A long-awaited step: The Islamic financing system is entering Uzbekistan's financial market. This was announced at a meeting chaired by the President. The full-scale launch of the system is expected to attract an additional $1 billion in investments and deposits to our economy.
What changes will the new system bring with it?
New services: Halal service types such as investment deposits (mudaraba), sale on credit (murabaha), partnership (musharaka), and Islamic leasing (ijara) will be introduced.
Tax benefits: VAT will not be calculated on the mark-up of goods sold on credit, and income from investment deposits will be exempt from tax.
Reliable oversight: Special Islamic Finance Councils will be established under the Central Bank and licensed banks. These councils will be engaged in developing standards, assisting in preparing drafts of regulatory-legal documents, providing explanations on contentious issues, reviewing contracts and internal documents, and ensuring compliance oversight.
This year, it is planned to launch the activity of an Islamic "window" in at least one commercial bank, and for 2026-2030, to establish two banks carrying out full-fledged Islamic banking activities.
The legal operation of Islamic finance will expand opportunities for entrepreneurs and the population to make halal and competitive investments. This new system will undoubtedly make the country's financial market more competitive and attractive to foreign investors.
