Central Bank revokes Yangi Bank’s license over capital shortfall

According to the Central Bank, the decision was made after measures taken to eliminate deficiencies identified in the bank’s operations failed to produce sufficient results. In particular, the size of the bank’s authorized capital was not brought up to the minimum level established by law, and a number of requirements provided for in legislation on banks and banking activities were not fulfilled.

As stipulated, starting from January 1, 2025, the minimum authorized capital for banks must amount to UZS 500 billion. However, as of January 1, 2026, the authorized capital of Yangi Bank JSC stood at UZS 355 billion.

In connection with this situation, the Central Bank sent several written warnings to the bank’s supervisory board and management, indicating the need to increase authorized capital to the legally required minimum level. Despite these warnings, sufficient practical measures were not taken.

Failure to meet minimum authorized capital requirements, as well as non-compliance with restrictions established for certain financial operations in accordance with Article 54 of the Law on Banks and Banking Activities, are recognized as serious violations and constitute grounds for revoking a banking license.

In addition, under Article 77 of the same law, grounds for license revocation include cases where a bank incurs losses exceeding 10 percent of its regulatory capital for three consecutive quarters, or losses exceeding 50 percent of regulatory capital regardless of the time period, as well as the existence of a risk of such losses occurring.

A liquidation commission has now been appointed and granted the authority to manage the liquidation process.

It was separately emphasized that, according to preliminary calculations, the guaranteed deposit amounts will be fully refunded to 32,153 out of the bank’s 32,526 depositors. Detailed calculations regarding deposit payouts will be announced by the Deposit Guarantee Agency.

For the remaining 373 depositors, the balance of guaranteed funds will be refunded based on decisions of the liquidation commission.

“This issue is under the constant supervision of the Central Bank. The process will be monitored step by step, and the public will be regularly informed,” the Central Bank said.

Citizens can obtain detailed information on compensation payments for deposits by contacting the Deposit Guarantee Agency’s hotline at +998 55 550-05-00.

Yangi Bank JSC, based in Tashkent, was registered as a bank and received its license in May 2023.