Article 31. The procedure and conditions for making payments for privatized state property

Payment for the state property acquired by the buyer shall be made within one month, except for the cases provided for in part two of this article.

A legislative act may provide for a longer term of payment for the state property acquired by the buyer, which, as a rule, should not exceed three years from the date of conclusion of the sale and purchase agreement for the privatized state property. The sale and purchase agreement for privatized state property should also include a condition for payment of the amount remaining after the initial payment. At the same time, if the amount of the first payment made within one month is less than thirty-five percent of the price of the state property purchased by the buyer, the remaining amount shall be subject to annual interest at the base rate of the Central Bank of the Republic of Uzbekistan, except for cases provided for by decisions of the President of the Republic of Uzbekistan.

Depending on the amount of repurchase payments based on the BCV established on the date of sale, the terms of payment shall be determined as follows, unless otherwise provided by law

up to three thousand times the size of BCV — no later than three months from the date of the sale and purchase agreement;

more than three thousand times the size of BCV, but not more than six thousand times the size of BCV — not later than six months from the date of the sale and purchase agreement;

more than six thousand times the size of BCV, but not more than twelve thousand times the size of BCV — not more than twelve months from the date of the purchase agreement;

more than twelve thousand times BCV, but not more than fifteen thousand times BCV — not more than eighteen months from the date of the sale and purchase agreement;

more than fifteen thousand times the size of BCV, but not more than eighteen thousand times the size of BCV — not more than twenty-four months from the date of the sale and purchase agreement;

more than eighteen thousand times the size of BCV, but not more than twenty thousand times the size of BCV — not more than thirty months from the date of the purchase agreement;

more than twenty thousand times the size of BCV — no more than thirty-six months from the date of the sale and purchase agreement.

A buyer who has made an initial payment of at least thirty — five percent of the value of state property sold in instalments within one month has the right to pledge this state property as collateral for a loan under the conditions established by law. In this case, for the remaining payments, the buyer shall provide, as a security for future payments, an insurance policy from the relevant insurance company for non-payment insurance and/or a bank guarantee to ensure the fulfilment of payment obligations towards the seller. In other cases, it is not permitted to transfer state property as security for a loan until the obligations have been fulfilled in full.