Competition, Corporate Governance, and Regulation in Central Asia : Uzbekistan's Structural Reform Challenges
In Uzbekistan state enterprises are being changed into shareholding companies, and private enterprises account for 45 percent of all registered firms. But business decisions to set prices, output, and investment are often not market-based, nor wholly within the purview of businesses, especially thos...
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| Format: | Publications & Research |
| Language: | en_US |
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World Bank, Washington, DC
2015
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| Subjects: | |
| Online Access: | http://hdl.handle.net/10986/21585 |
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okr-10986-21585 |
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oai_dc |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
en_US |
| topic |
accountability advertising anti-monopoly committee asset management asset value audits authority bankruptcy barriers to entry coal collusion competition legislation competition policy competitiveness consensus consumers corporate governance corruption debt decision-making decree decrees dividends domestic market economic criteria economic development economic research economies of scale empirical studies employment enactment energy prices enforcement of competition equilibrium exchange rate exports external incentives financial resources financial subsidies fiscal fixed costs foreign direct investment foreign exchange foreign exchange liberalization foreign exchange regime foreign investors government officials government programs government's policy human capital imports insolvent institutional framework institutional investors institutional resources international arbitration labor market legislation legislative authority legislative drafting legislative framework legislature lobbying local authorities local government local governments macroeconomic policy macroeconomic reform macroeconomic stability market competition market demand market distortions market economy market forces market incentives market power market prices market reforms market share market structure market value ministers ministry of finance monopolies monopoly national level natural monopolies oil organizational structure organizational structures ownership structure price control price controls price distortions producers production processes productive assets profit maximization property rights public hearings public procurements regulatory capture regulatory oversight regulatory policies regulatory policy regulatory regime republics retained earnings safety nets social costs social safety social safety nets state anti-monopoly policy state assets state enterprises state-owned enterprises suppliers taxation transition economies transparency unfair competition WTO corporate governance regulatory framework competition (economic) transition economies market economy macroeconomic stability microeconomics structural reforms enterprise development private sector development investments pricing reforms business decision-making market-based instruments corporate performance commercial performance indicators manufacturing competition policy economic growth legal framework industrial marketing infrastructure reform monopolies tariff reforms price policy |
| spellingShingle |
accountability advertising anti-monopoly committee asset management asset value audits authority bankruptcy barriers to entry coal collusion competition legislation competition policy competitiveness consensus consumers corporate governance corruption debt decision-making decree decrees dividends domestic market economic criteria economic development economic research economies of scale empirical studies employment enactment energy prices enforcement of competition equilibrium exchange rate exports external incentives financial resources financial subsidies fiscal fixed costs foreign direct investment foreign exchange foreign exchange liberalization foreign exchange regime foreign investors government officials government programs government's policy human capital imports insolvent institutional framework institutional investors institutional resources international arbitration labor market legislation legislative authority legislative drafting legislative framework legislature lobbying local authorities local government local governments macroeconomic policy macroeconomic reform macroeconomic stability market competition market demand market distortions market economy market forces market incentives market power market prices market reforms market share market structure market value ministers ministry of finance monopolies monopoly national level natural monopolies oil organizational structure organizational structures ownership structure price control price controls price distortions producers production processes productive assets profit maximization property rights public hearings public procurements regulatory capture regulatory oversight regulatory policies regulatory policy regulatory regime republics retained earnings safety nets social costs social safety social safety nets state anti-monopoly policy state assets state enterprises state-owned enterprises suppliers taxation transition economies transparency unfair competition WTO corporate governance regulatory framework competition (economic) transition economies market economy macroeconomic stability microeconomics structural reforms enterprise development private sector development investments pricing reforms business decision-making market-based instruments corporate performance commercial performance indicators manufacturing competition policy economic growth legal framework industrial marketing infrastructure reform monopolies tariff reforms price policy Broadman, Harry G. Competition, Corporate Governance, and Regulation in Central Asia : Uzbekistan's Structural Reform Challenges |
| geographic_facet |
Europe and Central Asia Uzbekistan |
| relation |
Policy Research Working Paper;No. 2331 |
| description |
In Uzbekistan state enterprises are being changed into shareholding companies, and private enterprises account for 45 percent of all registered firms. But business decisions to set prices, output, and investment are often not market-based, nor wholly within the purview of businesses, especially those in commercial manufacturing and services. Lines of authority for corporate governance - from state enterprises to private enterprises - are ill-defined, so there is little discipline on corporate performance and little separation between government and business. Nascent frameworks have been created for competition policy (for firms in the commercial sector) and regulatory policy (governing utilities in the infrastructure monopoly sector). Bur implementation and enforcement have been hampered by old-style instruments (such as price controls0 rooted in central planning, by lack of a strong independent regulatory rule-making authority, by the limited understanding, of the basic concepts of competition and regulatory reform, and by weak institutional capabilities for analyzing market structure and business performance. Based on fieldwork in Uzbekistan, the author recommends: 1) Deepening senior policy officials' understanding of, and appreciation of the benefits from, enterprise competition and how it affects economic growth. 2) Reforming competition policy institutions and legal frameworks in line with the country's goal of strengthening structural reforms and improving macroeconomic policy. 3) Improving the ability of government and associated institutions to assess Uzbekistan's industrial market structure and the determinants of enterprise conduct and performance. 4) Making the authority responsible for competition and regulatory policymaking into an independent agency - a "champion" of competition - answerable directly to the prime minister. 5) Strengthening incentives and institutions for corporate governance and bringing them in line with international practice. 6) Subjecting infrastructure monopolies to systemic competitive restructuring and unbundling, where appropriate. For other utilities, de-politicize tariff setting and implementation of regulations; ensure that price, pro-competitive (creating a level playing field among users); and increase transparency and accountability to the public. |
| format |
Publications & Research |
| author |
Broadman, Harry G. |
| author_facet |
Broadman, Harry G. |
| author_sort |
Broadman, Harry G. |
| title |
Competition, Corporate Governance, and Regulation in Central Asia : Uzbekistan's Structural Reform Challenges |
| title_short |
Competition, Corporate Governance, and Regulation in Central Asia : Uzbekistan's Structural Reform Challenges |
| title_full |
Competition, Corporate Governance, and Regulation in Central Asia : Uzbekistan's Structural Reform Challenges |
| title_fullStr |
Competition, Corporate Governance, and Regulation in Central Asia : Uzbekistan's Structural Reform Challenges |
| title_full_unstemmed |
Competition, Corporate Governance, and Regulation in Central Asia : Uzbekistan's Structural Reform Challenges |
| title_sort |
competition, corporate governance, and regulation in central asia : uzbekistan's structural reform challenges |
| publisher |
World Bank, Washington, DC |
| publishDate |
2015 |
| url |
http://hdl.handle.net/10986/21585 |
| _version_ |
1764448645437980672 |
| spelling |
okr-10986-215852021-04-23T14:04:03Z Competition, Corporate Governance, and Regulation in Central Asia : Uzbekistan's Structural Reform Challenges Broadman, Harry G. accountability advertising anti-monopoly committee asset management asset value audits authority bankruptcy barriers to entry coal collusion competition legislation competition policy competitiveness consensus consumers corporate governance corruption debt decision-making decree decrees dividends domestic market economic criteria economic development economic research economies of scale empirical studies employment enactment energy prices enforcement of competition equilibrium exchange rate exports external incentives financial resources financial subsidies fiscal fixed costs foreign direct investment foreign exchange foreign exchange liberalization foreign exchange regime foreign investors government officials government programs government's policy human capital imports insolvent institutional framework institutional investors institutional resources international arbitration labor market legislation legislative authority legislative drafting legislative framework legislature lobbying local authorities local government local governments macroeconomic policy macroeconomic reform macroeconomic stability market competition market demand market distortions market economy market forces market incentives market power market prices market reforms market share market structure market value ministers ministry of finance monopolies monopoly national level natural monopolies oil organizational structure organizational structures ownership structure price control price controls price distortions producers production processes productive assets profit maximization property rights public hearings public procurements regulatory capture regulatory oversight regulatory policies regulatory policy regulatory regime republics retained earnings safety nets social costs social safety social safety nets state anti-monopoly policy state assets state enterprises state-owned enterprises suppliers taxation transition economies transparency unfair competition WTO corporate governance regulatory framework competition (economic) transition economies market economy macroeconomic stability microeconomics structural reforms enterprise development private sector development investments pricing reforms business decision-making market-based instruments corporate performance commercial performance indicators manufacturing competition policy economic growth legal framework industrial marketing infrastructure reform monopolies tariff reforms price policy In Uzbekistan state enterprises are being changed into shareholding companies, and private enterprises account for 45 percent of all registered firms. But business decisions to set prices, output, and investment are often not market-based, nor wholly within the purview of businesses, especially those in commercial manufacturing and services. Lines of authority for corporate governance - from state enterprises to private enterprises - are ill-defined, so there is little discipline on corporate performance and little separation between government and business. Nascent frameworks have been created for competition policy (for firms in the commercial sector) and regulatory policy (governing utilities in the infrastructure monopoly sector). Bur implementation and enforcement have been hampered by old-style instruments (such as price controls0 rooted in central planning, by lack of a strong independent regulatory rule-making authority, by the limited understanding, of the basic concepts of competition and regulatory reform, and by weak institutional capabilities for analyzing market structure and business performance. Based on fieldwork in Uzbekistan, the author recommends: 1) Deepening senior policy officials' understanding of, and appreciation of the benefits from, enterprise competition and how it affects economic growth. 2) Reforming competition policy institutions and legal frameworks in line with the country's goal of strengthening structural reforms and improving macroeconomic policy. 3) Improving the ability of government and associated institutions to assess Uzbekistan's industrial market structure and the determinants of enterprise conduct and performance. 4) Making the authority responsible for competition and regulatory policymaking into an independent agency - a "champion" of competition - answerable directly to the prime minister. 5) Strengthening incentives and institutions for corporate governance and bringing them in line with international practice. 6) Subjecting infrastructure monopolies to systemic competitive restructuring and unbundling, where appropriate. For other utilities, de-politicize tariff setting and implementation of regulations; ensure that price, pro-competitive (creating a level playing field among users); and increase transparency and accountability to the public. 2015-03-11T15:03:09Z 2015-03-11T15:03:09Z 2000-05 http://hdl.handle.net/10986/21585 en_US Policy Research Working Paper;No. 2331 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Europe and Central Asia Uzbekistan |