Tashkent, Uzbekistan (UzDaily.com) -- At the 24th plenary session of the Senate of the Oliy Majlis, the Law of the Republic of Uzbekistan "On non-bank credit organizations and microfinance activities" was considered.

This Law was developed in pursuance of the Decree of the President "On the Strategy for Reforming the Banking System of the Republic of Uzbekistan for 2020-2025" and the State Program "Year of Supporting Youth and Improving Public Health".

The law systematizes the rules governing the activities of microcredit organizations, pawnshops and mortgage refinancing organizations that have the right to carry out certain types of financial transactions of banks.

It was noted that today the legal acts regulating the activities of non-bank credit organizations are scattered, there is no single legislative act containing directly applicable rules governing relations in the field of creation and activities of these organizations.

The law establishes a list of financial transactions (services) carried out (rendered) by non-bank credit institutions, taking into account the specifics of their activities.

The requirements for the establishment of non-bank credit institutions are also specified, including their organizational and legal form, founders and participants (shareholders), executives (members of the supervisory board and executive body, chief accountant), as well as requirements for the authorized capital (authorized capital ) and its minimum size.

The law envisages the procedure for pawnshops to send notifications of the commencement of activities to the Central Bank, as well as a unified procedure for registration of microfinance organizations and mortgage refinancing organizations. At the same time, instead of licensing, accounting registration is introduced, a list of documents required for accounting registration, the procedure for their consideration and the adoption of an appropriate decision are established.

At the same time, rules are defined to protect the rights of consumers of services of non-bank credit institutions, including such obligations as disclosure of information about the services they provide, not unilaterally changing the terms of the contract, as well as guaranteeing the confidentiality of information on financial transactions of borrowers and creditors of non-bank credit institutions. .

As a result of the adoption of the Law, an expansion of the range of services provided by microfinance organizations, satisfaction of the needs of small businesses in financial resources, including services related to Islamic finance, will be achieved.

At the same time, the functioning of non-bank credit organizations as agents of banks and other financial organizations contributes to the achievement of financial services coverage of the population and small businesses in hard-to-reach and remote areas of the republic.

This Law is also important for meeting the needs of the population and business entities in financial resources and developing the activities of non-bank credit organizations.

The law was approved by the senators.