Overview
The Central Bank of the Republic of Uzbekistan was established on September 7, 1991, following Uzbekistan's independence from the Soviet Union, and commenced operations on October 7, 1991. The Bank serves as Uzbekistan's primary monetary authority, responsible for implementing monetary and foreign exchange policy, regulating and supervising the banking system, and overseeing payment system infrastructure. The introduction of the national currency "som" on July 1, 1994, marked Uzbekistan's achievement of complete monetary independence and independent central banking operations.
Current Chairman: Timur Ishmetov (as of 2024-2025)
Headquarters: Tashkent, Uzbekistan
Status: Independent central bank with integrated banking supervision and regulatory authority
Basic Identity
| Field | Value |
|---|---|
| Official Name (English) | Central Bank of Uzbekistan (CBU) |
| Official Name (Local Language) | Central Bank of Uzbekistan (CBU) |
| Acronym | CBU |
| Country | Uzbekistan |
| Jurisdiction Level | National |
| Official Website | https://cbu.uz/en/ |
| Official Website Language(s) | Uzbek (primary), English (partial) |
| Headquarters | Uzbekistan |
| Year Established | Not publicly documented |
| Current Status | Active |
Classification
| Field | Value |
|---|---|
| Entity Type | Central Bank |
| Control Layer | Layer 1 — Sovereign/Government Regulator |
| Legal Authority Level | Binding |
| Jurisdiction Level | National |
| Scope of Power | Licensing, Supervision, Enforcement, Rulemaking |
Inclusion Justification
| Field | Value |
|---|---|
| Why This Entity Is Included | Primary monetary authority with statutory powers over banking supervision, monetary policy, payment systems, and financial stability |
| Type of Influence | Direct |
| Exclusion Risk | Removes the foundational monetary and banking regulatory authority from the directory, making the jurisdiction's financial control structure incomprehensible |
What This Entity Oversees
The Central Bank of Uzbekistan exercises comprehensive authority over the banking sector:
Regulatory Authority:
- CBU is the state body regulating the banking sector
- Licensing authority for all banks and banking institutions
- Powers of regulation and prudential supervision over all credit organizations
Supervisory Framework:
- Transition to Risk-Based Supervision (RBS): Gradual implementation with World Bank technical assistance
- Basel Core Principles: Self-assessment against global standards (2019)
- Prudential Standards: Capital adequacy, liquidity, asset quality requirements
- Systemic Risk Monitoring: Focus on largest and most interconnected banks
- Compliance Assessment: Alignment with international regulatory standards
Commercial Banking Oversight:
- Regulation of commercial bank operations and activities
- Capital requirements and leverage ratio monitoring
- Liquidity coverage and net stable funding ratios
- Large exposure limits and concentration management
Credit Organization Classification:
- First-tier banks (with broader permitted activities)
- Second-tier banks (with restricted activities)
- Specialized credit organizations
- Cooperative credit organizations
Supervisory Approach:
- Scheduled on-site inspections and risk-based examinations
- Offsite monitoring and reporting requirements
- Ongoing transition from compliance-based to risk-based supervision
- Gradual strengthening of supervisory capabilities through technical assistance
The Central Bank of Uzbekistan emphasizes financial sector modernization and inclusion:
Banking Sector Development:
- Support for increasing banking system penetration
- Credit accessibility expansion to underserved populations
- Microfinance sector coordination (non-bank entities)
- Rural banking initiatives
Digital Financial Services:
- Mobile payment system development
- Electronic wallet expansion
- Digital banking services for individuals and SMEs
- Payment system modernization and accessibility
Technical Assistance:
- World Bank partnership on financial sector reform
- Capacity building for supervisory staff
- Regulatory framework strengthening
- Risk management systems enhancement
The Central Bank of Uzbekistan implements comprehensive AML/CFT measures:
Legal Framework:
- Law dated August 26, 2004 on Combating Money Laundering and Terrorist Financing
- National AML/CFT/CPF system aligned with international standards
- Coordination with FIU and law enforcement authorities
Supervisory Framework:
- AML/CFT supervision integrated with prudential oversight
- Customer due diligence requirements for banks
- Suspicious transaction reporting obligations
- Record-keeping and documentation requirements
- Beneficial ownership verification
Emerging Risks:
- Digital asset and cryptocurrency transaction monitoring
- Trade-based money laundering detection
- Terrorism financing prevention through financial sector
International Cooperation:
- Participation in AML/CFT mutual evaluation processes
- Coordination with FATF and regional bodies
- Exchange of information with other central banks
Regulatory Powers
This entity exercises the following regulatory powers as the central monetary authority:
| Power | Description |
|---|---|
| Monetary Policy Authority | Formulates and implements monetary policy, including setting key interest rates and reserve requirements |
| Banking Licensing | Issues, suspends, and revokes banking licenses for commercial banks and financial institutions |
| Prudential Supervision | Conducts on-site and off-site supervision of licensed financial institutions |
| Enforcement Authority | Issues directives, imposes penalties, and takes corrective actions against non-compliant institutions |
| Payment Systems Oversight | Regulates, operates, and/or oversees national payment and settlement systems |
| Foreign Exchange Authority | Manages foreign exchange reserves and regulates foreign exchange transactions |
| Currency Issuance | Sole authority to issue and manage national currency |
| Lender of Last Resort | Provides emergency liquidity assistance to solvent but illiquid financial institutions |
| AML/CFT Supervision | Supervises compliance with anti-money laundering and counter-terrorism financing requirements |
| Rulemaking | Issues regulations, guidelines, circulars, and directives binding on regulated entities |
Regulatory Role and Function
| Role | Description |
|---|---|
| Primary Role | Monetary policy formulation and implementation; banking system supervision |
| Licensing Role | Licenses and authorizes banking institutions and payment service providers |
| Supervisory Role | Prudential supervision of banks and financial institutions |
| Enforcement Role | Enforcement of banking laws, regulations, and prudential standards |
| Payment Systems Oversight Role | Operation and oversight of national payment and settlement systems |
| AML / CFT Role | AML/CFT supervisory authority for banking sector |
Legal Foundation
The Central Bank of Uzbekistan operates under the constitutional and legislative framework established following independence:
- Law of the Republic of Uzbekistan "On the Central Bank of the Republic of Uzbekistan" (adopted 1991, amended through 2019)
- Law of the Republic of Uzbekistan "On Banks and Banking Activity" (2019, aligned with international standards)
- Law on Payments and Payment Systems (as amended)
- AML/CFT Legal Framework: Law dated August 26, 2004, on Combating Money Laundering and Terrorist Financing
- Banking Supervision Framework: Regulations aligned with Basel Core Principles (self-assessment 2019-2021)
The CBU's modern regulatory framework reflects recent reforms implemented with World Bank technical assistance, transitioning from compliance-based to risk-based supervision across both prudential and AML/CFT domains.
Licensing and Authorization Relevance
The Central Bank of Uzbekistan (CBU) is a key licensing authority in Uzbekistan's financial system:
| License Type | Description |
|---|---|
| Banking License | Authorization to conduct deposit-taking and lending activities |
| Payment Service Provider License | Authorization to provide payment services and operate payment systems |
| Foreign Exchange Dealer License | Authorization to conduct foreign exchange dealing and brokerage |
| Bureaux de Change License | Authorization to operate money changing services |
| Money Transfer License | Authorization to provide money transfer and remittance services |
| Electronic Money Issuer License | Authorization to issue electronic money instruments |
The licensing process typically involves assessment of capital adequacy, fitness and propriety of management, business plan viability, AML/CFT compliance frameworks, and IT systems readiness.
Payments and Money Movement Relevance
The Central Bank of Uzbekistan implements monetary policy through a framework reformed to strengthen inflation management:
Current Policy Framework:
- Base rate (policy rate) adjustments to control inflation and money supply
- Inflation targeting approach adopted in recent years
- Coordination with government fiscal policy for macroeconomic stability
Monetary Operations:
- Open market operations through standing facilities
- Reserve requirement management for banking system liquidity
- Foreign exchange interventions to stabilize som exchange rate
Economic Growth Support:
- Balance between price stability and sustainable economic growth
- Support for credit expansion to productive sectors
- Financial inclusion measures aligned with monetary objectives
Regional Integration:
- Coordination with CIS central banks on monetary policy cooperation
- Participation in regional payment system networks
The Central Bank of Uzbekistan operates and regulates domestic and international payment systems:
Primary Payment Systems
UZCARD Payment System:
- Historical domestic card payment network
- Debit card issuance and processing
- ATM and point-of-sale terminal network
- Integration with international card schemes
HUMO Payment System:
- Launched 2019 as modern national payment system
- Contactless card payment capabilities
- International cooperation with Visa, Mastercard, China Union Pay
- Co-badged cards for local and international use
- Humo-Visa
- Humo-Mastercard
- Humo-UnionPay
- Infrastructure integration with Uzcard completed in 2023
- Interoperability of terminals across card networks
Mobile and Electronic Wallets:
- Milliy Mobile App for transfers to electronic wallets
- Automatic currency conversion on receipt
- Support for receipt of transfers from Russia in national currency
- Integration with domestic card networks (UzCard, Humo)
Payment Processing:
- Processing and clearing center operations
- Local transaction processing for domestic and international cards
- Support for Visa, Mastercard, American Express, Diners Club, and other schemes
- Fraud prevention and transaction security
Interbank Infrastructure
- Real-time gross settlement systems for large-value payments
- Clearing and settlement infrastructure for retail payments
- Coordination with regional payment systems (CIS)
Regulation and Oversight
The CBU maintains oversight of payment system operators and participants:
- Payment system licensing and registration
- Operational security and resilience requirements
- Risk management standards for payment service providers
- Participation and access requirements for banks
Som Exchange Rate Policy:
- CBU sets exchange rate without obligations to buy or sell at set rate
- Managed float approach balancing stability and market signals
- Foreign exchange market oversight and regulation
Currency Liberalization (2017):
- Significant liberalization of foreign exchange controls following 2017 reforms
- Enhanced accessibility for international trade transactions
- Reduction of non-tariff barriers related to currency access
- Integration toward freely convertible currency status
Foreign Exchange Regulations:
- Strict enforcement of currency exchange and payment regulations
- Requirements for currency market transactions
- Monitoring of international payments and transfers
- Integration with AML/CFT frameworks for FX transactions
International Reserves:
- Foreign exchange reserve management
- Coordination with IMF and international monetary authorities
Historical Milestones:
- July 1, 1994: Introduction of national currency som, achieving monetary independence
- August 13, 1994: Som introduced at official exchange rate
- Economic Transition: Complete separation of monetary system from Russia and former Soviet states
Current Currency Management:
- Som as sole legal tender
- Banknote and coin issuance by CBU
- Cash circulation management
- Currency counterfeiting prevention
Payment Systems Governed or Overseen
The CBU operates and/or oversees the national payment and settlement infrastructure of Uzbekistan. Specific systems include:
| System Name | Relationship Type | Operator | Key Details |
|---|---|---|---|
| Interbank Payment System (IPS) | Direct operator | Central Bank of Uzbekistan | Real-time gross settlement for large-value interbank transfers in national currency (som); payments conducted through correspondent accounts at CBU; regulated under Law on Payments and Settlement Systems |
| Clearing Centre | Direct operator | Central Bank of Uzbekistan | Clearing and settlement infrastructure for retail and batch payments; handles settlement operations in national currency for domestic card networks and payment systems |
| HUMO Payment System | Regulated participant | National Interbank Processing Centre LLC (operator); Clearing Centre of CBU (national currency settlement) | Modern national card payment network launched 2019; processes debit card transactions, contactless payments; co-badged with Visa, Mastercard, Union Pay; integrated with Uzcard infrastructure as of 2023 |
| UZCARD Payment System | Regulated participant | UzCard Processing Centre (operator); Clearing Centre of CBU (settlement) | Historic domestic card payment network; debit card issuance and processing; ATM and POS terminal network; integrated with HUMO infrastructure as of 2023 |
| UPAY Payment System | Regulated participant | UPAY LLC (operator) | National payment system for electronic transactions and merchant acquiring |
| Mobile and Electronic Wallets | Oversight | Various banks and fintech providers | Milliy Mobile App for electronic wallet transfers with automatic currency conversion; integrated with domestic card networks |
Relationship to Other Regulators
International Monetary Fund (IMF):
- Member of the International Monetary Fund
- Participation in Article IV consultations
- Technical assistance programs for financial sector reform
- Coordination on monetary and exchange rate policies
Commonwealth of Independent States (CIS):
- Regional monetary cooperation
- Participation in CIS central bank coordination mechanisms
- Integration with regional payment systems
- Cross-border payment arrangements
World Bank:
- Financial Sector Assessment Program (FSAP)
- Uzbekistan Financial Sector Reform Project partnership
- Technical assistance on supervisory framework
- Capacity building support
Alliance for Financial Inclusion (AFI):
- New Chair of AFI's Eastern Europe & Central Asia Policy Initiative
- Leadership in regional financial inclusion efforts
- Coordination on policy harmonization across Central Asia
Bilateral Central Bank Relationships:
- Cooperation with major central banks
- Exchange of expertise and best practices
- Payment system interoperability development
Geography and Jurisdiction Notes
| Field | Value |
|---|---|
| Applies Nationwide | Yes |
| Applies at State or Sub-National Level Only | No |
| Cross-Border or Regional Reach | No |
| Special Territorial Notes | National jurisdiction within Uzbekistan |
Important Departments and Divisions
| Division / Department | Primary Function |
|---|---|
| Banking Supervision Department | Prudential supervision of banks and deposit-taking institutions |
| Monetary Policy Department | Formulation and implementation of monetary policy |
| Payment Systems Department | Operation and oversight of payment infrastructure |
| Financial Stability Department | Systemic risk monitoring and macroprudential policy |
| Foreign Exchange Department | FX reserves management and exchange rate policy |
| AML/CFT Compliance Unit | Anti-money laundering supervision and enforcement |
| Research and Statistics Department | Economic research and data collection |
Key Public Resources
Headquarters:
- Central Bank of the Republic of Uzbekistan
- Address: Tashkent, Republic of Uzbekistan
- Website: https://cbu.uz/en/
Executive Board:
- Management structure and leadership contacts available on official website
- Chairman: Timur Ishmetov
Regulatory Inquiries:
- Banking supervision contacts
- Payment system regulatory division
- AML/CFT supervision unit
- International relations department
Notes on Naming and Language
| Field | Value |
|---|---|
| Preferred English Rendering | Central Bank of Uzbekistan (CBU) |
| Official Local-Language Rendering | Central Bank of Uzbekistan (CBU) |
| Primary Language | Uzbek |
| English Availability | Partial |
| Official Website Language(s) | Uzbek (primary), English (partial) |