Regulatory Alerts2020-06-30
Added · Updated
Guidance on the Regulation on Minimum Requirements for the Activities of Microcredit Organizations and Pawnshops in Relations with Financial Services Consumers
The Central Bank of Uzbekistan approved the Regulation on Minimum Requirements for the Activities of Microcredit Organizations and Pawnshops in Relations with Financial Services Consumers, effective October 1, 2020. The regulation mandates that microcredit organizations and pawnshops disclose information about financial services, provide contract drafts for prior review, and supply copies of signed contracts. It prohibits unilateral changes to credit contracts that violate borrower rights or increase financial obligations, and forbids restricting borrowers' rights to pay fees in cash or non-cash forms. These requirements apply to relations with both citizens and small and medium-sized business entities.