Islamic Banking Law is being prepared in Uzbekistan

The introduction of the Islamic banking system in Uzbekistan's financial market is being raised as an important topic. This was reported by Zamin.uz.

On September 16, this issue was discussed in the Legislative Chamber of the Oliy Majlis, and a special draft law was presented to the deputies. According to Abrorkhoja Turdaliyev, Deputy Chairman of the Central Bank, it is planned to introduce a separate license to start Islamic banking activities in the country.

Banks will be able to independently start operating as Islamic banks or open special departments providing Islamic services within existing banks. Through this project, the population and business entities will have the opportunity to receive financial services in accordance with Sharia rules.

According to experts, this initiative will increase competition among banks, attract new investments, and help improve the quality of financial services. The draft law envisages amendments to the Tax and Civil Codes as well as eight other laws.

Additionally, new concepts such as "Islamic bank," "Islamic finance standards," and "investment deposit" will be introduced into the legislation. Turdaliyev emphasized that the availability of alternative financial services through Islamic banks and microfinance organizations will expand, and new tools to support business will be launched.

For reference, since 2022, efforts have begun to establish Islamic windows in more than ten banks. The head of state also noted that the introduction of Islamic finance could attract about five billion additional dollars of resources to the country and improve competition in the financial market.

Furthermore, in 2024, Deputy Chairman of the Central Bank Behzod Hamroyev announced that a draft law on Islamic finance has been prepared and is planned to be submitted to parliament by the end of the year (Source: zamin.uz).