Uzbekistan to sell state-owned shares in two commercial banks

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TASHKENT (TCA) — The government of Uzbekistan has offered for sale state-owned stakes in the country’s two commercial banks, the Novosti Uzbekistana news agency reported.  

The state shares of Aloka bank (47.6 percent) were estimated at $42.7 million and 63.1 percent of shares of Turon bank at $29.7 million.

Foreign investors that would acquire the stakes will enjoy the following preferences:

– Joint stock companies with foreign capital between 15 and 33 percent of the charter capital enjoy exemptions from the profit tax, property tax, the tax for social infrastructure development, and deductions to the National Road Fund.

– Also, dividends on shares of foreign investors in Uzbek joint stock companies are exempted from taxes until 1 January 2020.  

In accordance with the President of Uzbekistan’s decree of December 21, 2015, joint stock companies in Uzbekistan must ensure that at least 15 percent of their authorized capital to belong to foreign investors.  

In the near future 10 commercial banks in Uzbekistan plan to attract foreign capital into their charter capitals.

The Uzbek Government’s decree of 10 February 2016 included Asaka Bank, Kishlok Kurilish Bank, Agrobank, Ipoteka Bank, Uzpromstroibank, and Microcreditbank in the list of 25 joint stock companies that must sell at least 15 percent of state-owned shares in the charter capital to foreign investors this year.

According to the Central Bank of Uzbekistan, the country now has 26 commercial banks, including three state-owned banks, 11 joint stock commercial banks, seven private banks, and five banks with foreign capital.

Sergey Kwan

TCA