The Peculiarities of Encouraging the Transition of Untaxed Business to the Formal Sector

Gayratjon Nuralievich Alimardonov


This article is devoted to the peculiarities of encouraging the transition of untaxed business to the formal sector. In addition, some features of the untaxed (informal) business have been investigated, as well as the advantages of the shadow economy and recommendations on the transfer of untaxed business to the official one in Uzbekistan have been formulated. 


Encouragement; Transition; Untaxed Business; Formal Sector; Shadow Economy; Poverty Reduction; Income Distribution; Formalization; Policy; Untaxed Sector; Small Enterprises

Full Text:



Bruhn M., McKenzie D.J. Entry Regulation and Formalization of Microenterprises in Developing Countries. World Bank Research Observer, 29, (2014). – p. 186–201.

Demena B.A., van Bergeijk P.A. A meta–analysis of FDI and productivity spillovers in developing countries. Journal of Economic Surveys, 31 (2), (2017). – p. 546–571.

Farazi S. “Informal Firms and Financial Inclusion: Status and Determinants”. Policy Research Working Paper 6778, World Bank, Washington, DC, (2014).

Grimm M., Paffhausen A.L. (2015) Do interventions targeted at micro–entrepreneurs and small and medium–sized firms create jobs? A systematic review of the evidence for low and middle income countries. Labour Economics, 32. – p. 67–85.

Hart K (1973) Informal Income Opportunities and Urban Employment in Ghana. Journal of Modern African Studies, 11 (1). – p. 61–89.

Havránek T., Horvath R., Zeynalov A. (2016) Natural resources and economic growth: A meta–analysis. World Development, 88. – p. 134–151.

Loayza, N.V., Oviedo, A.M. and Servén, L., (2005). The Impact of Regulation On Growth And Informality–Cross–Country Evidence, Vol. 1 of 1. The World Bank.

Loayza, N. (2018). “Informality: Why Is It So Widespread and How Can It Be Reduced?” Research & Policy Brief 20, World Bank, Kuala Lumpur, Malaysia.

Muralidharan, K., P. Niehaus, and S. Sukhtankar. (2016). “Building State Capacity: Evidence from Biometric Smartcards in India”. American Economic Review 106 (10): 2895–2929.

Panizza, U. (2020). “Europe’s Ground Zero”. In Mitigating the COVID Economic Crisis: Act Fast and Do Whatever It Takes, edited by R. Baldwin and B. Weder di Mauro, 151–166. Center for Economic Policy and Research. Washington, DC: CEPR Press.

Schneider F., Buehn A., Montenegro C.E. (2011) Shadow Economies all Over the World: New Estimates for 162 Countries from 1999 to 2007. Handbook on the Shadow Economy. – p. 9–77.

Schotte, S., M. Danquah, R. D. Osei, K. Sen, and UNU–WIDER. (2021). “The Labour Market Impact of COVID–19 Lockdowns: Evidence from Ghana”. Working Paper 21–27, United Nations University–World Institute for Development Economics Research, Helsinki, Finland.

Surico, P., and A. Galeotti. (2020). “The Economics of a Pandemic: The Case of COVID–19”. European Research Council, Brussels, and Wheeler Institute, London. paolosurico/covid-19.

Tijdens K., Besamusca J., VanKlaveren M. (2015) Workers and Labour Market Outcomes of Informal Jobs in Formal Establishments. A Job–Based Informality Index for Nine Sub–Saharan African Countries. European Journal of Development Research, 27 (5). – p. 868–886.

Williams C.C., Round J. (2007) Re–thinking the Nature of the Informal Economy: Some Lessons from Ukraine International Journal of Urban and Regional Research, 31 (2). – p. 425–441.

World Bank. (2020). South Asia Economic Focus: The Cursed Blessing of Public Banks. Spring. Washington, DC: World Bank.



  • There are currently no refbacks.

Copyright (c) 2023 International Journal of Multicultural and Multireligious Understanding

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

International Journal of Multicultural and Multireligious Understanding (IJMMU) ISSN 2364-5369
Copyright © 2014-2018 IJMMU. All rights reserved.