Investing in Uzbekistan from the UAE and Saudi Arabia in 2026: Entry Vehicle, Investor Protection, Tax and Profit Repatriation

An investor from the UAE, Saudi Arabia or Qatar can enter Uzbekistan without a local partner: through a 100% foreign-owned LLC, a joint venture or the purchase of a stake. As of October 2026, protection comes from the Law on Investments and Investment Activity and bilateral treaties: investment agreements with the UAE (in force since 2011) and Saudi Arabia (since 2014), while tax treaties cut withholding tax on dividends to 5% for a UAE company holding at least 25%, to 7% for Saudi Arabia and to 8% for Qatar. Citizens of all six Gulf states enter without a visa for 30 days, and documents from the UAE, Qatar and Kuwait, unlike Saudi ones, need consular legalisation instead of an apostille.

Key points

• Vehicle. An LLC may be founded by a single person, including a foreign one (Art. 8 of Law ZRU-1137); with foreign investment of at least 15% of the charter capital it is an enterprise with foreign investment (Art. 3 of Law ZRU-598).
• Guarantees. Transfer of income after taxes (Art. 17 of ZRU-598), protection against listed adverse changes in legislation for 10 years (Art. 19), a ban on nationalisation (Art. 21); where the law and an international treaty differ, the treaty applies (Art. 2).
• The new UAE agreement of 2025 has been signed and approved by Uzbekistan, but its entry into force is not confirmed; the 2023 agreement with Qatar is in the same position.
• Land is available only on lease, including to an Uzbek company with foreign investment (a foreign stake of 15% or more).

Gulf states compared

Dates are taken from the lex.uz records; the rates for the UAE, Saudi Arabia and Qatar were checked against the treaty texts, and those for Kuwait, Bahrain and Oman are taken from the Tax Committee table without checking the treaty texts.

Choosing the entry vehicle

The LLC law sets no general minimum capital, and each contribution must be paid within one year of registration (Art. 15 ZRU-1137). Appendix 11 to the Registration Regulation, however, still names 400 million UZS for enterprises with foreign investment (200 million UZS in Karakalpakstan and Khorezm region), so the capital amount is settled before filing. If your Gulf parent company itself has a single shareholder, check it against Art. 8 in advance. More on our company formation page.

Guarantees under the Law on Investments

If the Government grants a foreign investor additional guarantees and incentives, an investment agreement is concluded (Art. 40) stating the procedure, venue and body for dispute resolution (Art. 42).

Bilateral investment agreements

UAE

The Agreement on the Promotion and Reciprocal Protection of Investments was signed in Tashkent on 26 October 2007 and has been in force since 27 March 2011:

• Expropriation (Art. 4): for a public purpose, lawfully and without discrimination; compensation at market value before the expropriation or its announcement, with interest until payment.
• Transfers (Art. 6): without restriction or undue delay, in a convertible currency.
• Disputes (Art. 9): 6 months of amicable settlement, then the courts of the host state; if the dispute is not resolved 24 months after notification, the investor may go to ICSID. Both states gave their consent in the agreement itself.
• Term (Art. 15): 10 years, renewed for 5-year periods; after termination protection continues for 10 more years.

A new agreement was signed in Abu Dhabi on 15 January 2025 and approved by Uzbekistan by Presidential Resolution PP-283 of 15 September 2025. Its entry into force is not confirmed (lex.uz reports none), so check which agreement applies to each investment.

Saudi Arabia

The agreement was signed on 6 June 2011 and has been in force since 24 January 2014:

• Expropriation (Art. 4): only in the public interest, without discrimination, with prompt, adequate and effective compensation.
• Transfers (Art. 7): after taxes, without delay.
• Disputes (Art. 11): 6 months after written notice, the host-state courts, ICSID or ad hoc arbitration under the UNCITRAL Rules; a dispute is not pursued in court and arbitration at the same time.
• Term (Art. 15): 10 years, renewable; protection continues for 10 years after termination.

Qatar, Kuwait, Bahrain, Oman

The agreement with Qatar was signed in Samarkand on 6 June 2023 and approved by Resolution PP-287; its entry into force is not confirmed (lex.uz reports none). The agreements with Kuwait, Bahrain and Oman have been in force since 2006, 2010 and 2009. The ICSID Convention has applied to Uzbekistan since 25 August 1995.

Tax and double tax treaties

A foreign company pays 10% on dividends and interest and 20% on other income, including royalties (Art. 353 of the Tax Code); a non-resident individual pays 10% and 12% (Art. 382); the Uzbek company itself pays 15% profit tax (Art. 337). A treaty rate is a ceiling: if the Code gives less, the Code applies.

Dividends: Art. 10 of the treaties with the UAE (in force since 25.02.2011), Saudi Arabia (since 01.11.2010) and Qatar (since 12.02.2024); interest and royalties: Arts. 11 and 12 of the same treaties, matching the Tax Committee table. The Qatar treaty also caps tax on fees for managerial, technical and consultancy services at 10% instead of 20% (Art. 13).

• JSC shares. Until 31 December 2028 a foreign company pays 5% on dividends from shares, and individuals are exempt (Part 27, Art. 483 Tax Code).
• Credit from 2026. With a holding of 25% or more for 365 days, the non-resident's tax is reduced by tax already paid on dividends from other Uzbek companies (Part 3, Art. 354).
• Procedure. The tax residence certificate must reach the Uzbek company no later than the payment date, and the relief goes only to the beneficial owner (Art. 357). The certificate is an original with an apostille or legalisation, a notarised copy, or a printout from the foreign tax authority's website, which needs no legalisation (Art. 358). Excess tax withheld is refunded under Chapter 12 of the Code.

On 1,000,000 US dollars of dividends from an Uzbek LLC, the tax withheld is: 50,000 for a UAE company holding 25% or more, 100,000 with a smaller holding; 70,000 for a Saudi company; 80,000 for a Qatari company; 0 for ADIA.

Repatriating profit

• Decision. An LLC distributes profit quarterly, half-yearly or annually and pays it within 60 days (Art. 26 ZRU-1137), but not before the capital is fully paid, not when there are signs of insolvency and not when net assets are below the charter and reserve capital (Art. 27).
• Tax. The company withholds tax under the Code or the treaty.
• Currency. Non-residents buy foreign currency to repatriate investment and income without restriction; the bank may request documents and reviews the application no later than the next banking day (paras. 21, 23, 24 of Rules No. 3281).
• Transfer. The bank package: participants' resolution, proof of tax payment, currency purchase application, the participant's bank details.

Art. 6 of the UAE agreement and Art. 7 of the Saudi agreement secure the right to transfer at the level of an international treaty.

Documents: apostille or legalisation

According to the Apostille Convention status table, the Convention has applied to Uzbekistan since 15 April 2012, to Saudi Arabia since 7 December 2022, to Oman since 30 January 2012 and to Bahrain since 31 December 2013; only Belgium (later withdrawn), Germany, Austria and Greece objected to Uzbekistan's accession. Saudi documents are apostilled by the Saudi Ministry of Foreign Affairs.

The UAE, Qatar and Kuwait are not in the table. Uzbek authorities accept documents of foreign organisations only after consular legalisation, unless a law or treaty provides otherwise (para. 5 of Regulation No. 610). The consulate checks signatures, including those of officials of the host country's foreign ministry (para. 12), and legalises the document within 5 working days of the application (para. 13). A UAE document is therefore first attested by the competent UAE authority and then legalised at an Uzbek consulate. The consul may require a notarised translation (para. 6).

Entry and work

• 30 days without a visa for citizens of the UAE, Saudi Arabia, Qatar, Kuwait, Bahrain and Oman, with a passport valid for at least 6 months (Appendix 5 to Resolution No. 408 as amended by Resolution No. 662 of 21.10.2025).
• UAE residents of other nationalities enter on the same terms with an original UAE residence visa valid for at least 90 days (note 6).
• The UAE protocol of 16 January 2024 waives visas for up to 30 days but gives no right to work without a permit (Art. 3).
• Registration at the place of stay within 3 working days of entry, unless a treaty or legislation sets another period (Art. 7 ZRU-1074).
• Work. A founder of a foreign or joint enterprise, including one who becomes its head, may work without a work authorisation for up to 3 months; a foreigner who has invested at least 8,500 base calculation amounts in shares or in setting up a foreign enterprise may hold any position there without permit procedures; a hired director with no stake needs authorisation from the start (Appendix 20 to Resolution No. 86).

More on entry, residence permits and work permits in our guide for Arab investors.

Land and real estate

Foreign citizens, foreign legal entities and enterprises with foreign investment may hold land only on lease (Part 3, Art. 17 of the Land Code as amended by ZRU-871 of 23.10.2023; an enterprise with foreign investment is one with at least 15% foreign capital). They cannot privatise land (Art. 13 ZRU-728), and a plot that ends up in their ownership must be disposed of within 6 months, otherwise it passes to the state (Art. 33). Buildings and premises may belong to the company, with rights registered under ZRU-803. More on our real estate and land page.

Islamic finance

Law ZRU-1126 of 27 March 2026, in force since 29 June 2026, introduced a licence for Islamic banking, an Islamic Finance Council at the Central Bank and a list of Islamic banking operations: profit-sharing financing, the agency model, instalment sale, prepayment for goods, partnership and equity participation, and lease with the right to purchase (Article 5-1 of the Law on Banks), together with rules on their taxation. Since 2024, Regulation No. 3536 has governed Islamic financing by microfinance organisations. Whether a product is available depends on the licences issued and is checked deal by deal.

Dispute resolution

• Without a treaty (Art. 63 ZRU-598): negotiations, mediation, the competent Uzbek court; international arbitration only if the dispute is not resolved that way, a valid arbitration clause exists in an international treaty in force or in a contract with the Republic of Uzbekistan, and Uzbekistan has consented in writing.
• With a treaty (Art. 2 ZRU-598) its procedure applies: for a UAE investor, negotiations, the courts, then ICSID 24 months after notification; for a Saudi investor, after 6 months a choice between the courts, ICSID and UNCITRAL.
• With private partners, the arbitration clause decides: arbitration abroad or TIAC. The New York Convention has applied to Uzbekistan since 1996, Saudi Arabia since 1994, the UAE since 2006 and Qatar since 2003; recognition of an award may be refused only on the grounds in Art. 52 of ZRU-674.

Typical mistakes

• Counting on 5% when the UAE company holds less than 25%.
• Delivering the residence certificate after payment.
• Apostilling documents from the UAE or Qatar.
• Buying land through an LLC with a foreign stake of 15% or more.
• Letting a director work during the 30 days of visa exemption.
• Relying on the 2025 UAE agreement before its entry into force is published.

Timeline

The law sets no deadline for opening a bank account.

FAQ

Can a UAE company own 100% of an Uzbek LLC?

Yes, no local partner is needed (Art. 8 ZRU-1137), unless the UAE company itself is a single-member company.

How much is withheld from dividends paid to a Saudi parent?

7% if the residence certificate is provided before payment and the parent is the beneficial owner; otherwise 10%.

Do UAE documents need an apostille?

No: the UAE is not a party to the Convention, so consular legalisation is needed; the consulate takes up to 5 working days, not counting attestation in the UAE.

Can a Gulf investor buy land?

No, only lease it; buildings and premises may be owned.

When can an investor go to ICSID?

A Saudi investor 6 months after notice; a UAE investor if the dispute is not resolved after 24 months; without a treaty, only under a written clause in a contract with the state.

How Pactum helps

• We choose the entry vehicle and check which treaty and tax rate apply to your structure.
• We register an LLC or joint venture from 1,500,000 UZS.
• We carry out company due diligence before a stake purchase from 45,000,000 UZS (counterparty checks).
• We obtain residence permits from 4,000,000 UZS.
• We prepare the bank package for dividend repatriation (foreign investment).

Prices exclude state fees; the final price is fixed in a written proposal. Book a consultation or contact us: +998 99 050 50 70, Telegram @pactumcrmbot, info@pactum.uz.

Sources

• ZRU-598 on Investments and Investment Activity
• ZRU-1137 on Limited Liability Companies
• Tax Code
• UAE investment agreement of 2007 and PP-283
• Saudi investment agreement
• PP-287 on the Qatar agreement
• Investment agreements with Kuwait, Bahrain, Oman
• Tax treaties with the UAE, Saudi Arabia, Qatar
• Tax Committee: treaty rates
• Currency Operations Rules No. 3281
• Consular Legalisation Regulation No. 610
• HCCH: Apostille Convention status
• Resolution No. 408, Resolution No. 662, UAE visa protocol
• ZRU-1074, Appendix 20 to Resolution No. 86
• Land Code, ZRU-728, ZRU-803
• ZRU-1126, Regulation No. 3536
• Civil Code, ZRU-850, Registration Regulation
• ZRU-674, UNCITRAL: New York Convention status, ICSID

Quotations from acts in Uzbek and Russian are our translation. This article is not individual legal advice.