Uzbekistan’s mobile banking market holds strong potential, fueled by a tech-savvy population, 73.79% mobile penetration and rising smartphone use. While the government promotes cashless payments for utilities, salaries, and services, only 41% of the population is banked, with public trust leaning toward state-owned institutions over private ones. Furthermore, regulatory barriers are hindering continued growth. This includes restrictions on e-money, P2P transfers and agent-based services. Mobile network operators see opportunities in mobile money, but the aforementioned regulatory barriers limit their involvement. This could slowly start to change as payment service providers like CLICK, UPAY and Paynet increase offerings on card-linked platforms, which will drive interest in digital payments. Greater collaborations between banks, operators and regulators will be key to accelerating financial modernization in the country, as will regulatory reforms and trust-building with the public.
