Article 127. Management of revenues and expenditures of State budget

In case of exceeding the approved maximum size of State budget deficit for the current financial year, the Cabinet of Ministers of the Republic of Uzbekistan, upon the recommendation of Ministry of finance of the Republic of Uzbekistan, submits proposals to the Chambers of the Oliy Majlis of the Republic of Uzbekistan on reducing the expenditures of State budget.

When reducing expenditures of State budget, the priority and social orientation of expenditures is assessed taking into account the assumed legal and financial obligations of budget organizations and recipients of budget funds.

Jokargy Kenes of the Republic of Karakalpakstan, Kengashes of people's deputies of regions and city of Tashkent, as well as districts and cities are not authorized to make any decisions aimed at reducing revenues or increasing expenditures of respective budgets leading to disequilibrium of their budgets and exceeding the approved maximum size of State budget deficit.

During the financial year, after the adoption of the budget of the Republic of Karakalpakstan, local budgets of regions and city of Tashkent, decisions of the Jokargy Kenes of the Republic of Karakalpakstan, Kengashes of people's deputies of regions and city of Tashkent, as well as districts and cities, leading to a reduction in the revenues of respective budgets, can be adopted only in case of reduction of expenditures of respective budgets.

If, during the financial year, after the adoption of State budget, decisions are made to increase or decrease the parameters of revenues and expenditures of respective budgets, Ministry of finance of the Republic of Uzbekistan, financial authorities of the Republic of Karakalpakstan, regions and city of Tashkent shall make changes to the size of budgets of the corresponding levels. Increase or decrease in expenditures is carried out through mutual settlements between the budgets of all levels.