posted 24 Jul 2016, 06:08 by Webmaster Ambasciata
Bank loans remain a catalyst for economic development of the country

Growth of services of ICT companies amounts to 11.4%

Uzbekistan and France hold IGC meeting in Tashkent

Number of population employed in Uzbek economy makes up 13.191 million people


Bank loans remain a catalyst for economic development of the country

An expanded meeting of the Board of the Central Bank, on the results of the banking system in the first half of 2016, the execution of the main directions of the economic program and the priorities for the current year, determined by the President Islam Karimov at the session of the Cabinet of Ministers of January 15 this year.

The meeting was led by the Chairman of the Central Bank Faizullah Mullajonov.

It is noted that in the reporting period, monetary policy of the Central Bank was designed to achieve the forecast of macroeconomic indicators for 2016, compliance with the requirements set out in the policy documents of the head of state to further reform and improve the stability of the banking system and achievement of high international ratings.

In the reporting period implemented comprehensive measures to further increase the level of capitalization of the domestic banking system, strengthening its liquidity and stability.

As a result, the banking system indicators not only meet the generally accepted international standards, but also exceed them in some respects.

In particular, the total capital of banks as of July 1, 2016 is 8 trillion soums (currency rates of CB RU from 22.07.2016, 1$= 2958.87 soums), which shows an increase of 23.3 percent compared with the corresponding period last year.

To date, the capital adequacy ratio of the banking system is almost 3 times higher than the established international standards.

But the level of current liquidity for a number of years, more than 64.5%, which is 2 times higher than the minimum standards adopted in the world practice.

Total assets of banks in comparison with the increased by 25.1% same period last year and reached 73.4 trillion soums.

Undertaken extensive measures to strengthen the financial stability of commercial banks have a positive effect when they receive an international credit rating for the indicator.

International rating agency "Moody's" sixth consecutive year assigns rating with "stable" forecast the prospects of development of the banking system of Uzbekistan.

Activities «Standard & Poor's» of the banking system of Uzbekistan is also positively assessed by rating agencies and «Fitch Ratings».

Thus, all domestic banks has evaluation "stable" from "big three" rating agencies.

These key indicators of the banking system, both the adequacy of the total capital of banks, the liquidity of commercial banks, the dynamics of total deposits, a change in the volume of credit investments in the reporting period correspond to the highest estimate.

Banks, on the basis of the priority economic tasks this year, large-scale measures implemented by commissioning the most important high-tech and modern facilities and capacities; modernization, technical and technological renewal of production in the industrial sector.

In particular, during the reporting period the total amount of credits directed to the real sector of the economy increased by 26.2% compared to the same period last year, and today, their volume is more than 48 trillion soums.

The volume of investment loans, compared with the same period last year increased more than 1.2 times and as of April 1, 2016 amounted to 5.8 trillion soums.

As part of the execution of judgments and decrees of the President, aimed at developing small business, creating a favorable business environment and providing greater freedom of entrepreneurship, the volume of loans to small businesses compared to the same period in 2015 increased by 1.3 times and 1 July this year amounted to 8.6 trillion soums, including the amount allocated to micro-credits amounted to 1.8 billion soums, which is 30 percent more than last year's figure for the same period.

The volume of loans aimed at supporting women's entrepreneurship, as compared to the same period last year increased by 1.3 times and amounted to more than 897.1 billion soums.

Banks also pay serious attention to the wide involvement of graduates of professional colleges in the enterprise, as well as the financing of business projects. So, in the first quarter of the current year for this purpose have been allocated loans worth 176.5 billion soums, which is 1.3 times more than in the corresponding period last year.

It is worth noting that the success of the reform and liberalization of the domestic banking system found its reflection in the annual evaluation of the World Bank's review and the International Finance Corporation under the terms of doing business «Doing Businees-2016."

According to recent data, over the previous three years of credit rating conditions Uzbekistan has moved immediately to step 113, that is, with 154 seats on the 42.

In particular, progress on this indicator in 2013 amounted to 24 positions in 2014 to 26 in 2015 and 63.

Also indicators of Uzbekistan on the index of credit information sharing evaluated by 7 points on an 8-point scale, and this figure was higher than on the performance of some member countries of the Organization for Economic Cooperation and Development (OSED).

A stable state of domestic banks, increasing confidence in them, as well as the growth of real incomes remain a sound basis for the attraction of free funds of population and economic entities to bank deposits. Targeted work to further increase the resource base of banks provide the growth in bank deposits. In the reporting period, total deposits increased by 27.7%, and currently stands at 40.1 trillion soums.

In the reporting period in the structure of the financial services of banks the share was 87%, and this figure compared with the same period in 2015 increased by 1.2 times. This is a practical confirmation of the implementation of targeted measures to expand and improve the quality of banking services to businesses and households.

It should be noted that special attention is paid to the further development of cashless payments, which demonstrates the intense increase in the number of plastic cards issued into circulation. Today, the country issued more than 18.2 million cards, and the number of terminals installed at retail outlets and services reached 200.8 thousand. Pieces.

However, at the meeting criticized the activities of individual commercial banks, which do not use fully the existing internal capabilities to enhance the services provided to the line and strengthen customer confidence.

The meeting identified the next priorities to further enhance the financial stability of commercial banks and the development of their resource base, namely to further improve the assessment of banks' activity system based on international standards and principles, streamlining supervision, financial support for small businesses and private entrepreneurship, expansion and improve the quality of banking services, an accelerated application of modern information and communication technologies in banking.

In addition, the heads of banks entrusted with unquestioning execution of the tasks defined in the State program "Year of a healthy mother and child", as well as job-creation programs in 2016

The meeting adopted the relevant decisions of the Board of the Central Bank on the issues discussed.

(Source: Press Service of the Central Bank of the Republic of Uzbekistan)


Growth of services of ICT companies amounts to 11.4%

The Ministry for development of information technologies and communications of the Republic of Uzbekistan held a board meeting, which summed up the development of ICT sphere in the first half of 2016.

Heads of the ministry’s departments, joint stock companies, enterprises and organizations in the sphere of information technologies and communications took part in the work of the board. The leadership and representatives of regional enterprises from this sphere participated in a board meeting through a videoconference.

The meeting’s participants discussed issues of ensuring the implementation of the major directions and priorities of economic program for development of Uzbekistan in 2016, determined by the President of the Republic of Uzbekistan at the session of the Cabinet of Ministers on January 15, 2016, and the targets set out at the meeting of the Cabinet of Ministers dedicated to the socio-economic development in the first half of 2016.

The growth of services over the reporting period provided by the relevant enterprises amounted to 11.4% in comparison with the same period last year, while the growth of the services provided to the public equaled to 12.2%

The overall use rate of international information networks increased by 32%, compared with the beginning of 2016, and amounted to almost 35 Gbit/s.

Today, digital TV covers 68.8% of the population. Until the end of 2016, it is planned to further assemble 23 digital television transmitters in the country and the digital TV coverage level will reach 88%.

To date, the number of domains registered in the UZ zone has exceeded 28 thousand. The number of educational information resources in the library portal ZiyoNET totaled 119 thousand, the growth amounted to 121.9% compared to the same period last year.

More than 1350 types of interactive and information services, enabling to send an appeal or request for obtaining various certificates and documents are available on the websites of state bodies.

On June 2, 2016 the Cabinet of Ministers in the framework of implementation of the Law of the Republic of Uzbekistan "On electronic government" adopted a resolution "On measures to improve the order of provision of electronic government services". The document defines the measures to improve the order of provision of e-government services by eliminating repetitive procedures, reducing the number of documents and information, terms and cost of obtaining services requested from the public and business entities, as well as bringing to a common format the documents of state organs.

In this regard, during the meeting it was requested to take measures to accelerate the work on the survey of a number of important state services for the improvement of the order of their delivery and transfer into electronic form.

Moreover, the issues of the implementation of the tasks set out within the frameworks of the government programs implementation and the government decisions by relevant enterprises and organizations of the sphere were considered. The participants of the meeting also discussed issues of discipline performance in the work with citizens, the progress of the objectives set out in the framework of the state programs, government decisions which are being implemented by the relevant enterprises and organizations of the sphere.

The progress of e-government projects was highlighted, and the information about the problems and the measures taken to resolve them were heard. In addition, the relevant departments were given instructions for timely and quality implementation of the complexes of information systems "License", "Talim", "Soglikni saklash". Further priorities for the development of electronic public services and open data were defined.

Special attention was paid to the forthcoming priorities for the current year, including:

- Commissioning of the central database of e-government data (database of individuals and legal entities, directories and classifiers);

- Commissioning of a number of complexes of information systems (interdepartmental integration platform, unified identification system, complexes of information systems "License", "Inspection", etc.);

- Introducing of more than thirty new advanced interactive services to citizens and business entities;

- Further implementation and development of modern information and communication technologies in the enterprises of the real sector of the economy;

- Further development of broadband Internet access based on fiber-optic communication lines, the establishment of the data center for e-government system as well as improving the reliability of telecommunication networks, providing information protection and information security;

- Accelerating the adoption of organizational and technical measures to create the conditions of new information resources to meet the information and intellectual needs of the population, especially the younger generation.

Following the discussion of the issues, raised at the meeting, the board made a decision, which sets out practical measures on further development of information technologies and communications.


International cooperation

Uzbekistan and France hold IGC meeting in Tashkent

Tashkent hosted the sixth meeting of the Intergovernmental commission on trade-economic cooperation between Uzbekistan and the French Republic. The French delegation was led by Secretary of State for Foreign Trade, the Promotion of Tourism and French Nationals Abroad Matthias Fekl. Today France is one of the main trade partners of Uzbekistan in the European Union, and trade relations between the two countries continue to develop dynamically. So, following the results of the last year, bilateral trade volume amounted to some $300 million.

Uzbekistan pays great attention to the expansion and deepening of mutually beneficial trade-economic, investment, financial and technological cooperation with France. As a result, last year the trade turnover between our countries increased by 3% and amounted to about $300 million, and in the first half of this year it amounted to more than $145 million. Enterprises of Uzbekistan are ready to supply to the French market a wide range of high-quality and competitive products, including textile, chemical and petroleum products, fresh and processed fruit and vegetable products, and others. In turn, in order to implement investment projects on modernization and diversification of industries and infrastructure, Uzbekistan is interested in the acquisition of high-tech, modern and reliable equipment produced in France.

It was also noted that an important element in the intensification of contacts between our countries is the cooperation in the field of tourism. This should contribute to a considerable experience and tradition of French tourism on the one hand and the tourist potential of Uzbekistan on the other.

Thus, numerous negotiations and the fruitful discussions that were held during the meeting of the commission, as well as joint business forum will undoubtedly contribute to the further strengthening of trade-economic, investment, technology and other areas of cooperation between our countries.

Following the meeting, a ceremony of signing bilateral documents was held. In particular, an agreement between the Government of the Republic of Uzbekistan and the Government of the French Republic on air services, the agreement between "Uzbekistan Railways" JSC and the company "ALSTOM" on cooperation in the field of production of Induction motors in Uzbekistan, as well as the Memorandum of Understanding between the company "Sanofi "and " Uzfarmsanoat " JSC on the vaccine production were signed.



Number of population employed in Uzbek economy makes up 13.191 million people

Number of population employed in the economy of Uzbekistan was 13.191 million and increased by 1.8% in comparison with the same period of 2015, the Uzbek State Statistics Committee of Uzbekistan said.

Number of employed population in state sector made up 18.2% from total number of employed (18.4% in 2015) and non-governmental sector – 81.8% (81.6%).

About 77.77% of population are employed in small entrepreunership against 77.3% in 2015.

A significant increase in the number of employees is observed in such economic activities as the transportation and storage (3.8%), accommodation and food services (3.7%), information and communication (by 3.4%), construction (3 3%) and trade (2.8%).

By types of economic activity share of employed in agriculture, forestry and fisheries reached to 27.0%, industry - 13.6%, trade - 10.4%, construction - 9.4%, education - 8.4%.

The employment rate of the economically active population made up 94.8%, while the unemployment rate was 5.2%.




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