Legal Regulation and Procedure for Certain Foreign Exchange Transactions in Uzbekistan

Publication date: 18.09.2025

Foreign exchange regulation is one of the key areas of financial law aimed at ensuring the stability of the national currency, protecting the interests of the state and participants in economic turnover. A special role in this system is played by operations related to the movement of capital: cross-border investments, lending, purchase of real estate abroad, placement of funds in foreign accounts, and attracting external loans. The Regulation on the Procedure for Conducting Certain Foreign Exchange Transactions, approved by the Resolution of the Board of the Central Bank of the Republic of Uzbekistan (reg. No. 2536), defines the procedure for carrying out such operations, the obligations of residents and banks, as well as control and accounting mechanisms.

The legal regulation of the relations under study is based on the following key acts:

Law “On the Central Bank of the Republic of Uzbekistan”;
Law “On Currency Regulation”;
Regulation on the Procedure for Conducting Certain Foreign Exchange Transactions.

These acts create a unified legal regime defining the concept of foreign exchange transactions, the classification of capital movement transactions, and the powers of the Central Bank to monitor their implementation.

Concept and Classification of Foreign Exchange Transactions

According to the Regulation, foreign exchange transactions related to the movement of capital include all transactions not related to current international settlements, including:

investment activities of residents abroad, including the formation of the charter capital of foreign enterprises and replenishment of working capital of branches;
receipt and provision of credits, loans, leasing;
transactions for the acquisition and sale of real estate;
placement of funds in foreign accounts and attracting funds from abroad.

Particular attention is paid to transactions exceeding the established threshold (USD 10,000 equivalent): they may be carried out only with the decision of the President, the Cabinet of Ministers, or under an international treaty.

Procedure for Conducting Foreign Exchange Transactions

1. Document Flow

To conduct the transaction, the resident submits to the servicing commercial bank:

an application in the prescribed form;
a copy of the agreement (contract) and its annexes. If the documents are drawn up in a foreign language, a notarized translation and legalization/apostille are required.

2. Electronic Interaction

The Regulation provides for the possibility of submitting documents in electronic form through the bank's software, in line with the course towards digitalization of the financial sector.

3. Role of Banks

The commercial bank is obliged to:

keep a journal of foreign exchange transactions (numbered and stitched);
form a file for each transaction with all supporting documents attached;
within five working days, send information to the Central Bank about contracts for attracting external funds not guaranteed by the state.

4. Accounting and Control

In case of a change in the main settlement account of the resident, operations are transferred to the new bank under an act of acceptance-transfer with information on completed transactions attached.

Obligations of Residents

Residents are obliged to:

conduct all settlements for one transaction through the bank where the main deposit account is opened;
notify the bank of any changes in the terms of the contract (extension, debt restructuring, termination);
comply with the requirements of currency legislation and prevent unauthorized capital outflow.

Liability and Enforcement Measures

The Regulation expressly states that persons guilty of violating its requirements are liable under the legislation of the Republic of Uzbekistan. The following measures are applied:

administrative fines (Articles 155–156 of the Code of Administrative Responsibility);
in case of significant violations – criminal liability (Articles 177–179 of the Criminal Code);
currency control measures by the Central Bank (blocking transactions, notifying tax authorities).

Scientific and Practical Aspects

The considered normative act is an example of a combination of currency market liberalization and state supervision. On the one hand, residents are given the opportunity to invest abroad, attract foreign funds, and participate in international projects. On the other hand, a control mechanism is maintained aimed at preventing capital outflow and money laundering.

Modern trends require further digitalization of document flow, the introduction of automated monitoring systems, and strengthening of compliance control, which will minimize violations and simplify procedures for bona fide market participants.

The Regulation on the Procedure for Conducting Certain Foreign Exchange Transactions plays an important role in regulating cross-border capital flows. It ensures a balance between the interests of the state in protecting the currency market and the need to create favorable conditions for business. From a scientific and practical point of view, this document is of interest to lawyers, economists, and banking specialists as an example of a modern approach to currency regulation, combining control and liberalization.

Procedure for Conducting Foreign Exchange Transactions, Rights and Obligations of the Parties, Enforcement Measures

Regulation Element	Content	Responsible Parties	Enforcement Measures and Liability
Types of Foreign Exchange Transactions	- Foreign investments (formation of charter capital, replenishment of branches) - Receipt and provision of credits, loans, leasing - Purchase/sale of real estate abroad - Placement of funds in foreign accounts - Attraction of external borrowed funds	Residents (legal entities and individuals)	For transactions > USD 10,000, a decision of the President/CM RU or international treaty is required; violation — recognition of the transaction as illegal, annulment of transfer
Submission of Applications and Documents	- Application form - Contract and annexes - Notarized translation and apostille for foreign documents	Residents	Bank refusal to execute the transaction until violations are eliminated
Electronic Submission of Documents	Possibility of electronic submission through the bank's system	Residents, bank	Same as paper submission — invalidity in case of non-compliance with the form
Resident's Obligations	- Conduct settlements through main deposit account - Notify the bank about changes in contract terms - Timely repay debt	Residents	Fines (Articles 155–156 of the Code of Administrative Responsibility), possible suspension of operations
Bank's Obligations	- Maintain a journal of foreign exchange transactions (numbered, stitched) - Form a file for each transaction - Submit information to the Central Bank on contracts for attracting external funds within 5 days	Commercial banks	Administrative liability for non-compliance with the Central Bank's requirements, Central Bank measures (orders, fines)
Control by the Central Bank	- Maintain a register of contracts for external loans without state guarantees - Monitor capital movement	Central Bank	Blocking transactions, requesting explanations, notifying tax authorities
Transfer of Records When Changing Bank	Transfer of files under act of acceptance-transfer, including information on completed transactions	Previous and new bank	Possible suspension of transactions until transfer is completed
Liability for Violations	Violation of the procedure for foreign exchange transactions, failure to notify the bank, illegal capital outflow	Residents, banks	- Administrative fines - Confiscation of illegally transferred funds - Criminal liability (for large-scale and intentional acts)