BAKU, Azerbaijan, Apr. 20
By Ilkin Seyfaddini - Trend:
The Central Bank does not plan to cover the losses of its debtors due to the fall of Uzbek soum, Trend reports citing the press service of the Central Bank.
According to the estimates of the Central Bank, 48 percent of bank loan investments (about 104 trillion soum - $10.2 billion) in foreign currency. Given that the US dollar rate rose from 8,500 to 10,150 soum from April 14, 2019 to April 14, 2020, the regulator bank was asked whether it is planned to introduce a preferential conversion rate for foreign currency borrowers or transfer foreign currency loans to soum at a reduced rate.
The Central Bank added that the above measures have negative effects and are not recommended by international financial institutions, in particular, the International Monetary Fund and the World Bank.
Earlier, the Central Bank agreed to provide credit holidays without fines and penalties on overdue debts to debtors, including those with debts in foreign currency.
In addition, on April 20, the Central Bank of Uzbekistan president, Mamarizo Nurmuratov, said there will be no shortage of foreign currency in Uzbekistan because the Central Bank received $200 million in advance from the Federal Reserve Bank of New York. It is reported that the Central Bank intends to bring an additional $400 million May 5 on the basis of requests from banks.
According to the head of the Central Bank, the currency position (the ratio of the bank's claims and liabilities in foreign currency) in dollars is set at 10 percent, and for all foreign currencies - 15 percent.
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