Commercial Banks in Uzbekistan Adopt Electronic Trading Platform
In a significant development, commercial banks in Uzbekistan can now send applications for various banking services and permits through an electronic trading platform. This move aims to streamline the process, reduce paperwork, and make it more efficient for both banks and customers.
Procedures for Commercial Banks
The Central Bank of the Republic of Uzbekistan has outlined several procedures that commercial banks must follow when:
- Opening correspondent accounts in national and foreign currencies with the Central Bank or other resident banks
- Issuing bonds through auctions, with terms posted on the Central Bank’s website at least three days prior to the auction
- Obtaining permits from the Central Bank for activities such as:
- Opening accounts abroad
- Reorganization
- Voluntary liquidation
Additional Requirements
Commercial banks must also:
- Obtain preliminary approval from the Antimonopoly authority in certain cases, including:
- Transactions involving the acquisition of more than 50% of a bank’s authorized capital
- Total book value of assets exceeding one hundred thousand times the basic estimated value
- Provide information on their compliance with banking regulations and maintain confidentiality
Permits for Foreign Currency and Investment Activities
The Central Bank has also outlined procedures for banks to obtain permits for:
- Importing and exporting foreign currency
- Investment activities in the securities market
Commercial banks are required to register off-exchange transactions in securities and provide information on registered transactions to the Agency for capital market development.
Benefits of Electronic Trading Platform
According to a spokesperson for the Central Bank, “The electronic trading platform will greatly facilitate the process of sending applications and permits, reducing paperwork and increasing efficiency. We believe this move will benefit both commercial banks and customers.”
Implementation and Further Information
Banks are expected to begin using the electronic trading platform immediately. Further details on the regulations and procedures can be found on the Central Bank’s website.