NEWS AND EVENTS
October 16, 2014
Crisis not an Impediment
The credit and financial system in Uzbekistan has been actively involved in the implementation of measures designed to further improve the investment climate and business environment in Uzbekistan. This year, the country’s commercial banks plan to increase the scope of the private sector loaning.
Financial support of small businesses and entrepreneurship is among the important areas of banking. Its scale has been constantly expanding. For example, starting from the year 2000, business lending has increased 67.3 times, while microcrediting grew 129 times. In the first six months of 2014, the volume of loans issued by banks for small business and private entrepreneurship entities enhanced by more than 31% to reach $ 4.8 trillion soums. (Currency rates of CB from 16.10.2014 1$= 2375.56 soums)
Opening current local currency accounts for small businesses without charging fees, and processing applications within three business days in commercial banks yields good outcomes.
Banks allocated 660 billion soums to support business women, and 879 billion soums to empower projects on service sector development.
Besides, they allocated more than 124.4 billion soums of concessional loans under a program on the engagement of graduates of educational institutions in business, and funding business plans of graduates of vocational colleges.
In order to assist small businesses with using their credit resources through preparing project documents and financing their products the Association of Banks of Uzbekistan established the Foundation for Funding Document Processing on Investment Projects in 2012. Last year alone, the Foundation funded 50 projects on the development of project documentation, for which banks allocated 40 billion soums of loans.
(Source: «Uzbekistan Today» newspaper)