Banks in Uzbekistan

Main article: Economy of Uzbekistan

Chronicle

2024: Mandatory biometric identification of bank customers in mobile application introduced in Uzbekistan before issuing loan

The Central Bank of Uzbekistan in October 2024 announced the introduction of a new procedure for issuing online loans, which will enter into force on November 1, 2024. The key innovation will be the mandatory biometric identification of customers in mobile applications of credit institutions before issuing a loan.

According to Yuz.uz, this measure is aimed at combating the increasing incidence of fraud in the registration of online loans. For the period from January to October 2024, 463 cases of illegal registration of loans in the name of citizens were recorded, as a result of which material damage was caused in the amount of about 15 billion soums.

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yuz.uz

The new order, developed taking into account international experience, will be valid until April 1, 2025. In addition to biometric identification, it provides for a two-stage verification of the applicant's credit history and the introduction of a 48-hour "cooling period" for new users of mobile banking applications.

During this period, credit transactions will be restricted. The client will be able to withdraw cash and pay for goods and services, but will not be able to make P2P transfers, replenish mobile phone accounts, make money transfers abroad and conduct online currency exchange.

To remove restrictions, the borrower must contact the bank within 48 hours using the phones indicated in the SMS message and confirm that the loan was issued by him personally, without the influence of fraudsters. After that, the bank employee will conduct an additional check and confirmation.

If within 48 hours after the transfer of funds to the client's card, it is established that the loan application was submitted under the influence of fraudsters, or if the client does not pass additional confirmation, the loan agreement will be terminated, and the allocated funds will be returned to the credit institution's account.^[1]

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