A historic innovation in Uzbekistan: the first Islamic banking license issued to Open bank

26 October 2026, 12:14·56·Uzbekistan

An important step has been taken towards introducing the Islamic banking system in Uzbekistan. For the first time in the country's history, the Central Bank has issued a license granting the right to conduct Islamic banking activities to Open bank joint-stock company. Now the bank has the right to carry out Islamic financial operations defined by legislation.

In accordance with the decision of the Central Bank Board No. 28/1 dated October 23, 2026, Open bank was issued license No. 1-I. This is considered the first officially issued license for Islamic banking activities in Uzbekistan. This was reported by the Central Bank press service.

This event expands legal opportunities for developing a new direction in the country's financial market and offering alternative financial services to the population and entrepreneurs.

How does an Islamic bank differ from a regular bank?

The Islamic financial system is organized in accordance with Sharia principles. One of its key features is the use of financial relations based on trade, leasing, partnership, and investment instead of traditional interest-based lending.

In such a system, financial transactions must be carried out in accordance with established Islamic finance standards. Therefore, Islamic banking activities imply a different approach to regular banking services.

The Law of Uzbekistan "On Banks and Banking Activities" defines the legal basis for Islamic financial operations. The operations provided for in Article 5¹ of the Law fall within the scope of the license issued to Open bank.

What Islamic financial operations can be carried out?

Legislation provides for several types of financial operations for Islamic banks. Among them are:

Musharakah — financing based on the contribution of funds by parties on a partnership basis and the distribution of profits according to agreed terms.
Murabaha — selling goods purchased on the basis of installment payments to the customer with an agreed markup.
Ijarah — leasing property based on Islamic finance principles; the right of purchase may also be provided in cases established by law.
Operations based on agency agreements (Wakala) — managing or attracting funds based on specific powers and agreed terms.
Prepayment-based financing — operations related to the delivery of goods in accordance with the requirements established by law.
Joint activity and participation in investment — financing through partnership or participation in the authorized capital of legal entities.

Each of these operations has specific legal and financial requirements. Their practical terms are determined based on the products offered by the bank, relevant contracts, and current legislation.

What does this news mean for the population and entrepreneurs?

The issuance of the first license for Islamic banking activities creates the basis for the emergence of new opportunities in the financial market. Such services can be especially important for customers who do not want to use interest-based financial products or are interested in partnership- and trade-based financing models.

As for entrepreneurs, purchasing goods on an installment basis, financing projects in partnership, and lease-based financial solutions may arouse interest.

However, the mere issuance of the license does not mean that all services have begun to be immediately offered to customers. Specific products, terms of use, fees, and the launch date of services will be announced through the bank's official announcements.

How will the Islamic banking system develop in Uzbekistan?

The legal framework for introducing Islamic finance in the country had been formed earlier as well. Legislative changes adopted in 2026 defined the opportunities for establishing Islamic banks and launching Islamic financial services in traditional banks.

The first license issued to Open bank became an important stage of this process. In the future, the practical implementation of new services, the technical and organizational readiness of banks, and compliance with Islamic finance standards will be of great importance for the development of the sector.

At the same time, before using financial services, customers must carefully study contracts, understand payments and obligations, and check the bank's relevant license.

Conclusion

The issuance of the first license for Islamic banking activities in Uzbekistan marks the official beginning of a new direction in the country's financial system. License No. 1-I granted to Open bank creates the legal basis for carrying out Islamic financial operations provided for by legislation.

Now the main focus will be on how the new services will be launched, what conditions will be offered to the population and entrepreneurs, and what place this financial model will take in the country's market.