Uzbekistan

Customers may be penalized for delayed payments on government procurement contracts.

Customers may be penalized for late payments on public procurement contracts.

Government customers will be held accountable for intentionally delaying payment deadlines under contracts and unjustifiably inflating requirements in tender documentation. The Agency for Industrial Cooperation and Public Procurement is preparing the corresponding changes.

As Anvar Mukhitdinov, Chairman of the Association of Public Procurement Participants, told Podrobno.uz, in the first six months of 2026, the total volume of public procurement amounted to 188.4 trillion soums. Of this, 113 trillion soums were accounted for by transparent competitive procurement, saving the budget 7.8 trillion soums.

However, the system has significant potential for improvement. Of the 646,000 active business entities, only half (344,000) are registered in electronic systems; 126,000 actually participate, and only 36,000 win and sign contracts.

"Based on complaints collected in the regions, the agency is systematizing systemic business problems." "Regulatory changes are being prepared to severely penalize government customers for artificially delaying payment under contracts and unjustifiably inflating requirements in tender documentation," Mukhitdinov stated.

According to him, the Agency is developing a package of amendments in conjunction with relevant ministries. There are also plans to automate product moderation on electronic platforms and simplify certification requirements for local brands.

Uzbekistan is proposing to introduce risk analysis, integrity ratings, and artificial intelligence tools to proactively identify problematic participants in public procurement and protect honest businesses.

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