Shavkat Mirziyoyev: Housing construction is the key driver of economic growth.

In total, in 2024, our country constructed 21.4 million square meters of residential space and 19.1 million square meters of non-residential buildings, amounting to a total of 40.5 million square meters of structures.

Last year, the construction of 100 thousand new residential houses engaged 350 thousand people across sectors such as contracting, management and services, construction materials, and transportation. Additional markets worth 11 trillion sums opened up in sectors like furniture production, electrical engineering, textiles, and building materials.

To stimulate construction in 2024, 17 trillion sums were allocated for mortgage loans, while construction companies and developers received 3 trillion sums for working capital.

Therefore, the head of state emphasized that local authorities should view housing construction not only as a social or construction issue but also as a primary driver of economic development in the region.

During the meeting, it was noted that not all local authorities understand the significance of construction for our economy and the well-being of the population.

It was mentioned that last year, housing construction was well organized in Tashkent, Navoi, Bukhara, Khorezm, and Samarkand regions.

However, it was emphasized that the construction work in the "New Uzbekistan" housing complexes does not meet the requirements.

In regions such as Karakalpakstan, Jizzakh, and Syrdarya, infrastructure work and collaboration with contractors were left unattended. In the Khorezm region, construction has not started on 98 plots of land, in Bukhara on 65, in Jizzakh on 19, and in Navoi on 12 plots purchased at auction.

Some houses have not been sold for over a year because they were built in areas far from population centers and infrastructure, making them unappealing.

It was highlighted that a completely new system would be implemented for the "New Uzbekistan" housing complexes.

Now, the design of the plots allocated for these housing complexes must be completed within two months, and construction must start no later than three months afterward. If these deadlines are violated, the land will be returned, and the plot will be put up for auction again.

Organizations that do not conduct project expertise within 15 days will lose their licenses.

A system of "escrow" will be introduced in construction. This system will allow developers to attract funds at lower rates than currently available. Importantly, financing for developers will begin and continue alongside the start of housing construction.

Citizens will be able to obtain mortgages and subsidies from the start of construction, as well as have the option to sell housing before its completion. This will provide guaranteed protection for buyers.

As noted in the meeting, when 50% of the project is completed, citizens will be able to receive loans and subsidies. This process will apply not only to subsidized but also to commercial mortgages.

Construction companies will be exempt from land tax from the start of work until its completion, but no longer than 12 months. If the project is not completed on time, the developer will be required to pay double the land tax.

10% of the plots allocated for the "New Uzbekistan" housing complexes will be auctioned as a single lot for the construction of commercial properties.

It will be allowed to organize private kindergartens on the ground floors of these buildings, and they will be exempt from property tax.

Local authorities were instructed to consider the needs of the population that will be relocating to these complexes and to start organizing kindergartens on the ground floors of these buildings.

In our country, it is planned to build at least 100 "New Uzbekistan" housing complexes by 2030.

New residential areas will be allocated land plots 1-2 kilometers from the center of a district or city, where at least 70 thousand people will reside. Each of these areas will have 100 thousand square meters of residential buildings constructed.

This year, 1.2 trillion sums will be allocated for the infrastructure of the "New Uzbekistan" housing complexes.

Currently, there is no single organization responsible for the construction of these areas, and issues such as where land plots will be allocated, how infrastructure will develop, where trees will be planted, and what the irrigation and drainage systems will be like are still unresolved.

A company called "Uz uyim" (My Home) will be established to organize this work. This company will be responsible for land selection, design, construction, and operation of the "New Uzbekistan" housing complexes.

Responsible parties have been instructed to engage international experts to develop a housing policy strategy for the next five years.

During the meetings held, most developers raised issues related to land acquisition, loans, construction permits, infrastructure, commissioning, and housing sales.

For instance, last year, 150 apartment buildings with 5 thousand apartments remained unfinished due to a lack of working capital. In this regard, it was approved to provide developers with 310 million dollars from attracted foreign funds for working capital.

18 thousand apartments built with individual gas heating cannot be accepted for operation. A working group was tasked with examining each case and proposing solutions to the government.

This year, the necessity of constructing apartment buildings with 135 thousand apartments featuring centralized heating and electric stoves for cooking was emphasized.

A program to reduce waste in lighting central and internal streets was instructed to be developed.

Due to delays in the commissioning of elevators by 2-3 months, it was decided to create at least two teams in each region and train 20 individuals for the maintenance and repair of elevators.

In our country, citizens without official employment but with income will be given the opportunity to obtain a mortgage based on a declaration.

However, currently, citizens working abroad cannot obtain loans and subsidies due to the explanation of "absence of official income in Uzbekistan."

Responsible parties have been instructed to create a system that takes into account the income of citizens working abroad and regularly sending money for the past six months.

The meeting also noted numerous remarks regarding the houses that have been commissioned.

In the last two years, over 5.5 thousand violations in the housing construction sector have been identified. In particular, in 88 cases, contractors built houses with an additional 1-2 floors, which contradicts the project. Serious deficiencies in construction quality were also found in 74 apartment buildings that were accepted for operation.

In this regard, it was emphasized that there is a need to radically improve construction culture among contractors.

At present, contractors must coordinate documents at least five stages before starting construction, which takes up to two months. It was announced that this process will be simplified.

Builders will coordinate completed projects with state authorities through the "Transparent Construction" platform. If deficiencies are found, they will be rectified.

Control over the execution of construction work according to the project will be carried out by the State Inspection of Architectural and Construction Control, which will issue a conclusion after the completion of construction. When commissioning facilities, conclusions will only be required from two bodies — GASK and the fire safety service. If necessary, the inspection will involve specialists from other areas.

Over the past three years, individuals have acquired 47 hectares of land at auctions for the construction of apartment buildings; however, in most cases, construction has not commenced.

To attract capable developers, it has been decided that in the future, land for the construction of apartment buildings will be sold at auctions only to legal entities that are VAT taxpayers.

Currently, 14,775 apartment buildings do not have clearly defined boundaries of the land plots adjacent to these buildings, complicating the activities of management and service companies.

Responsible parties have been instructed to establish the boundaries of the land plots adjacent to these houses and transfer them to the owners.

It was emphasized that developers must enter into contracts with service companies before the house is commissioned, organize training for their employees, and allocate 2% of construction costs for the creation of green zones around residential buildings, which will be enshrined at the legislative level.

This year, the construction of apartment buildings with 120 thousand apartments is planned.

Additionally, 15 thousand apartments will be built in New Tashkent, utilizing "green" energy.

To ensure energy sustainability, a 100 megawatt-hour energy storage system will be installed based on public-private partnership.

Heating and cooling of houses in New Tashkent will be provided through a centralized trigeneration system.

All buildings and structures will be subject to high energy efficiency requirements. Transport, lighting systems, and charging stations will comply only with "green" standards.

The President emphasized the importance of gradually transforming all new apartment buildings into "green energy-efficient" structures.

To stimulate this process, measures have been developed whereby developers who enter into contracts with solar power plants for energy supply to the building sites will be exempt from income tax for such houses, and the interest rate on loans will be reduced by 2%.

As a result, the costs for developers will decrease, and electricity for buyers of such houses will become cheaper.

Furthermore, developers constructing such "green homes" will have significant opportunities to attract financing through international channels.

This year, 15.5 trillion sums are allocated from the budget for housing program