Details
JULY 2026
The President of the Republic of Uzbekistan signed Law No. ZRU-1161 dated 27 July 2026, which introduces a new mechanism for compensation for harm caused by unlawful decisions, actions (inaction) of state bodies and their officials. The Law enters into force in January 2027.
The Law establishes a system for the prompt payment of compensation to citizens and business entities from special compensation funds. After the payment, the state body is obliged to recover the amount paid from the responsible official by way of recourse.
To finance the payments, compensation funds are being established under the Council of Ministers of the Republic of Karakalpakstan, as well as under the khokimiyats of the regions and the city of Tashkent. They will be formed from a portion of the reserve funds of local budgets, proceeds from land auctions, recourse recoveries from officials, and other sources provided for by law.
Shortened time limits for the consideration of applications are also established: the legal service reviews the documents within 5 business days, the Fund Council makes a decision within 1 business day, and the Treasury transfers the compensation within 1 business day.
One of the key innovations is the establishment of the principle according to which irremovable doubts, contradictions and ambiguities in legislation are subject to interpretation in favour of individuals and legal entities. In addition, the Law strengthens the personal property liability of officials by providing for the mandatory filing of recourse claims against them after compensation has been paid to the injured party.
The adopted Law is aimed at increasing the effectiveness of the protection of the rights of citizens and businesses in their interaction with state bodies, as well as at developing a more responsible approach among public servants to the exercise of their powers.