Uzbekistan introduces restriction in currency market

/By Azernews/

By Nigar Abbasova

Commercial banks of Uzbekistan introduced certain restrictions on currency operations starting July 1, 2016, CA-NEWS reported. Uzbekistan nationals residing abroad may withdraw only a sum of $300 per month as compared to the sum of $ 100 daily limit which was established previously.

Similar restrictions were imposed in January 2016.

The decision is considered to be one of the means of fight against the legalization of criminal incomes and illegal conversion of funds into cash. Experts say that the innovation is introduced with the aim of control over the currency market.

The banks have also introduced restrictions on the use of conversion cards, Trend reported. Moreover, cards will not be effective for the payments in the enterprises engaged in retail and wholesale trade in Turkey, China, and UAE. However, cards will be effective for making payments for hotel accommodation, meals, treatment and education.

The country has cancelled cash foreign currency sale to residents of the country in February 2013 and introduced a non-cash mechanism of foreign currency sale. The funds in the plastic card may be used for the purchase of air tickets, transfers to the foreign accounts for the payment of treatment or education.

Customers may withdraw of funds from the conversion cards only in the national currency in accordance with the exchange rate set by the Central Bank of the country.