Why is this important
Strategy, infrastructure, regulatory framework – everything will be under the control of the new office. The industry is already showing growth: from 24 fintech companies in 2018 to 103 today, with annual investments exceeding $260 million, four times more than last year. The introduction of open banking, support for startups, and strengthening of digital services can attract even more capital and strengthen Uzbekistan’s position in the region.
What happened
- Establishing a FinTech office under the Central Bank is intended to define the criteria for the success of fintech projects and coordinate the development of the industry.
- Creation of an innovation hub for startup acceleration, implementation of new ideas, and attraction of investments.
- Develop a five-year strategy for fintech development.
- Analysis of the legal framework, infrastructure, and personnel potential; attracting experts from Singapore to study international experience.
- Plans to support about a thousand startups.
What they say
The Central Bank will become the “coordinator of fintech reforms”, and through the FinTech office, it will determine the criteria for success. The President emphasizes that expanding digital services, banks’ technological capabilities, and systematic support for fintech companies are key to financial market transformation.
Context
The fintech market in Uzbekistan has been growing dynamically over the past few years: not only the number of companies but also the volume of investments is increasing. Competition is intensifying in the region: Central Asian and Caucasian countries are actively developing digital finance, crypto services, and open banking systems. Uzbekistan wants not just to catch up, but to become a local leader. Key challenges: staff shortage, incomplete regulatory framework, the need for testing and regulatory “sandboxes”.
