Central Bank: The limit on the amount of guaranteed deposits will not affect old deposits 

The Central Bank commented on the draft law on guarantees for the protection of deposits in banks, which provides for the introduction of an upper limit on the amount of guaranteed deposits at the level of 200 million UZS.

The bill was developed jointly with World Bank experts on the basis of foreign experience and international standards to harmonize legislation with modern requirements.

The Central Bank notes that depositors - both individuals and legal entities - can open deposits in several banks, each of which is subject to a state guarantee of up to 200 million UZS.

The maximum amount of deposit insurance fully covers 99.7% of the population and entrepreneurs with deposits in banks. At the same time, worldwide this figure is 92%, the regulator said.

Since the 2008 financial crisis, many countries, including Uzbekistan, have temporarily resorted to the practice of guaranteeing deposits in full. However, the system of full deposit insurance was subsequently abandoned and moved to limit the amount. Of the 108 countries, only Uzbekistan, Belarus, and Turkmenistan fully guarantee deposits.

"In addition, the amount of compensation specified in the bill does not apply to citizens' deposits opened before the day this law comes into force," the regulator's press service said.

The Central Bank announced plans to reduce the payment term on deposits when revoking the banking license. Under the current procedure, compensation is paid within 2 months and 23 days. However, from 2026, the payment period will be reduced to 15 working days, and from 2027, to 7 days.

The target of the Deposit Guarantee Fund will be set at 5% relative to the deposit base. It is also planned to create an Agency for Deposit Guarantee with expanded powers on the basis of the Citizens Deposit Guarantee Fund.

The bill is designed to ensure the stability of the banking system, the safety of household and business funds, the timely payment of depositors' funds when revoking a banking license, and reduce the "unhealthy" environment in the deposit market, the Central Bank concluded.