Foreign Trade Operations

Full list of services provided by JSC “Garant bank” to legal entities (corporate clients) in foreign currency

Opening and Maintenance of Foreign Currency Accounts
▪️Transfers of foreign currency funds within the Republic of Uzbekistan;
▪️Transfers of foreign currency funds outside the Republic of Uzbekistan;
▪️Cash foreign currency transactions;
▪️Foreign currency conversion transactions.

Operations Related to Foreign Trade Activities
▪️Maintenance and deregistration of export and import contracts;
▪️Foreign currency conversion (purchase/sale);
▪️SWAP transactions;
▪️SPOT transactions;
▪️E-Contract advisory services.

Documentary Operations
▪️Transactions involving documentary letters of credit in foreign currency;
▪️Provision of bank guarantees and sureties.

1. Law of the Republic of Uzbekistan No. ZRU-573 dated 22 October 2019 “On Currency Regulation”.

2. Annex No. 1 to Resolution No. 18/5 of the Board of the Central Bank of the Republic of Uzbekistan dated 29 August 2020 — “Rules for Conducting Foreign Exchange Transactions in the Republic of Uzbekistan”. Registered with the Ministry of Justice of the Republic of Uzbekistan on 31 August 2020 under No. 3281.

3. Annex No. 1 to Resolution No. 283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020 — “On Measures to Further Improve the Monitoring of Foreign Trade Operations in the Republic of Uzbekistan”.

4. Decree of the President of the Republic of Uzbekistan No. UP-5177 dated 2 September 2017 “On Priority Measures for Liberalization of Currency Policy”.

5. Decree of the President of the Republic of Uzbekistan No. UP-6091 dated 21 October 2020 “On Measures to Further Expand Financial Support for Export Activities”.

6. Regulation “On the Procedure for Monitoring the Justification of Foreign Exchange Transactions Conducted by Legal Entities and Individuals”. Registered with the Ministry of Justice of the Republic of Uzbekistan on 12 June 2013 under No. 2467.

7. Regulation “On the Procedure for Conducting Certain Foreign Exchange Transactions Related to Capital Movements”. Registered with the Ministry of Justice of the Republic of Uzbekistan on 17 December 2013 under No. 2536.

8. Decree of the President of the Republic of Uzbekistan No. UP-837 dated 20 April 1994 “On Measures to Ensure Foreign Exchange Control over Export and Import Operations”.

9. Resolution of the President of the Republic of Uzbekistan No. PP-3351 dated 3 November 2017 “On Measures to Further Liberalize Foreign Trade Activities and Support Business Entities”.

CLIENT GUIDELINE

Foreign Exchange Transactions, Import, Export and Currency Control Under the Legislation of the Republic of Uzbekistan

1. What you need to know about currency control
Currency control is the system of monitoring compliance with the legislation of the Republic of Uzbekistan when carrying out foreign exchange transactions. For
companies working with foreign partners, it covers the documentation of foreign trade contracts and invoices, the execution of payments, the monitoring of
contractual obligations and the timely receipt of funds.

The principal regulatory framework includes:
▪️The Law of the Republic of Uzbekistan “On Currency Regulation”;
▪️The Rules for Conducting Foreign Exchange Transactions, registered under No. 3281 on 31 August 2020;
▪️The Regulation on Monitoring and Control of Foreign Trade Operations, approved by Resolution No. 283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020.

When processing foreign exchange transactions, the bank reviews the documents and information submitted within the scope of its authority and applicable legal requirements. The client remains responsible for the accuracy of the information provided, the proper performance of contractual obligations and compliance with applicable legislation.

2. How to start conducting foreign economic activity
Before making an international payment, clients are advised to complete the following steps:

1. Open the required accounts in Uzbek soums and/or foreign currencies.
2. Prepare a foreign trade contract or, where permitted by law for the relevant transaction, an invoice.
3. Verify that all required contractual terms and banking details are correctly stated.
4. Where required by law, enter the contract, invoice and relevant supporting information into the E-kontrakt foreign trade information system using an electronic digital signature.
5. Submit the relevant application and supporting documents to Garant bank for processing.
6. After payment, monitor the performance of the contractual obligations,including delivery of goods, provision of services, receipt of export proceeds or refund of an advance payment.
The procedure for using E-kontrakt and monitoring foreign trade transactions is governed by Resolution No. 283 of the Cabinet of Ministers and the applicable version of the Regulation approved by that Resolution.

3. Minimum requirements for a foreign trade contract
Under the Regulation approved by Resolution No. 283, a foreign trade contract must contain the information prescribed by the applicable legislation. Before signing the contract, check that the following elements are included.

Contract section	Information to be included
Preamble	Contract number, place and date of execution, full names of the parties, signatories and their authority
Subject matter	Description of the goods, works or services, including assortment, quantity and quality
Goods specifications	Type, model, brand, grade, applicable standards, relevant HS code and registration documents where required
Delivery terms	Applicable Incoterms rule and the specific place of delivery
Performance deadlines	Deadlines for delivery of goods, completion of works or provision of services
Price and contract value	Unit price and total contract value, where determinable at the time of signing
Payment terms	Payment currency, method, procedure and deadlines; where the payment currency differs from the contract currency, the conversion rate and its source
Origin of goods	Country of origin, manufacturer and place where works are performed or services are provided
Liability of the parties	Terms governing liability for non-performance or improper performance of contractual obligations
Details of the parties	Addresses, postal details, bank details and shipping details
Special terms	Additional provisions applicable to the specific transaction, including special conditions for barter transactions

For contracts involving he supply of equipment together with installation, commissioning, personel training, royalties or other services, the relevant amounts
should be separately identified in the contract or specification where required by applicable regulations.
If the contract is drawn up in a foreign language, the requirements of the Regulation concerning translation into the state language and the prescribed certification of the translation must be observed.

Practical recommendation: Before signing the contract, confirm with your foreign partner who will supply the goods, who will issue the invoice, who will receive the payment and which account will receive the proceeds. If the contracting parties, payer, recipient of the goods and supplier are different entities, the relevant arrangements must be accurately reflected in the supporting documents.

4. Can a transaction be carried out on the basis of an invoice only?
In the cases specified in paragraph 6 of the Regulation approved by Resolution No. 283, import and export transactions may be carried out on the basis of invoices
without entering into a separate foreign trade contract.
However, clients must take account of the exceptions established by law and the requirements for entering information into E-kontrakt. Special rules may apply
to certain types of transactions. Therefore, clients are advised to confirm with the bank in advance whether an invoice alone is sufficient for the proposed payment.

The invoice must contain sufficient information to identify the parties, the goods or services, their quantity and value, delivery terms and any other particulars required for the relevant transaction.

5. How to submit an application for a foreign exchange transaction to
Garant bank
The application must correspond to the nature of the transaction and the applicable legal requirements. The Rules registered under No. 3281 govern the
conduct of foreign exchange transactions, while Resolution No. 283 establishes the monitoring framework for foreign trade contracts and invoices.
The recommended sequence of actions for a client is as follows:
▪️Prepare a payment instruction or the relevant application.
▪️Specify the beneficiary, banking details, currency and amount.
▪️State the payment purpose and the underlying basis for the transaction.
▪️Submit the contract or invoice and any additional documents required for the specific transaction.
▪️Verify that the payment amount is consistent with the contract terms and the current information recorded in E-kontrakt.
▪️If foreign currency is being purchased to pay for imports, submit the currency conversion application and the documents required for that transaction.
▪️Provide additional documents and explanations if requested by the bank.
Before processing a transaction, the bank checks whether the information recorded in E-kontrakt is consistent with the documents and details submitted by the
client. Where required, discrepancies may prevent the payment from being processed until they have been resolved.
Please note: The documents required, the method of submitting an application, the need for additional approvals and the ability to execute a transaction depend on its nature, the applicable rules and the bank’s internal procedures. A single universal document list should not be assumed to apply to all foreign exchange transactions.

6. What to do if the terms of a contract change
If the parties change the price, payment currency, deadlines, subject matter, delivery terms or other material provisions after the contract has been signed:
1. Execute an addendum in accordance with the applicable procedure.
2. Update the relevant information in E-kontrakt.
3. Check the impact of the changes on previous payments, the outstanding contractual amount and customs documentation.
4. Provide updated documents to the bank before the next transaction, where required.

Paragraph 5 of the Regulation approved by Resolution No. 283 provides for documenting contractual amendments through an addendum and updating the
relevant information in the information system. Additional requirements or deadlines may apply to certain amendments.

Correspondence with a foreign partner alone may not be sufficient where the amendment must be formally documented and the information in the system
updated.

7. How to monitor the performance of an import contract
An importer should monitor the following for each contract:
• The date and amount of any advance payment.
• The deadline for delivery of goods or provision of services.
• The actual quantity and value of goods delivered.
• The availability of customs documents, where required.
• The preparation of acceptance certificates for completed works or services rendered.
• The refund of unused advance payments where delivery has not taken place and a refund obligation has arisen.
• The outstanding contractual obligations and any overdue receivables.

If the supplier fails to fulfil its obligations within the agreed period, the client should contact the bank promptly, obtain supporting documents and take appropriate
steps to resolve the situation.

8. How to monitor export proceeds
Exporters are advised to monitor each contract separately:
• Record the export date and the applicable payment deadline.
• Monitor the actual receipt of export proceeds.
• Reconcile incoming payments with the contract, invoices and shipping documents.
• Prepare acceptance certificates for completed works and services and enter the relevant information into E-kontrakt within the prescribed deadlines.
• Monitor the outstanding unpaid amount.
• If payment is delayed, obtain documentary confirmation from the buyer explaining the delay and take appropriate measures to resolve the outstanding
receivable.

Information concerning completed works or services must be entered into E-kontrakt within the deadlines established by the applicable version of the Regulation
approved by Resolution No. 283. For the relevant acceptance certificates, the prescribed deadline is no later than the 20th day of the month following the month
in which the certificate was prepared.

9. Overdue receivables and liability
Overdue receivables under foreign trade transactions arise when a foreign counterparty fails to fulfil its obligations to deliver goods, provide services, make
payment or refund funds within the prescribed period.

If an overdue receivable arises, the client should:
1. Establish the reason for the delay and the date on which the receivable became overdue.
2. Request documents from the counterparty confirming the status of performance.
3. Consider the available options, including refund of funds, completion of delivery, settlement of a dispute or enforcement of contractual remedies.
4. Notify the servicing bank and provide the required supporting documents.
5. Continue monitoring performance and compliance with the applicable legal requirements.

Violations of the requirements governing foreign trade transactions may result in liability under the legislation of the Republic of Uzbekistan. In particular,
paragraph 6 of the Regulation approved by Resolution No. 283 provides for liability in relation to certain requirements for documenting transactions and recording
information in the relevant information system.

The amount and legal basis of any financial sanction cannot be determined solely by the existence of an outstanding receivable. The nature of the violation, the
applicable legal provision, the circumstances of the transaction and any statutory exceptions must be taken into account.

10. How to avoid delays in payment processing
Before submitting an application, check that:
• The names and details of the parties match the contract and payment documents.
• The payment amount and currency comply with the terms of the transaction.
• The information in E-kontrakt is up to date.
• All required invoices, specifications, acceptance certificates, customs documents and other supporting records are available.
• The economic purpose of the transaction and the payment description are clear.
• The foreign counterparty, beneficiary bank and payment route have not
changed without the necessary documentation.
• There are no unresolved outstanding receivables that could affect the processing of the transaction.
The bank may request additional explanations or documents. Such a request does not, by itself, mean that the client has violated the law. However, the transaction
may be delayed until the required checks have been completed.

11. Regulatory framework
The following documents should be considered when conducting foreign exchange and foreign trade transactions:
1. Law of the Republic of Uzbekistan “On Currency Regulation” — Official text on LexUZ.
2. Rules for Conducting Foreign Exchange Transactions, registered under No. 3281 on 31 August 2020 — Official text on LexUZ.
3. Resolution No. 283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020 — Official text on LexUZ.
4. Presidential Decree No. UP-5177 dated 2 September 2017, “On Priority
Measures for Liberalizing the Foreign Exchange Policy” — taking into account all applicable amendments and supplements.
5. Other regulatory legal acts governing customs, taxation and liability applicable to the specific foreign trade transaction.
Official legal database: LexUZ — National Database of Legislation of the Republic of Uzbekistan.

Garant bank recommends: Plan foreign exchange transactions in advance, check your documents before submitting a payment and do not postpone the resolution of outstanding receivables until the contractual deadlines have expired.

Foreign Exchange Transactions, Import, Export and Currency Control Under the Legislation of the Republic of Uzbekistan

CLIENT GUIDELINE pdf, 157.73 KB

In which currencies can foreign currency accounts be opened with the Bank?

▪️US Dollar;
▪️Euro;
▪️Chinese Yuan;
▪️Russian Ruble;
▪️Kazakh Tenge;
▪️Turkish Lira.
How can a foreign currency account be opened with the Bank?

To open a foreign currency account with the Bank, authorized representatives of the business entity must contact the Bank to undergo the identification procedure (they must have the original passport and the certificate of registration of the legal entity with them).
The Bank also has the right to request additional information.
After completion of the identification procedure and execution of the relevant documents (application for opening a bank account, card with specimen signatures), an account will be opened for the client.
How and by whom is a contract registered in UEISFTO?

In accordance with Resolution No.283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020 “On measures to further improve monitoring of foreign trade operations”, information on concluded foreign trade contracts and invoices is entered by the business entity itself.

Under the current procedure, information on foreign trade contracts, acts and invoices is entered by the business entity electronically using an electronic digital signature into the “E-kontrakt” foreign trade information system of the Customs Committee under the Ministry of Economy and Finance of the Republic of Uzbekistan.
Identification numbers for contracts and invoices are also generated through this system. Information on amendments and additions to contracts is also reflected in the system. (lex.uz)

Foreign trade contracts can be registered through: https://contract.customs.uz
The technical instruction for registering foreign trade contracts can be studied using the following video link and QR code: https://contract.customs.uz/assets/videos/ru/instruction.mp4

Information on amendments and additions to the terms of the contract must be documented by an additional agreement and entered into the E-kontrakt system in the same manner as contracts.
How should an application for purchasing foreign currency be submitted?

When submitting an application for purchasing foreign currency through Internet Banking, the “Currency” — “Application for Purchase of Foreign Currency” subsystem should be used.
Applications for purchasing foreign currency are accepted from 9:00 to 17:00.
The fee for reviewing an application for purchasing foreign currency is UZS 25,000 excluding VAT.
How can I know whether the application for purchasing foreign currency has been reviewed?

Confirmation that the application has been successfully completed is the status of the application “Final postings created” or “Completed”.
How is an application for selling foreign currency submitted?

The application is submitted through Internet Banking using the “Currency” — “Application for Purchase and Sale of Foreign Currency” subsystem.
Applications for selling foreign currency are accepted from 9:00 to 18:00.
No fee is charged for reviewing an application for selling foreign currency.
How should legal entities submit a payment order for transferring funds in foreign currency?

To submit a payment order for transferring funds in foreign currency, legal entities should use the “Currency” — “Application for Transfer of Funds” subsystem.
How can I know that a payment order for transferring funds in foreign currency has been successfully completed?

The confirmation is that the payment order has the status “Sent”.
What does the “Rejected” status of an application/payment order mean?

This status means that the application/payment order has been returned to the client by the Bank’s responsible officer for reconsideration.
How is a payment order in Russian Rubles prepared?

To create a payment order for a foreign currency transfer, the client may use the SWIFT-RUR 6 instruction.
How can I obtain a SWIFT statement?

A SWIFT statement can be printed using the “Currency” — “Application for Bank Transfer” module.
To do so, select the required payment and click the “Print” button.
A certified version of the SWIFT statement can also be obtained by contacting the Corporate Client Service Department.
How can I obtain the list of correspondent banks?

To obtain the list, click the link or contact the Bank’s Foreign Currency Operations Department.
What is transliteration and when is it used?

Financial messages in Russian Rubles are exchanged using recoding from Cyrillic into Latin characters, i.e. using transliteration. The recoding is performed in accordance with a unified transliteration table.
What are the minimum requirements for foreign trade contracts?

In accordance with Resolution No.283 of the Cabinet of Ministers of the Republic of Uzbekistan “On measures to further improve monitoring of foreign trade operations”, foreign trade contracts must contain the following main sections and information:

▪️Preamble.
▪️Subject matter of the contract, including a reference to the HS code of the goods.
For the supply of machinery, equipment and technological lines, the contract must specify whether they are new or used (for used equipment — the percentage of wear or period of use);
▪️Basic delivery terms (under the international “Incoterms” rules).
▪️The period and date of delivery of goods, performance of works and provision of services.
▪️The total contract amount and the price of the goods per unit of measurement.
▪️Payment terms.
▪️Origin of the goods and place of performance of works and provision of services.
▪️Liability of the parties.
▪️Details of the parties.

Barter contracts must mandatorily include conditions providing for accelerated delivery of imported goods or provision of alternative bank guarantees; The text of the foreign trade contract must be drawn up in the state language or in the language selected by the foreign partner. If the contract is drawn up in another language, it must be translated into the state language or the language selected by the foreign partner and duly certified.
How can I find the ITRS code for payment under an import contract?

For information on ITRS codes, please use the reference guide.
What is the commission fee for a legal entity’s payment order (bank transfer)?

According to the Bank’s tariffs, the following types of commission fees are charged for transferring funds in foreign currency.
What documents are required to open a legal entity’s accounts with the Bank?

Organizations (both residents and non-residents of the Republic of Uzbekistan), when opening accounts with the Bank for the first time, must ensure the personal presence of persons authorized to sign documents on behalf of the legal entity.

Resident legal entities that are business entities (LLCs, joint ventures, individual entrepreneurs, JSCs and others) must have the following documents with them to open demand deposit accounts in national currency:

▪️an identity document of persons authorized to sign monetary and settlement documents on behalf of the client (passport or an equivalent document). A copy of the identity document is taken, and the original is returned.
▪️a copy of the certificate confirming the registration of the enterprise with the authorized bodies of the Republic of Uzbekistan (Public Services Center).
▪️ if the founders are individuals, copies of the founders’ passports.
▪️if the founder is a legal entity (organization), information about the founders of that company and information up to the client’s ultimate beneficial owner (copy of the passport of the individual — ultimate owner).
▪️a copy of the decision of the founders on appointment of the head of the organization who has the right of first signature — if a different director is indicated on the stat.uz or ihamkor.uz websites.

Individual entrepreneurs (IEs), in order to open demand deposit accounts in national currency, must have the following documents with them:
▪️an identity document of persons authorized to sign monetary and settlement documents on behalf of the client (passport or an equivalent document). A copy of the identity document is taken, and the original is returned.
▪️a copy of the certificate confirming the registration of the enterprise with the authorized bodies of the Republic of Uzbekistan (Public Services Center).

Resident legal entities that are not business entities (associations, foundations, charitable organizations and others), as well as recipients of budget funds, must have the following documents with them to open demand deposit accounts in national currency:

▪️an identity document of persons authorized to sign monetary and settlement documents on behalf of the client (passport or an equivalent document). A copy of the identity document is taken, and the original is returned.
▪️a copy of the certificate confirming the registration of the enterprise with the authorized bodies of the Republic of Uzbekistan (Public Services Center).
▪️copies of the constituent documents:
- charter;
- foundation agreement (if there are two or more founders);
- all amendments made to them (if any).

▪️a document (certificate) confirming registration with the state tax authorities.
▪️if the founders are individuals, copies of the founders’ passports.
▪️if the founder is a legal entity (organization), information about the founders of that company and information up to the client’s ultimate beneficial owner (copy of the passport of the individual — ultimate owner).
▪️a copy of the decision of the authorized body/founders on appointment of the head of the organization who has the right of first signature*.*

Representative offices of foreign organizations that do not carry out economic or other commercial activities in the Republic of Uzbekistan, in order to open demand deposit accounts in national currency, must have the following documents with them.

Required documents:
▪️a copy of the certificate confirming the assignment of a taxpayer identification number (TIN) by the tax authorities, unless otherwise provided by legislation;
▪️An identity document of persons authorized to sign monetary and settlement documents on behalf of the non-resident legal entity (passport or an equivalent document).
Additional documents:
▪️a copy of the regulation on the representative office;
▪️a copy of the document on accreditation of the representative office issued by the authorized body of the Republic of Uzbekistan;
▪️a copy of the power of attorney issued to the head of the representative office.

Non-residents participating in open electronic trading on commodity exchanges, and foreign investors selling (purchasing) shares on organized markets, must have the following documents with them to open demand deposit accounts in national currency.

Required documents:
▪️a copy of the certificate confirming the assignment of a taxpayer identification number (TIN) by the tax authorities, unless otherwise provided by legislation;
▪️An identity document of persons authorized to sign monetary and settlement documents on behalf of the non-resident legal entity (passport or an equivalent document);
▪️Constituent documents of non-residents participating in open electronic trading on commodity exchanges and foreign investors selling (purchasing) shares on organized markets (foundation agreement, charter), as well as copies of amendments and additions thereto certified by a consulate or notary;
▪️a copy of the agreement on provision of brokerage services between a non-resident legal entity participating in open electronic trading on a commodity exchange and the exchange broker;
▪️a copy of the agreement on provision of brokerage services between foreign investors — non-resident legal entities selling (purchasing) shares on organized markets and the investment intermediary;
▪️a copy of the document determining the authority of the person having the right of first signature (decision of the founders or another equivalent document).

Permanent establishments of non-residents operating in accordance with the procedure established by the legislation of the Republic of Uzbekistan must have the following documents with them to open demand deposit accounts in national currency.

Required documents:
▪️a copy of the certificate confirming the assignment of a taxpayer identification number (TIN) by the tax authorities, unless otherwise provided by legislation;
▪️An identity document of persons authorized to sign monetary and settlement documents on behalf of the non-resident legal entity (passport or an equivalent document);
▪️a power of attorney or other document (if available) confirming the right to act in the Republic of Uzbekistan on behalf of the non-resident legal entity of the Republic of Uzbekistan;
▪️Copies of the constituent documents (foundation agreement, charter) of permanent establishments of non-residents carrying out activities in the Republic of Uzbekistan in accordance with the procedure established by law, certified by a consulate or notary;
▪️a copy of the document defining the activities of the permanent establishment of the non-resident in the Republic of Uzbekistan (if available);
▪️a copy of the document determining the authority of the person having the right of first signature (decision of the founders or another equivalent document).

Non-resident legal entities participating in crypto-asset trading on a crypto exchange must have the following documents with them to open demand deposit accounts in national currency.

Required documents:
▪️a copy of the certificate confirming the assignment of a taxpayer identification number (TIN) by the tax authorities, unless otherwise provided by legislation;
▪️An identity document of persons authorized to sign monetary and settlement documents on behalf of the non-resident legal entity (passport or an equivalent document);
▪️Constituent documents of the non-resident legal entity (foundation agreement, charter) and copies of amendments and additions thereto certified by a consulate or notary;
▪️a copy of the agreement establishing relations between the non-resident legal entity participating in crypto-asset trading on the crypto exchange and the crypto exchange;
▪️a copy of the document determining the authority of the person having the right of first signature (power of attorney or another equivalent document).

All other documents required for opening accounts (signature cards, applications for opening accounts, necessary agreements and other documents) are prepared at the Bank and personally signed by persons having the right of first and second signature on behalf of the non-resident legal entity.

The opening and activation of clients’ accounts is carried out by the Bank after all required documents have been duly prepared and signed.
What currency pairs are available for foreign exchange and conversion operations for corporate clients?

“GARANT BANK” JSC is able to conduct foreign exchange operations in all freely convertible currencies, including currency pairs against the national currency.
Including:
Against the national currency: USD/UZS, EUR/UZS, RUB/UZS, RUB/EUR, RUB/USD, GBP/USD, CHF/USD, CNY/USD and JPY/USD;
Conversion of one foreign currency into another: EUR/USD, GBP/USD, GBP/EUR, USD/CHF, EUR/CHF, USD/JPY, EUR/JPY, USD/AED, AED/RUB, EUR/AED, GBP/AED, CHF/AED, USD/CNY, EUR/CNY, GBP/CNY, CHF/CNY, USD/KZT, EUR/KZT, GBP/KZT, CHF/KZT, USD/RUB, EUR/RUB, GBP/RUB and CHF/RUB.
What is the commission fee for crediting export proceeds?

According to the Bank’s tariffs, no commission fee is charged for crediting export proceeds.
For what purposes can an application for purchasing foreign currency be submitted?

•   Equipment, components and spare parts;
•   Raw materials and supplies;
•   Services;
•   Loans: guaranteed by the government;
•   Loans: not guaranteed by the government;
•   Loans: provided from the Bank’s own funds;
•   Leasing payments;
•   Medicines, pharmaceuticals and medical equipment;
•   Passenger cars;
•   Other consumer goods;
•   Repatriation of income;
•   Business trip expenses;
•   Other purposes.
How can one foreign currency be converted into another?

Conversion of one foreign currency into another in an amount up to the equivalent of USD 10,000 is carried out electronically through the “Conversion Order” module in the Internet Banking system.
If the application amount exceeds the equivalent of USD 10,000, the Client submits an application for conversion to the Corporate Client Service Department. The application may be submitted in paper form or by email.
What are non-trade transactions?

In accordance with the Law of the Republic of Uzbekistan No. ZRU-573 dated 22 October 2019 “On Currency Regulation”, non-trade money transfers include:

▪️money transfers between individuals in an amount up to the equivalent of UZS 100 million;
▪️payment for goods (services, works) for personal needs;
▪️payment of salaries, scholarships, pensions and alimony;
▪️payment of expenses related to sending employees of the Republic of Uzbekistan on business trips outside the Republic of Uzbekistan;
▪️payment for education, medical treatment and tourism;
▪️payment for the maintenance of diplomatic and other representative offices of the Republic of Uzbekistan abroad, as well as permanent representative offices of the Republic of Uzbekistan at international intergovernmental or governmental organizations;
▪️payments related to notarial and investigative actions, as well as payment of state duties in connection with court proceedings;
▪️payments of funds based on decisions of courts, arbitration tribunals, investigative bodies and other law enforcement authorities;
▪️payments for participation in international congresses, symposia, conferences, sporting and cultural events, as well as other international meetings, exhibitions and fairs, except for investment-related and material expenses;
▪️payments related to the burial of a deceased person;
▪️payment of copyright remuneration, patent fees and remuneration under license agreements in the field of intellectual property;
▪️contributions to international non-profit organizations.
Is it possible to convert funds based on an invoice?

Conversion of funds based on an invoice is possible.
If the transaction is classified as a non-trade transaction, submit an application for purchasing foreign currency and send a scanned copy of the invoice to val@garantbank.uz.

In accordance with Resolution No.283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020 “On measures to further improve monitoring of foreign trade operations”, in order to make an import payment based on an invoice, the invoice must be entered into the “E-kontrakt” foreign trade information system and must contain the following basic information:

▪️name of the business entity and its details;
▪️name of the foreign partner and its details;
▪️invoice amount;
▪️identification number of the business entity (TIN) or personal identification number of an individual (PINFL);
▪️name of the goods (works, services);
▪️unit of measurement of the goods (works, services);
▪️quantity of the goods (works, services);
▪️price of the goods (works, services);
▪️delivery value of the goods (works, services);
▪️delivery terms under “Incoterms”;
▪️type of transportation.

Invoices must be certified by the signature of the business entity. (lex.uz)
Is it possible to convert funds for a refund under an export contract?

Yes. For this purpose, the business entity should select “other purposes” as the purpose of purchasing the foreign currency.
What is the export of goods, works/services?

In accordance with Resolution No.283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020 “On measures to further improve monitoring of foreign trade operations”:
• export of works (services) — performance of works (provision of services) by an exporter to a non-resident of the Republic of Uzbekistan, regardless of the place where they are performed (provided);
• export of goods — removal of goods from the customs territory of the Republic of Uzbekistan without an obligation to re-import them, unless otherwise provided by legislation.
What is the import of goods, works/services?

In accordance with Resolution No.283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020 “On measures to further improve monitoring of foreign trade operations”:

▪️import of goods — bringing goods into the customs territory of the Republic of Uzbekistan without an obligation to re-export them;
▪️import of works (services) — performance of works (provision of services) by a legal entity or individual of a foreign state to a resident of the Republic of Uzbekistan, regardless of the place where they are performed (provided).
What are contracts of types 18 and 19?

In accordance with Resolution No.283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020 “On measures to further improve monitoring of foreign trade operations”:
Type 19 sale contract — a contract between a resident and a non-resident of the Republic of Uzbekistan providing for the sale to another non-resident of goods purchased under a purchase contract;
Type 18 purchase contract — a contract between a resident and a non-resident of the Republic of Uzbekistan for the purchase of goods without bringing them into the customs territory or with their movement in transit. (lex.uz)
How can I ask a question regarding foreign currency operations?

You can ask a question by calling the Contact Center at:
(71) 202-15-17.
Is it necessary to block funds for purchasing foreign currency?

It is not necessary to block funds in a blocked account for purchasing foreign currency; the system automatically creates such a transfer.
What documents are required to deposit cash foreign currency into the cash desk under a foreign trade contract (export proceeds, repayment of receivables)?

To deposit cash foreign currency into the Bank’s cash desk under a foreign trade contract, the Client provides the following documents to the Corporate Client Service Department in accordance with the established list:

▪️a copy of the foreign trade contract;
▪️the original notarized power of attorney issued by the foreign partner in the name of the person depositing the cash foreign currency;
▪️the original passport of the person depositing the cash foreign currency or another identity document;
▪️the original letter from the organization in whose name the cash foreign currency is being deposited;
▪️the original customs declaration issued in the name of the person depositing the cash foreign currency, where required by the legislation of the Republic of Uzbekistan.
What documents are required to receive funds for a business trip?
The following documents must be submitted to obtain funds for a business trip abroad:
1. An order authorizing the employee(s) to undertake the business trip.
2. The passport(s) of the employee(s) travelling on the business trip and the person receiving the funds.
3. An official letter from the organization.
4. The business trip assignment plan.
5. A duly prepared and approved estimate of business trip expenses.
The financing and reimbursement of business trip expenses are carried out in accordance with the applicable legislation and the bank’s internal procedures.

Note: This question and answer have been prepared taking into account the requirements of the Regulation approved by Resolution No. 303 of the Cabinet of Ministers of the Republic of Uzbekistan dated 11 June 2026. The applicability of this Regulation to Garant bank is determined in accordance with the bank’s legal status and applicable legislation.
How should mutual settlements under a foreign trade contract be carried out?

In accordance with Resolution No.283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020, the following is permitted:

▪️mutual settlements under two or more import contracts of one business entity where payment has been made from the importer’s own foreign currency funds;
▪️mutual settlements under two or more export contracts of a business entity.

To carry out mutual settlements, the business entity submits an additional agreement to the Foreign Currency Operations Department and pays the commission fee in accordance with the Bank’s tariffs.
An enterprise has accounts payable. How can it be closed?

Accounts payable may be closed in accordance with the procedure established by Resolution No.216 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 April 2021 “On approval of the Regulation on the procedure for writing off bad debts from the Unified Electronic Information System of Foreign Trade Operations.”
If the business entity has an additional agreement signed by both parties, the accounts payable can be closed.
To close accounts payable, the Client pays a commission fee in accordance with the Bank’s tariffs.
What deadlines are established for receivables?

In accordance with Resolution No.283 of the Cabinet of Ministers of the Republic of Uzbekistan dated 14 May 2020:

The period for importing goods into the Republic and clearing them under the customs regime of “release for free circulation (import)”, as well as for performing works or providing services or returning funds paid for them, must not exceed 180 days from the date of payment under import contracts.

The period for receipt of proceeds under an export contract or re-import of goods must not exceed 180 days from the date of registration of the cargo customs declaration under the “export” customs regime for goods, and for services (works) — from the date of signing the acceptance certificate for completed works.
Debt exceeding 180 days is considered overdue.

Under the current procedure, 180-day periods are established for the relevant types of import and export operations. At the same time, special rules are provided for certain operations, including those related to certain types of contracts, regarding the entry of documents into the information system and the deadlines for delivery of goods. Therefore, the 180-day period for a specific transaction is determined taking into account the relevant type of contract and the conditions of the transaction. (lex.uz)
If a payment order has already been processed, how can the beneficiary’s details be changed?

A letter requesting a change to the transfer terms, its return, or cancellation of the transfer (not due to the Bank’s fault), after the transfer has been accepted for execution through the SWIFT or TELEX systems, must be submitted by the client to the Corporate Client Service Department by email or in paper form.
After the letter has been processed, the Bank deducts the commission fee from the client’s account in accordance with the Bank’s tariffs.
How can a request be submitted to trace funds in foreign currency?

For tracing funds and payment documents through the SWIFT and TELEX systems, the client submits a letter to the Corporate Client Service Department by email or in paper form.
How can I find the list of banks included in the SDN (Specially Designated Nationals and Blocked Persons) list?

The list of sanctioned banks can be checked by calling (71) 202-15-17 or by following the SDN link.
SDN stands for OFAC’s “Specially Designated Nationals and Blocked Persons” list. It is not limited to banks. The list may include individuals, legal entities, organizations and other entities. When making international payments, the sanctions status of the relevant bank and counterparty is checked separately.
What is a grant (grant agreement)?

A grant (from the English word “grant” — an interest-free loan) is a type of targeted financing, i.e. a certain amount of funds provided to an entrepreneur under specifically defined conditions. If such conditions are fulfilled, the grant does not have to be repaid and no interest is payable on it.
Does a grant need to be registered in UEISFTO?

A grant is not registered in UEISFTO.
What needs to be done to receive foreign currency funds under an external loan agreement?

In accordance with Regulation No.2536 of the Central Bank of the Republic of Uzbekistan dated 17 December 2013 “On the procedure for conducting certain foreign currency operations related to capital movement”, all settlements and payments under external loan agreements are carried out by the Client through the Bank where the main deposit account in national currency is opened.

Subject to this main requirement, the Client provides scanned copies of the following original documents to val@garantbank.uz:
▪️an application (letter) for acceptance of the loan agreement for registration; and
▪️a duly executed loan agreement.

After the documents provided to the Bank have been reviewed, the external loan agreement is registered in the ExDebtUz system of the Central Bank of the Republic of Uzbekistan.

After confirmation by the Central Bank of the Republic of Uzbekistan of the registration and compliance with payment requirements, the Bank credits the funds received under the loan agreement to the Client’s account.

If the Client’s main deposit account is transferred to another commercial bank, subsequent foreign currency operations under the loan agreement are maintained by the commercial bank to which the resident’s main deposit account has been transferred.

In this case, the Client must provide an additional agreement to the loan agreement concerning the change of banking details, and the Bank must transfer this additional agreement (ID agreement) through the ExDebtUz system of the Central Bank of the Republic of Uzbekistan to the Bank where the main deposit account is opened.

For external loan agreements of Clients registered with the Bank, a commission fee of UZS 25,000 including VAT per month for one agreement is charged in accordance with the Bank’s tariffs.
What should I do to ensure that funds from my foreign partners under export contracts are credited to my account faster?

When the foreign partner sends funds through its bank, the payment order should contain the correct details corresponding to the details specified in your export contract, and the payment purpose should be stated in full.
I want to send a payment abroad via the SWIFT system. I understand that there are BEN, OUR and SHA commission options. What is the difference between them?

An international payment via the SWIFT system is a transfer of funds from a foreign currency account held with a local bank to the bank account of an organization or individual abroad.

To make a SWIFT payment, the beneficiary’s foreign bank details must be specified in the payment order, including the name of the beneficiary’s bank, the bank’s SWIFT code or IBAN, the beneficiary’s full name, address, account number and payment purpose.

For such transfers, commissions may be charged by the sending bank, intermediary banks and the beneficiary’s bank. The main types of commission allocation are as follows:

▪️BEN — all applicable bank charges are borne by the beneficiary and may be deducted from the transfer amount. As a result, the beneficiary may receive less than the amount originally sent.
▪️OUR — the commissions related to the transfer are borne by the sender. In this case, the beneficiary is generally expected to receive the full amount specified in the payment order.
▪️SHA — the sender pays the commission of their bank, while the beneficiary pays the commissions of the beneficiary’s bank and other relevant banks. Some commissions may therefore be deducted from the transfer amount.
Are there any restrictions on purchasing cash US dollars?

Currently, there is no general quantitative limit on the purchase of foreign currency in cash through bank branches and ATMs.
However, when purchasing foreign currency through an ATM, the maximum amount of a single transaction is limited to USD 500. When purchasing more than USD 500 in foreign currency at a currency exchange office, the customer is required to present an identity document (civil passport, ID card, new-generation driving licence, military ID or temporary residence permit).
How frequently do exchange rates change?

Foreign currency buying and selling rates are independently determined by commercial banks, taking into account supply and demand for foreign currency.
Therefore, exchange rates may change several times during a business day.

How are payment fields from the previous MT103 SWIFT format reflected in the new pacs.008 and pacs.009 formats under the ISO 20022 standard?

With the transition of international payments to the ISO 20022 standard, the previously used MT103 message format for relevant customer credit transfers through banks has been replaced by pacs.008 (FIToFICustomerCreditTransfer). For credit transfers between financial institutions, pacs.009 (FinancialInstitutionCreditTransfer) is used where applicable.

Unlike MT messages, ISO 20022 messages do not use short field numbers such as 50, 52, 56, 57, 59, 70 and 71. Information is divided into clearly defined and structured XML elements.

Main MT103 → pacs.008 mapping

MT103 field	Description	Main information in pacs.008
50A/50F/50K	Ordering Customer	Dbtr + DbtrAcct
52A/52D	Ordering Institution / Sender’s Bank	DbtrAgt
56A/56D	Intermediary Institution	IntrmyAgt1
57A/57D	Account With Institution / Beneficiary’s Bank	CdtrAgt
59/59A/59F	Beneficiary Customer	Cdtr + CdtrAcct
70	Payment purpose, invoice, contract or other reference	RmtInf
71A	Charge bearer (OUR/SHA/BEN)	ChrgBr

For example:
▪️MT103 :50 — ordering customer information → pacs.008 <Dbtr> and <DbtrAcct>;
▪️MT103 :52 — ordering institution / sender’s bank → <DbtrAgt>;
▪️MT103 :56 — intermediary bank → <IntrmyAgt1>;
▪️MT103 :57 — beneficiary’s bank → <CdtrAgt>;
▪️MT103 :59 — beneficiary and beneficiary’s account → <Cdtr> and <CdtrAcct>;
▪️MT103 :70 — invoice number, contract number or other payment-related information → <RmtInf>;
▪️MT103 :71A — charge allocation → <ChrgBr>.

The party responsible for paying the charges is reflected in ISO 20022 as follows:
▪️OUR → DEBT — charges are borne by the sender;
▪️SHA → SHAR — charges are shared between the parties;
▪️BEN → CRED — charges are borne by the beneficiary.

In addition, the :20: reference from MT103 is reflected in the relevant Payment Identification elements of the pacs.008 message, while the UETR is reflected in the corresponding UETR element of the ISO 20022 message.
The date, currency and amount specified in the :32A: field of MT103 are reflected as separate structured elements in the ISO 20022 format.
MT202 → pacs.009

If the payment represents a transfer between financial institutions, pacs.009, corresponding in purpose to the MT202 format, is used.
For example:
▪️MT202 :52A — Ordering Institution → corresponding Debtor/Ordering Institution information in pacs.009;
▪️MT202 :53A — Sender’s Correspondent → corresponding settlement/instructing agent information;
▪️MT202 :54A — Receiver’s Correspondent → corresponding receiving/instructed agent information;
▪️MT202 :58A — Beneficiary Institution → corresponding Creditor/Beneficiary Financial Institution information;
▪️MT202 :72 — additional instructions between banks → corresponding Instruction Information / Instructions for Next Agent elements in pacs.009.

When transitioning to ISO 20022, each MT103 or MT202 field is not transferred literally 1:1 into a single corresponding field in pacs.008 or pacs.009. ISO 20022 provides payment information in a more detailed and structured format.

Therefore, when preparing a payment order, it is important not only to identify which ISO 20022 element corresponds to a legacy MT103 field, but also to correctly structure the Debtor, Creditor, Debtor Agent, Creditor Agent, Intermediary Agent, Remittance Information and Charge Bearer information.

You can use the link below to watch the official SWIFT video guide on the pacs.008 message format. The video explains how the MT103 message is translated into pacs.008, as well as the additional information that can be transmitted in pacs.008 compared with MT103. CBPR+ payment instructions — pacs.008 | SWIFT

What is a Letter of Credit (L/C), and what terms and documents should be specified in the contract for opening an L/C?

A Letter of Credit (L/C) is a form of settlement under which a bank issues an L/C on the buyer’s instructions and undertakes to make payment to the seller upon presentation of documents confirming compliance with the specified terms and conditions. In international trade transactions, documentary letters of credit are generally governed by the international rules UCP 600.

When planning settlement by L/C, it is recommended to clearly state in the contract that payment will be made by means of a Letter of Credit and to agree in advance on the following key terms:

1.   Type of L/C — for example, irrevocable, confirmed or another type.
2.   Amount and currency of the L/C.
3.   Expiry date of the L/C.
4.   Details of the Issuing Bank and, where applicable, the Advising/Nominated Bank.
5.   Payment terms — at sight or deferred payment/usance.
6.   Full description of the goods, quantity, quality and other key characteristics.
7.   Delivery terms (Incoterms) and place of delivery.
8.   Shipment and delivery deadlines.
9.   List of documents required for payment.
10.   Document presentation period — the number of days after shipment within which the documents must be presented to the bank.
11.   Requirements for the documents — exact document names, number of copies, issuing party and, where necessary, certification/signing requirements.
12.   Allocation of bank charges and expenses — whether they are borne by the Applicant/Buyer or Beneficiary/Seller.
13.   Where applicable, whether partial shipments and transshipment are permitted or prohibited.
14.   Insurance requirements and who is responsible for providing the insurance policy.
15.   Where applicable, Certificate of Origin, Certificate of Quality, Inspection Certificate and other specific documents.

Main documents that may be required for payment under an L/C:
▪️Commercial Invoice;
▪️Packing List;
▪️Bill of Lading (B/L);
▪️Air Waybill (AWB);
▪️CMR;
▪️Certificate of Origin;
▪️Certificate of Quality / Conformity;
▪️Insurance Policy/Certificate;
▪️ Inspection Certificate;
▪️Beneficiary’s Certificate;
▪️other permits, licences, certificates or documents stipulated in the contract.

The list of documents required under the L/C should be stated clearly and unambiguously, rather than in general terms. For example, instead of simply stating “transport document”, where necessary it is advisable to specify the exact requirement, such as “Full set of clean on-board Bills of Lading”.

If the documents required under the L/C and the requirements applicable to them are agreed in advance in the contract, this significantly simplifies the subsequent issuance of the L/C, the accurate incorporation of the contractual terms into the L/C, and the preparation of the SWIFT message.