Uzbekistan to Introduce Anti-Fraud Systems for Banking Sector by 2024-2025

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In a bid to combat the growing menace of bank card fraud, Uzbekistan has decided to introduce advanced anti-fraud systems in its banking and payment systems by 2024-2025. The decision was made following an order from President Shavkat Mirziyoyev, who took notice of the alarming rise in fraudulent transactions in the country.

Background

The increasing number of cases of card theft and fraud using bank cards or number-spoofing technologies has prompted the Central Bank to take action. In response, the Central Bank will implement several measures to enhance the security of financial transactions in Uzbekistan.

Anti-Fraud Systems

As part of the new program, the following anti-fraud systems will be introduced:

• Biometric Identification: Clients will undergo biometric identification to verify their identities.
• SIM Card and IMEI Code Verification: A system will be implemented to verify data using SIM cards and IMEI codes of mobile devices.
• Protection of One-Time Passwords: A mechanism will be created to protect one-time passwords sent via SMS messages.
• Blocking of Calls and Logins: In cases of theft or fraud, calls and logins will be blocked to prevent further unauthorized access.

Partnership with MasterCard

The partnership agreement between the Central Bank of Uzbekistan and MasterCard, signed in 2022, has paved the way for this initiative. The collaboration aims to combat payment card fraud and enhance cybersecurity in Uzbekistan.

Expected Outcomes

The introduction of these anti-fraud systems is expected to significantly reduce instances of banking fraud and enhance the overall security of financial transactions in Uzbekistan. This move will also boost consumer confidence in the country’s banking system, promoting a safer and more secure environment for digital payments.