Uzbek People's Bank to increase authorized capital almost twofold
Tashkent, Uzbekistan, Apr. 13
By Demir Azizov- Trend:
The Uzbek State Commercial Xalq Banki (People's Bank) will increase its authorized capital by 92.5 percent - up to 385 billion soums in 2015-2017, the Central Bank of Uzbekistan said.
The intention of the bank to increase the authorized capital has been approved by a special decree of President of Uzbekistan Islam Karimov to protect the deposits of the population and to increase the level of capitalization of the bank in accordance with generally accepted international norms and standards, the statement said.
The bank intends to gradually issue 185 million ordinary registered shares with a par value of 1,000 soums each during three years.
The profit of the bank, the funds obtained as a result of tax breaks for the formation of the share of the Ministry of Finance, the Central Bank's some profit to be transferred to the state budget and own funds of the Central Bank have been determined as the sources of additional funds for the formation of the authorized capital of the bank.
The bank's shares will be distributed among shareholders in proportion to their shares.
The Uzbek State Commercial Xalq Banki (People's Bank) was established in 1995 on the basis of the Uzbek Republican Savings Bank.
The bank is one of the largest ones in the Uzbek banking system. Its structure includes 14 territorial, 184 regional and city branches, 240 mini-banks and more than 3,500 branches and savings banks.
The founders of the bank are the Uzbek Ministry of Finance and the Central Bank, owning 51 and 49 percent shares, respectively.
The bank is an agent of the government in the implementation of social programs and acts as a universal commercial bank. The bank was defined as the sole organization in charge of accumulating accounts of citizens participating in the accumulative pension system in accordance with the law on "Accumulative Pension Provision of Citizens".
The bank's assets, calculated upon the national accounting standards, increased by 10.7 percent - up to 3.063 trillion soums, credit portfolio - by 12.2 percent up to 1.652 trillion soums, the total deposit funds - by 9 percent up to 2.428 trillion soums in 2014.
The official exchange rate is 2496.16 soums/$1.
Edited by CN