On July 22, 2026, Uzbekistan’s new Law on Limited Liability Companies (LLCs) entered into force, replacing the previous legislation that had been in effect since 2001. The reform is considered the country’s first comprehensive overhaul of corporate law in 25 years and aims to align corporate governance with international standards.
The new law introduces a range of changes designed to strengthen investor protection, improve corporate transparency, and modernize the management of limited liability companies.
Recognition of majority and minority participants. For the first time, the law officially defines majority and minority participants in LLCs. It also allows for the establishment of committees to protect the interests of minority shareholders, improving corporate governance and investor confidence.
Fiduciary duties for company management. Directors, supervisory board members, and executive bodies are now required to act in the best interests of the company, avoid conflicts of interest, and exercise due care when making decisions. These fiduciary obligations reflect widely accepted international corporate governance practices.
Regulation of related-party transactions. The legislation introduces clear procedures for approving and overseeing transactions involving affiliated parties, reducing the risk of conflicts of interest and increasing accountability.
Enhanced role of supervisory boards. The powers and responsibilities of supervisory boards have been clarified. The law also introduces mechanisms for remote voting and decision-making, making corporate governance more flexible and efficient.
Clearer rules for subsidiaries and branches. The new legislation establishes a legal framework for the operation of subsidiaries, branches, and representative offices—areas that were only partially regulated under the previous law.
The new LLC law represents a significant step toward improving Uzbekistan’s business environment. By strengthening corporate governance standards and enhancing investor protections, the reform is expected to increase the country’s attractiveness for both domestic and foreign investment.
For startups, venture capital firms, and private companies, the updated framework provides greater legal certainty and more transparent governance rules—key factors for raising investment and scaling businesses.
