Uzbekistan’s household debt load surges past “alarming” levels — Central Bank
Uzbekistan’s Central Bank has described the rapid rise in household borrowing as an «alarming situation», with loans to individuals growing much faster than those to businesses.
Loans to individuals surged by 21.2% year on year, adding about $3.37 billion to household debt, Senator Husan Ermatov told fellow lawmakers earlier this month.
He noted that more recent Central Bank data showed the trend continuing: by 1 July, retail loans had reached about $19.7 billion, accounting for 37% of Uzbekistan’s total bank loan portfolio. In the meantime, corporate loans stood at around $34 billion.
Ermatov spoke during a Senate debate on amendments to Uzbekistan’s advertising law that would require loan and microloan adverts to warn clients about financial risks. Deputy Central Bank chairman Sanjar Nosirov said these figures accorded with the regulator’s vision.
«That is a genuinely alarming situation. We have seen lending grow rapidly recently,» Nosirov stated.
«What worries us most is not the headline amount of debt but the growing burden on borrowers, i.e., whether households can actually afford to service it,» the Central Bank deputy chairman said. «That is one trend we are watching most closely.»
The expansion has been particularly striking over the longer term. Household bank debt stood at roughly $3.66 billion in 2020 before climbing above $19 billion this year, driven by mortgages, microloans, car finance and other forms of retail credit.
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Why Central Bank sounds alarm about household loans
The concern is not simply that more people are borrowing, but that a growing share of households are servicing several debts at once. Microloans continue to be one of the most controversial topics.
According to the regulator, average debt-service burdens in that segment have increased even as overall household debt indicators have improved, and banks have identified rising household indebtedness as one of the most significant risks to financial stability.
The Central Bank’s latest financial stability assessment found that 53% of borrowers who took bank loans in 2025 were already repaying more than one debt, up from 43% a year earlier.
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