Wednesday, 17, July, 2024

Harsher rules for foreign currency transactions will apply for state-owned companies in Uzbekistan, the governor of the Central Bank, Mamarizo Nurmuratov confirmed at a press conference on Thursday.

The Cabinet of Ministers adopted a resolution in relation state-owned companies, according to which, from April, they are allowed to conduct foreign currency transactions only through those banks where they have their main account. The Central Bank sent the germane document to all banks.

“This matter is not new. In September, we raised this matter, since this is necessary not only from the standpoint of currency, but from the standpoint of proper currency control over the foreign economic operations of entities where the government’s stake is over 50%. There is such a document in this direction, and banks work according to it,” shared the head of the Central Bank Nurmuratov.

Earlier in mid-September the Central Bank announced plans to implement some restrictions on foreign currency transactions for banks and businesses, but after a public outcry the decision was canceled. Mamarizo Nurmuratov noted that the document was a decision of the Banking Supervision Committee of the Central Bank, which ordered banks to take measures to control customers and reduce sanctions risks. According to him, foreign banks did not approve payments due to insufficient verification of clients in Uzbekistan.

He also spoke about concerns that foreign currency could be illegally siphoned off through secondary bank accounts for imported goods.

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