As of the end of April 2025, the share of non-performing loans (NPLs) in Uzbekistan’s banking sector declined slightly from 4.2%, according to the Central Bank. This reflects a modest but steady improvement in loan quality across the country’s financial institutions.
The total loan portfolio in Uzbekistan’s banking system grew by 2.5% over the month, reaching UZS 565.6 trillion ($43.7bn). Of this total, UZS 389 trillion ($30.3bn) were issued by state-owned banks, while private banks accounted for UZS 176.4 trillion ($13.7bn). The volume of overdue credit obligations in the banking sector stood at UZS 23.6 trillion ($1.8bn), representing 4.2% of the total loan portfolio.
In terms of sector performance, state-owned banks saw a minor decline in their NPL ratio, from 4.2% in March to 4.1% in April. Meanwhile, the NPL rate in private banks remained unchanged at 4.3%. This indicates that public banks are gradually improving their loan recovery and credit quality, while private banks are maintaining relative stability.
NBU reduced its NPL ratio from 3.2% to 3.0%, Uzpromstroybank (SQB) from 4.1% to 3.9%, and Agrobank from 4.5% to 4.2%. Xalq Banki saw its NPL rate fall from 4.2% to 4.0%, and Business Development Bank improved slightly from 8.1% to 7.9%.
Ipoteka Bank reduced its ratio from 10.2% to 9.7%, Ziraat Bank from 3.6% to 3.1%, and Garant Bank from 23.4% to 22.4%. Madad Invest Bank recorded the most significant improvement, with its NPL share dropping from 9.7% to 5.5%.
However, some banks reported a slight deterioration in loan quality. Kapitalbank’s NPL ratio increased from 5.1% to 5.4%, Orient Finans Bank from 1.1% to 1.9%, Invest Finance Bank from 1.7% to 2.3%, and Trustbank from 3.2% to 3.6%.
Among state-owned banks, the highest rates of overdue loans were observed at Business Development Bank (7.9%), Microcreditbank (6.6%), and Asakabank. In the private sector, Garant Bank (22.4%), AVO Bank (12.7%), and Ipoteka Bank (9.7%) reported the highest NPL shares.
The Central Bank continues to monitor credit risks closely and emphasizes the importance of improving asset quality and loan repayment discipline in Uzbekistan’s evolving banking sector.
Follow Daryo's official Instagram and Twitter pages to keep current on world news.
Comments (0)