THE SITUATION OF THE FOREIGN DEBT POLICY OF UZBEKISTAN TODAY

Abstract

Nowadays, the effective management of public external debts is gaining importance as one of the urgent problems for the countries of the world. One of the main functions of the state before the citizens is the effective use of its budget funds and their correct direction. It is one of the effective ways to solve the lack of financial resources available in the state administration bodies in the performance of these functions, i.e. attracting foreign loans to the budget deficit process. External debt is a debt that reflects the current obligations of the local economy to foreigners (foreign countries, international financial institutions, etc.) The way of using these funds determines the positive or negative impact of the borrowed funds on the country's economy. At this point, according to the opinion of some economists, the non-effective use of external debt raised by the state may cause an increase in the debt and tax burden on economic entities and the population in the current period and in the future. In addition, it can significantly reduce the debt or economic growth in the country and cause social tension, because the debt exceeds the specified amount without having an effect on the amount of investments attracted to the economy of the country and the amount of funds allocated for social protection. won't stay. At the same time, the country's dependence on foreign countries and international financial institutions increases.