Uzbek, Russian banks to co-op in external loan markets
Baku, Azerbaijan, July 27
By Fikret Dolukhanov – Trend:
The People's Bank of Uzbekistan (Xalq Bank) and Russian Sberbank will cooperate in external loan markets and in conducting investment banking operations, the Uzbek company said.
According to the information, the bilateral cooperation is provided for by a Memorandum of Understanding that has been signed between the two banks recently.
The Uzbek and Russian banks are planning to cooperate in organizing trade financing and exchange information of economic and financial nature.
The People's Bank of Uzbekistan has also signed a loan agreement worth 30 million euros with the German Berliner Sparkasse bank (part of the Landesbank Berlin AG holding bank).
The loan funds provided to the Uzbek side will be used for development of agriculture in Uzbekistan.
It was earlier reported that Uzbek Uzpromstroybank JSCB is expanding cooperation with major Russian banks Sberbank JSC and Gazprombank JSC.
The cooperation will cover such areas as correspondent operations, trade and export financing, operations in the world loan and capital markets, exchange of experience and training.
The Joint Stock Commercial People's Bank of the Republic of Uzbekistan is one of the oldest banks in the country. The first savings bank in Uzbekistan was opened in 1875. Until 1995 the bank functioned as a branch of the Savings Bank of the USSR. In accordance with the government resolution of Oct. 4, 1995, Uzsberbank was transformed into the State-Commercial People's Bank.
On the basis of the decree of the president of Uzbekistan dated April 24, 2015, the name of the bank was changed to Joint Stock Commercial People’s Bank.
In 2017, Russia's trade turnover with Uzbekistan increased by almost 34 percent compared to 2018 and amounted to $3.65 billion.
Uzbekistan is one of Russia's leading economic partners in the CIS. Russia accounted for 18.1 percent in the total volume of foreign trade of Uzbekistan in 2017.
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