Tashkent, Uzbekistan (UzDaily.com) — Uzbekistan is set to introduce a ban on banks encouraging clients to take out loans exceeding the amounts they initially requested. The relevant draft order from the Central Bank has been published for public discussion.

According to the regulator, between April and June 2025, banks issued 1.1 million microloans for amounts greater than those stated in clients’ applications. The explanatory note stresses that such aggressive lending practices prompt citizens to take on additional debt without genuine need, without assessing their financial capacity, and without considering potential risks. As a result, when financial difficulties arise, borrowers often face problems repaying their loans.

The draft order draws on the experience of the UK’s Financial Conduct Authority, where credit institutions are prohibited from persuading clients to sign loan agreements for amounts higher than requested, offering incentives or benefits for doing so, or otherwise influencing their decision.

In addition, the Central Bank proposes banning the practice whereby banks begin charging loan repayments before the date specified in the contract or repayment schedule, justifying it by the start of the operational day. The regulator emphasized that banks’ internal software systems must adhere to the contractual terms agreed between borrower and lender and must not alter payment dates at their own discretion.

Special attention is given to protecting socially vulnerable groups. At present, government benefits and allowances transferred to the bank cards of such citizens are sometimes used by banks to cover overdue debt. The Central Bank considers this practice to deprive recipients of the ability to use financial assistance for its intended purpose, thereby worsening their financial situation.

The draft also provides for issuing borrowers with a checklist outlining loan risks before they sign an agreement, as well as banning the use of “dark patterns” in banking applications that could manipulate customer behavior.