The Senate of Uzbekistan has approved a law amending several legislative acts to accelerate the development of the country’s creative economy, introducing targeted tax incentives for foreign partners and residents of a dedicated creative industry park.
New tax incentives target creative industry projects
The law provides a package of tax reliefs for foreign counterparties involved in projects implemented by the Culture and Arts Development Fund and by residents of the Park of Creative Industry. From 2026 to 2030, such foreign partners will be exempt from value added tax, profit tax withheld at source and personal income tax, provided their work is directly linked to creative industry services and project delivery.
Senators underscored that limiting the incentives strictly to creative industry works and services is intended to channel support into high value added activities, attract qualified foreign specialists, increase the quality and scale of projects, and broaden opportunities for Uzbek creative products to enter international markets.
Clear residency rules for the creative industry park
The law also clarifies the conditions for obtaining and maintaining resident status in the Park of Creative Industry. In practice, an enterprise’s business plan will need to be formally approved, and at least 80 percent of its total annual income must come from activities in the creative industry.
Newly created enterprises receive a temporary grace period: the income structure requirement does not apply at the initial stage. However, if by the end of the financial year the threshold is not met, previously granted tax benefits will be recalculated and recovered to the state budget. Lawmakers believe this mechanism will help prevent misuse of incentives, ensure that state support reaches genuinely creative businesses and uphold fair competition among market participants.
Turning creative potential into economic value
During the plenary discussion, senators highlighted that Uzbekistan is pursuing a broader agenda to stimulate innovative economic development, transform creative potential into economic value and create new jobs, with a strong focus on youth and entrepreneurial initiatives.
The new law is positioned as a tool to support the creative industry, deepen international cooperation, and organise international and interstate cultural events more effectively. At the same time, the provisions are framed to promote long-term sustainability of the sector by balancing generous tax incentives with clear eligibility criteria and accountability for beneficiaries.
Political and institutional backdrop
The law was adopted at a plenary session of the Senate of the Oliy Majlis, chaired by the Senate Speaker. The meeting brought together senators, members of the government, representatives of ministries and agencies, deputies of local Kengashes, members of the Youth Parliament under the Senate and media representatives. The debates were broadcast online via the Senate’s YouTube channel, signalling an effort to keep the legislative process transparent to the public and business community.
Following Senate approval, the law proceeds through the remaining stages of the national legislative process before taking full effect.
Why this matters for international design and construction businesses
For international companies in furniture manufacturing, interior and exterior design, architecture, fit-out, and related construction services, this initiative signals that Uzbekistan is building a structured ecosystem for the creative economy with predictable, medium-term tax incentives. The emergence of a Park of Creative Industry with clear residency rules and access to foreign expertise can spur demand for modern office spaces, studios, galleries, educational and cultural facilities, as well as high-quality furnishing and bespoke interiors.
Foreign design studios, architectural bureaus, furniture brands and suppliers of professional equipment can explore partnerships with park residents and the Culture and Arts Development Fund, local project offices and developers. The tax exemptions for foreign service providers on qualifying creative projects lower the effective cost of market entry, making Uzbekistan a more attractive platform for co-developing cultural, commercial and public spaces aimed at both domestic and regional audiences in Central Asia.
