Azernews.Az

By Aynur Jafarova

Uzbekistan reduced the authorized capital size for obtaining a license for family hotel enterprises to 10 fold of minimum wage from the previously set 400 fold.

The news was announced by Trend Agency which quoted a representative of the Uzbektourism National Company as saying on March 24.

The source referred to the government decree on "Measures to Improve Procedures for Licensing and Implementation of Tourist Activity".

Minimum wage is currently 96.105 soms in Uzbekistan.

The source noted that the owners of family guest houses and summer cottages preferred to work without a license due to the high requirement on the size of authorized capital.

Lack of license led to claims by the law enforcement bodies that it did not allow vacationers' registration. In this regard, the owners of these houses could not fully compete with licensed accommodation facilities.

Under the new regulation, the concept of travel activity is divided into three types of services: hotel, tour operator, and excursion services. Each type is given a specific definition which allows applying gradation on the conditions of obtaining licenses for different types of travel activity.

These changes are expected to help new travel entrepreneurs to enter the market and diversify the options for accommodating tourists.

The availability of legalized guest houses in tourism places with poorly developed hotel infrastructure, including the countryside and mountain areas, will help to increase tour visits and the welfare of the regions.

Over 900 travel organizations, including more than 400 hotels and 500 tour companies, were operating in Uzbekistan in early 2014.

The total volume of tourist services in the country increased by 16 percent in 2013 compared to 2012.

The official exchange rate was 2,250.36 soms/$1 on March 24.