistan in connection with
the implementation of the tasks specified in this decree:
a complete inventory of the activities of all joint-stock companies was carried
out, as a result of which decisions were made to liquidate 462 companies or 43 percent of
them or to transfer to another organizational and legal form;
In 623 joint stock companies, based on a standard structure, changes were made
to the organizational and legal form and charter of joint stock companies, and attention was
paid to the selection of managers in them. Taking into account the peculiarities of corporate
structures, a regulation has been developed on hiring managers on a competitive basis;
15 state joint stock companies were transferred to the private sector and the
word “state” was removed from their names;
721 managers of 371 joint stock companies were certified. Of these, 350 (49%)
were certified, 228 (31%) were conditional, and 143 (20%) failed to meet certification criteria.
taking into account the requirements of a modern corporate governance system,
a new classification of positions and professions was developed and approved, including 566
new categories that meet the requirements of a market economy;
Young specialists with mature knowledge and ability to apply modern
management and marketing methods were appointed to vacant management positions. In this
regard, with the active participation of the European School of Management and Technology

168 Uzbekistan “Our main goal - on measures to introduce modern methods of corporate governance in joint-stock
companies” Republic The president April 24 , 2015 Resolution No. PF -4720 .
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