The document was developed in line with the order of the President of Uzbekistan in his report dedicated to the social-economic development of Uzbekistan n 2013 and priorities of economic programme for 2014 at the session of the Cabinet of Ministers on 17 January 2014.

Uzbekistan introduces information technologies into activities of the state bodies and economic entities, as well as life. This became important direction of the state policy.

Currently, large trade companies in the world use electronic commerce (e-commerce) along with traditional forms of sales. According to some data, about 10% of population of the world use Internet to make purchases and this figure is growing.

Integration of Uzbekistan into world economic system leads to introduction of corresponding technologies by local businesses both in local and international markets.

Uzbekistan adopted a law, which regulates electronic commerce in the country. But, it requires update due to development of information communication technologies and commerce.

The draft law is directed at improving e-commerce sector within the implementation of priority tasks on further deepening democratic market reforms in Uzbekistan and liberalizing economy.

It will help to create additional conditions for developing entrepreneurship and improving business environment, as well as organize technologies of market infrastructure, meeting international standards.

The main goal of the drafts law is to create favourable conditions for effective functioning of e-commerce – activities on sales of goods, works and services, using electronic documents and tools, setting legal mechanism on establishing legal mechanisms of realization and protection of rights of e-commerce participants.

During the development of the document, the legislations of some other nations were studied. Currently law “On electronic commerce” is based on notions and terms, used in the law of Uzbekistan “On electronic document turnover” and “On electronic digital signatures” with the use of electronic digital signature.

Technologies on use of electronic digital signature envisages preliminary agreement relations between two sides, or use service of authorized centers based on infrastructure of public keys.

At the same time, at internal practice various other available resources of identification at commercial shops, including using one-time identifiers to mobile phones and electronic mail, are used in e-commerce.

Currently, the banking system of Uzbekistan realized mechanisms on making payments with use of banking cards in real time mode via Internet and the system of distance banking services is developed.

In order to simplify procedure on conducting deal, the draft project allows to use one-time identifiers and other similar signatures, which would simplify conducting electronic deals.

Besides, the draft law regulates relations, which arose at use of electronic documents (messages) to improve deals and other legal activities in e-commerce. The document sets peculiarities of signing agreements with use of electronic documents (messages) and requirements to participants of e-commerce, including to information mediators.

The draft law in new edition differs from previous edition:

- First, the document abolishes mandatory existence of electronic digital signature in electronic documents for individuals, subjects of electronic commerce, and allows use of one-time identifiers or other similar own signature. This will allow to simplify registration of electronic deals and accept payments with use of banking cards via Internet;

- Second, expands number of information mediators (telecommunication network operators, payment agents, persons conducting e-trades and providing services on depository storage of e-documents), which provide services on conducting electronic deals to subjects of electronic commerce.

- Third, the document sets additional requirements to procedures of proposals, acceptance of commercial proposals and terms of agreements on e-commerce, taking into account as peculiarities of registering agreements with use of electronic documents (messages).

- Fourth, the document also introduces norms on possibility of issuing invoices and other necessary documents in electronic forms. Currently, according to the legislation, it is necessary to sign invoices and other documents on execution of agreement in paper form, which creates additional barriers to e-commerce via Internet.

- Fifth, the document sets authorized body and its authorities to crate favourable conditions and develop single strategy for development of e-commerce in modern conditions, ensure single approach to solving organizational, technological and legal issues.

The draft law also pays special attention to ensuring safety of information and protection of personal data of participants of electronic commerce.

The draft law will help to cut expenses for transactions via Internet and solve problems related to geographic location of all entities. It will create conditions for establishing direct contract relations between sellers and buyers and launch of new participants of the market, who can compete in international markets as well.

The transparency of transactions will increase and allow buyers to receive information on prices, quality and delivery terms, etc.

The draft law will be considered at the interested ministries and departments, as well as with public, the Central Bank of Uzbekistan said.