Uzbekistan Issues Record-Breaking 18.7 trln UZS of Microloans in Q1 2025

In March 2025, Uzbekistan saw a record-breaking surge in microloan activity, according to figures released by the Central Bank.

During the first quarter of the year, microloan issuance totalled more than 18.7 trln UZS — 2.29 times higher than the same period in 2024. Of that, 5.56 trln UZS were issued in January (a 2.14-fold increase year-on-year), 5.97 trln in February (up 2.25 times), and 7.16 trln in March — a monthly record and 2.46 times higher than the previous year.

Microcredit Share Rises Alongside Stricter Regulation

Microcredit volumes also experienced substantial growth. In Q1 2025, microcredit issuance rose by 88.9%, from 2.88 trln to 5.45 trln UZS. January saw 1.3 trln UZS in new microcredits (2.37 times more than the year before), February 1.99 trln (+2.05 times), and March 2.15 trln (+57.9%).

Altogether, loans taken out by individuals between January and March amounted to 34.9 trillion UZS — a 74% increase compared to Q1 2024. Over half of this total was made up of microloans, with microcredits accounting for a further 15.6%. In total, microlending made up 69% of all personal lending during the period.

In response to the rapid expansion, the Central Bank is introducing tighter requirements for banks regarding their loan portfolios. The share of microloans and overdraft-based credit cards must not exceed 25% of a bank’s total lending portfolio. Banks that do not yet meet this standard have until January 1, 2029 to comply. These new rules will officially come into force on 24 July.

Additionally, the regulator is capping the maximum annual overpayment on microloans at 50%. The daily interest rate limit is also being lowered from 0.3% to 0.25%. A borrower’s debt burden ratio — measuring the proportion of monthly loan payments to income — will be set at 50%.

Kursiv also reports that nearly 39% of Uzbek citizens did not manage to save any money in the past year.