Uzbekistan To Allow Establishment Of Microfinance Banks
Published
Licences for their operation will be issued by the Central Bank
Uzbekistan will allow the creation of microfinance banks, with amendments to the legislation, the Ministry of Justice reports.
The Central Bank of Uzbekistan will issue licences for the operation of these organisations. The law also outlines the procedure for transforming a microfinance organisation (MFO) into a microfinance bank.
Furthermore, the new type of bank will be allowed to obtain commercial bank status and vice versa. This way, the new financial institution will act as a link between the MFO status and that of a bank.
The amendments will enable MFOs to attract public funds through deposits.
