Tashkent, Uzbekistan (UzDaily.com) -- The Resolution of the Board of the Central Bank of the Republic of Uzbekistan from 18 February 2023 approved the Regulations on the procedure for determining systemically important banks.

This Regulation has been developed taking into account the Guidelines on the Framework for Determining National Systemically Important Banks of the Basel Committee on Banking Supervision, the experience of foreign countries and specific aspects of the national banking system.

In accordance with the Regulations, systemically important banks that can significantly affect the stability of the banking system of the republic are determined on the basis of 4 criteria.

In particular:

- volume of the bank - the share of the volume of banking assets and off-balance sheet items of the bank in the total volume of total assets and off-balance sheet items of all banks;

- the relationship of the bank with the participants of the banking system - the share of the bank’s assets placed with other banks and its liabilities to other banks in the total volume of all the bank’s assets in other banks and liabilities to other banks;

- bank coverage - the bank’s share in the volume and number of local payments and transfers, the volume of loans allocated by sectors of the economy, the volume of deposits of individuals and legal entities in the banking system in the relevant aggregate indicators, as well as the number of bank service points;

- the complexity of banking operations is assessed on the basis of the share of the amount of cross-border (international) liabilities of the bank in the total amount of cross-border liabilities of all banks of the Republic.

Based on this Regulation, systemically important banks are identified, and at the initial stage, appropriate supervisory measures will be applied, such as establishing proportional supervision of the activities of these banks and assigning employees (curators) who will supervise them remotely.

At the next stage, the issue of establishing additional allowances (buffers) to prudential standards for systemically important banks in accordance with Article 38 of the Law of the Republic of Uzbekistan “On Banks and Banking Activity” will be considered.