The ongoing work and priority tasks in the field of housing construction and urbanization were discussed

On April 14, President Shavkat Mirziyoyev chaired a videoconference meeting to discuss ongoing work, challenges, and priorities in housing construction and urbanization, the press service of the head of our state reports.

Over 500 entrepreneurs, builders, designers, architects, and urban planners participated in the event via videoconference from local studios.

The head of state emphasized that the construction sector plays a special role in achieving the ambitious goals of ensuring high economic growth across all sectors and regions. According to studies, every dollar invested in construction can generate an additional 2-3 dollars for the economy, and one job created in this sector leads to the creation of up to 5 new jobs in other industries.

Over the past nine years, nearly 10,000 new construction companies have opened in our country. Twenty large companies with a turnover of over 1 trillion soums and 365 with a turnover of over 100 billion soums have emerged. The number of design organizations has exceeded 2,000, more than 650 of which have received international certificates.

During this period, the number of stages required to obtain permits in the construction sector has been reduced by three times, and the timeframes by four times. 420 urban planning regulations and standards have been standardized, old ones have been repealed, and 140 new ones have been approved.

As a result, 210 million square meters of buildings and structures have been constructed over the past few years, including more than 15,000 multi-story buildings with 647,000 apartments. The volume of construction work increased from 30 trillion soums in 2016 to 314 trillion soums last year. Today, 3.5 million people are employed in construction, construction materials production, and related industries.

As noted, 6,500 hectares of land and 600,000 square meters of buildings and structures are put up for auction annually for entrepreneurial activity, and 140 trillion soums of resources are allocated for small and medium-sized businesses. However, despite resolving issues related to land and loans, entrepreneurs continue to face various obstacles at the start of construction, which drags on for months and even years.

The meeting focused on the issue of urbanization. Currently, the country’s population exceeds 38 million people, the urbanization rate has reached 51 percent, and nearly 20 million people live in cities. The head of state noted that every 1 percent increase in urbanization brings at least 1 percent additional growth to the economy, with investment flows, business and startup activity, and labor productivity increasing proportionally. Therefore, it was emphasized that a unified approach to the sustainable development of urbanization in the republic is necessary.

As noted, 200-250 billion soums are allocated annually from the budget for the development of master plans. These funds should be directed primarily to areas where master plans are absent or outdated. Today, many entrepreneurs want to implement large projects in smaller towns and villages, but their work is stalled due to the lack of urban planning documentation. Regional khokims and the National Urbanization Committee have been instructed to complete, using budgetary funds, the development of master plans for six cities and 44 towns, master plans for 104 villages, and to begin developing urban planning documentation for an additional 50 settlements in collaboration with proactive businesspeople.

At the meeting, it was noted that in 2025, 14 percent of the 112,000 land privatization applications were rejected under the pretext of a lack of a master plan, resulting in a missed opportunity to transform 4,000 hectares of land into assets and 550 billion soums in budget revenue. Therefore, the goal has been set to transition within three months to a system that will respond to land privatization applications online within 5-10 minutes, without human intervention.

It was also emphasized that the process cannot be limited to merely approving master plans. Criticism was expressed for the failure to clearly specify when, in what order, and from what sources the construction of water, sewer, heating, gas, electricity, and road networks will be carried out. It was noted that comprehensive annual programs must be developed for the implementation of each approved master plan, which must be communicated to the public, businesses, and decision-makers.

In this regard, the khokim of each region has been instructed to develop comprehensive programs for the implementation of the approved master plans for regional and district centers within two months. It was also stated that it is necessary to clearly define what portion of the activities envisaged in these plans will be financed from the national and local budgets, and what portion will be financed from international financial organizations.

Serious shortcomings in the economic integration of land and facilities were also noted. Of the 11,500 hectares of land sold at auction over the past four years, construction has not yet begun on 3,000 hectares. It was also noted that 582 hectares of land plots and 122 state-owned facilities put up for auction remained unsold throughout the year.

It was critically noted that the role of khokims is not recognized in either the development of the privatization program or the sale of facilities, and that the opinions of entrepreneurs are not consulted. It was emphasized that the primary focus of any property sale should be attracting investment to the region and creating new jobs in the mahalla.

In this regard, it was decided that khokims will be responsible for the inclusion of properties in the privatization program, their sale, and ensuring investment efficiency, along with the State Assets Management Agency. Furthermore, the practice of charging 14 percent interest on the remaining balance of properties sold under installment plans will be abolished.

The meeting discussed the issue of simplifying permitting procedures in the construction industry. It was noted that last year, more than a third of the over 2.6 million construction-related applications were rejected, often due to corruption and bureaucratic obstacles. The head of state noted that the most effective way to address these issues is digitalization and the widespread adoption of artificial intelligence.

Under the current system, residents and entrepreneurs spend months submitting separate applications first for a design permit and then for the development of architectural and urban planning specifications. Tashkent has implemented a method for providing these two services in a single step, reducing the time required to approve documents by three to four times. Instructions have been given to implement this method in all regions starting July 1.

Citizens must also apply to each agency separately to obtain technical specifications for connection to utility networks. Starting July 1, it will be possible to obtain technical specifications for electricity, gas, water, and sewerage networks using a single application and payment.

Another reason for the delays was the lack of interaction and coordination between the 26 agencies that comprise the local urban planning council. In this regard, it was decided that the urban planning council will now be chaired by the khokims of Tashkent and the regions themselves, and a system will be implemented to ensure final resolution of entrepreneurs’ issues.

Responsible officials have been instructed to conduct a thorough analysis of all stages—from obtaining a construction permit to commissioning a facility—within three months and submit a draft resolution to reduce requirements, deadlines, and fees by at least half.

Construction quality and supervision issues were also critically examined. Last year, inspectors from design organizations and clients identified 42,000 deficiencies at construction sites, while the construction inspectorate identified over 250,000 violations. It was noted that one of the reasons for this is the low level of interest among designers and clients in implementing author’s and technical supervision.

In this regard, starting June 1 of this year, the performance of government contractors will be fully assessed based on KPIs, and employee salaries will be tripled. Fees for developing design documentation will amount to up to 5 percent of the project cost, while designer supervision will be paid for under a separate contract. However, if serious violations are detected at projects for which technical or designer supervision services are responsible, strict measures will be applied not only to the contractor but also to the inspectors, and the designer’s rating in the “Shaffof Qurilish” system will be reduced.

The meeting also addressed infrastructure projects implemented with the participation of international financial institutions. Currently, projects worth over $20 billion are being implemented in this sector. Criticism was expressed for the fact that responsible officials and customers, represented by ministries and agencies, are not sufficiently promoting the capabilities of domestic construction companies in negotiations with international financial institutions, failing to take their interests into account when determining contract terms, and failing to systematically clarify the conditions for participation in international tenders.

It was emphasized that providing housing for the population must be a constant focus. In recent years, 4 trillion 100 billion soums have been allocated for the infrastructure of 56 Yangi Uzbekiston housing estates, and an additional 1 trillion 400 billion soums are planned for this year.

It was noted that this year, responsible officials and khokims are required to complete the commissioning of 34,000 apartments in the Yangi Uzbekiston residential complexes. It was established that expansion of residential complexes with ongoing construction will be permitted only after at least 85 percent of apartments in the area have been handed over to their owners.

It was noted that overall, residential buildings with 140,000 apartments are to be commissioned in the regions this year. Particular attention must be paid to renovation.

The meeting focused on training personnel for the industry and developing a creative environment. Instructions were given to create the first creative park for architects, designers, and urban planning specialists in Tashkent, and to begin work on creating similar parks in the regions in the future. Furthermore, starting next academic year, a self-financing higher education institution is planned to launch, training specialists in urbanization, cadastral surveying, and geodesy. A technical school for mid-level specialists will also be established within its structure.

In conclusion, the President of our country heard reports from industry and regional leaders, as well as proposals and initiatives from entrepreneurs working in the construction sector.