Science Funding in Uzbekistan to Undergo Swift Lift
A program is planned to be approved of phased increase in the national budget expenditures for scientific research and bring them up to 1% of GDP. This and other measures are envisaged in the Strategy of Innovative Development of Uzbekistan currently unde
It is planned to simplify procedures and boost transparency in obtaining and using scholarships for innovative projects. It is proposed to revise the definition of priority areas of science and technology for the development and financing of targeted government scientific and technical programs, the transfer and commercialization of technologies. At the same time, the main focus is the orientation of scientific development to meet the needs of economic sectors, in other words, even before the start of research, its final consumer should be known. It is proposed to take a course to ensure the availability of financial resources for subjects of innovative activity, including in the international investment market.
Simplification is envisaged of the procedures and requirements for obtaining a bank loan. This will help increase the volume of lending, including innovative funding.
Development will receive venture financing. This is a long- term high- risk investment of private capital into the share capital of newly created hightech promising companies focused on the development and production of high technology products, for their development and expansion in order to profit from the increase in the value of the invested funds. In contrast to classical investments, the venture capital financing model contains a highly probable loss of investment in each specific company. Profitability is achieved owing to a high return on the most successful investments. Activities in this direction are planned to be regulated by a new law.
The creation and development of venture ( risk) financing, including participation of foreign venture capital organizations, was initiated. It is proposed to consider the possibility of creating venture funds by jointstock companies with state participation that implement innovative development programs. This activity is proposed to be regulated by a special law.
It is planned to take measures to stimulate the participation of the private sector in identifying and financing the priorities of scientific and technological development. The implementation of innovative projects will attract a wide range of private investors. Growth is also expected in the share of private financing in the total amount of expenditures on research and development.
It is intended to attract leading international innovation companies and transnational corporations as strategic investors.