Central Bank Penalizes Banks and Restricts Two Payment Systems
Economy
The Central Bank of Uzbekistan has imposed fines on several financial institutions and introduced six-month restrictions on the major payment systems Tezpay and National Pay. The decisions follow a series of inspections conducted in October, which uncovered multiple violations in the banking and digital payments sector.
The Bank Supervision Committee held seven meetings and reviewed more than 40 matters, including amendments to the charters of credit institutions, registration of new microfinance companies, removal of one MFO from the registry, approvals for ownership stakes, and confirmation of candidates for bank supervisory boards and management teams.
Another group of issues concerned the financial condition of institutions and compliance with prudential regulations. Inspections revealed shortcomings related to enforcement of directives, internal controls, as well as violations of anti–money laundering and counter–terrorism financing requirements.
As a result, the Central Bank fined three banks, five microfinance institutions, and two payment companies, while also issuing warnings to one bank and one payment organization over potential sanctions.
The most notable decision was the restriction of operations for Tezpay and National Pay. Starting from November 13, for six months, the systems are prohibited from processing electronic payments, transmitting transaction data to banks, accepting funds for such operations, and executing money transfers.
The regulator emphasized that these measures aim to strengthen the reliability and security of the national payment infrastructure.
Another group of issues concerned the financial condition of institutions and compliance with prudential regulations. Inspections revealed shortcomings related to enforcement of directives, internal controls, as well as violations of anti–money laundering and counter–terrorism financing requirements.
As a result, the Central Bank fined three banks, five microfinance institutions, and two payment companies, while also issuing warnings to one bank and one payment organization over potential sanctions.
The most notable decision was the restriction of operations for Tezpay and National Pay. Starting from November 13, for six months, the systems are prohibited from processing electronic payments, transmitting transaction data to banks, accepting funds for such operations, and executing money transfers.
The regulator emphasized that these measures aim to strengthen the reliability and security of the national payment infrastructure.
Powered by Froala Editor