Uzbekistan introduces changes for issuing loans within the framework of the program "Every Family is an Entrepreneur"
Tashkent, Uzbekistan (UzDaily.com) - In accordance with the Law of the Republic of Uzbekistan “On the Central Bank of the Republic of Uzbekistan”, the Law of the Republic of Uzbekistan “On Banks and Banking Activities” and the resolution of the President of the Republic of Uzbekistan from 24 October 2019 “On Additional Measures to Improve the Lending Procedure for Projects Implemented as Part of State Programs for the Development of Family Entrepreneurship”, the Ministry of Justice registered a resolution of the Board of the Central Bank of the Republic of Uzbekistan from 21 December 2019 “On Amendments and Additions to the Regulation on the Procedure for Allocating Credits under the Program “Every Family is an Entrepreneur”.
According to the Central Bank of Uzbekistan, according to these changes and additions, it was found that:
- starting from 2020, loans under the “Every Family is an Entrepreneur” program will be provided by Khalq Bank, Microcreditbank and Agrobank;
- these loans are provided by commercial banks at the refinancing rate of the Central Bank of the Republic of Uzbekistan, as well as starting from 1 January 2021 at rates established by commercial banks independently on a market basis;
- application in accordance with the established procedure of a mechanism for compensating part of interest expenses within the framework of loans issued at rates established by commercial banks independently on a market basis.
Along with this, in order to create convenience for borrowers, the Regulation is supplemented by a provision providing for the possibility of making payments for delivered goods (services rendered) from abroad on the basis of import contracts using credit funds allocated under the “Every Family is an Entrepreneur” program, according to terms of these contracts.