Over $500 million received by Uzbek banks for two months

By Azernews

By Kamila Aliyeva

Uzbekistan’s population sold over $500 million to banks during September-October 2017.

This was stated by the first deputy chairman of the Central Bank, Timur Ishmetov, at a conference in Tashkent.

The volume of currency exchange increased by 70 percent compared to the same period last year, while exporters’ sales of foreign currency earnings - by half, according to the Central Bank.

The bank’s representative also noted the growth of household deposits in foreign currency, which, in his opinion, characterizes the increase in public confidence in the monetary policy pursued by the Uzbek government.

The Central Bank of Uzbekistan devalued the national currency – soum – by almost two times on September 5, setting the official exchange rate of US dollar at 8,100 soums/USD compared to 4,210.35 soums/USD on September 4.

Simultaneously, restrictions were lifted for legal entities and individuals to convert the national currency.

In the first week after restrictions were removed, the population handed over $200 million to banks, and legal entities - about $100 million.

Currently, Uzbek people can buy foreign currency solely on plastic payment cards, which can be used abroad without any restrictions.

Earlier, individual entrepreneurs and farmers in Uzbekistan were allowed to withdraw foreign currency from their bank accounts.

In addition, legal entities can purchase foreign currency in banks without restrictions for payment on current international transactions - for the import of goods, works and services, repatriation of profits, repayment of loans, travel expenses and other non-trade transfers.

At the time, physical persons can only sell currency to banks through exchange offices.