Guaranteeing deposits

Pursuant to the Law of the Republic of Uzbekistan “On Guarantees for the Protection of Deposits in Banks,” the State guarantees the safety of deposits of individuals, individual entrepreneurs, and legal entities placed in banks in the amount of up to UZS 200,000,000 (two hundred million) per depositor per bank. Deposits of individuals, individual entrepreneurs, and legal entities placed with JSCB “Tenge Bank” are subject to mandatory guarantee protection.

Amount of the guarantee

• Where the amount of a legal entity’s deposit does not exceed UZS 200,000,000 (two hundred million), such deposit shall be guaranteed by the State in full.
• Where the amount of a deposit exceeds UZS 200,000,000 (two hundred million), in the event of the bank’s liquidation the State guarantee shall apply only to the amount within UZS 200,000,000 (two hundred million), while the remaining amount shall be repaid in accordance with the general procedure established for bank liquidation.

For the purpose of determining the object of guarantee, a deposit shall include:

• the balance of monetary funds placed with a bank pursuant to a bank deposit agreement or a bank account agreement, including funds held in segregated accounts until fulfillment of the relevant contractual conditions (escrow service), as well as funds evidenced by a savings (deposit) certificate;
• accrued but unpaid interest under a bank deposit agreement or a bank account agreement as of the occurrence of a guarantee event, provided that accrual of such interest is stipulated by the relevant agreement, as well as accrued but unpaid interest specified in a savings (deposit) certificate.

The following shall not constitute objects of guarantee:

• deposits of banks, non-bank credit organizations, leasing companies, insurance organizations, investment funds and unit investment funds, as well as other financial organizations operating on the basis of a license or permit issued by an authorized body of the Republic of Uzbekistan or a foreign state, or on a notification basis;
• deposits of state organizations and enterprises, as well as deposits of state authorities of the Republic of Uzbekistan or a foreign state;
• deposits of persons affiliated with the bank, except for deposits of members of the bank’s management board and key personnel, in an amount not exceeding wages and equivalent payments for the last three months;
• deposits placed with subsidiary banks or branches of the bank located outside the Republic of Uzbekistan;
• funds accumulated in individual funded pension accounts;
• funds obtained as a result of activities related to the legalization (laundering) of proceeds of crime, financing of terrorism, or proliferation of weapons of mass destruction, as confirmed by a court decision that has entered into legal force.

The following shall not be deemed deposits:

• shares and other instruments included in the bank’s regulatory capital in accordance with the legislation on banks and banking activity;
• debt securities (secured and unsecured bonds, promissory notes) issued by the bank;
• subordinated debt obligations of the bank;
• cash placed for safekeeping in bank safe deposit boxes;
• claims arising from derivative financial instruments, including futures, forward contracts, swaps, and options issued by the bank;
• claims arising from the bank’s activities relating to trust management of assets.

The established guarantee limit shall not restrict the placement of larger amounts with banks. Banks shall continue to perform their obligations under bank deposit and bank account agreements in the ordinary course. The limitation shall apply exclusively in the event of bank liquidation.

The Law provides for a phased reduction of the period for commencement of deposit repayments upon the occurrence of a guarantee event to 7 working days. Previously, the repayment period amounted to 2 months and 23 days. In accordance with the new Law:

• in 2025 — 20 working days;
• from 1 January 2026 — 15 working days;
• from 1 January 2027 — 7 working days.

 * All deposits up to 200 million soums are insured by the Fund for Guaranteeing Citizens' Deposits in Banks of the Republic of Uzbekistan.