According to the message of the banking regulator of Uzbekistan, although the number of private banks significantly exceeds the state, their share (excluding the state’s share) in the banking services market is only 15%.
At the same time, maintaining a high share of the state in the banking system has a negative impact on the overall development of the sphere and their effectiveness.
The privatization of banks would help to improve corporate governance and risk management systems in banks. Secondly, new technological solutions and advanced foreign experience would be introduced into the banking system, banks ‘ business models would change and their level of customer orientation would increase.
At the same time, the increase in the number of private banks contributes to improving the competitive environment in the field.