THE ROLE OF PROFIT TAX REDUCTIONS IN ATTRACTING FOREIGN DIRECT INVESTMENT IN UZBEKISTAN
Keywords:
Keywords: tax reduction, taxation, Foreign Direct investment (FDI), reforms, profit tax.Abstract
Abstract: this article examines the role of profit tax reductions in attracting
foreign direct investment (FDI) to Uzbekistan, a key strategy in the country’s economic
reform agenda. With a focus on tax incentives as a tool for enhancing the investment
climate, the study explores the relationship between profit tax reductions and FDI
inflows over recent years. It highlights specific sectors that have benefited from these
reforms, such as manufacturing and energy, and discusses the broader macroeconomic
impact. Drawing on comparative data and case studies, the article analyzes how profit
tax incentives have influenced investor confidence, increased competitiveness, and
contributed to sustainable economic growth. Challenges such as tax policy
implementation and the need for complementary reforms are also addressed.
Ultimately, the article provides insights into the effectiveness of profit tax reductions
in fostering long-term investment and economic development in Uzbekistan.
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