Georgia-based TBC Bank Group has received a licence to start banking operations in Uzbekistan.
The banking group’s subsidiary TBC Bank is planning to launch operations in June this year.
TBC CEO Vakhtang Butskhrikidze said: “I am delighted that we have obtained the licence to start our banking operations in Uzbekistan.
“This is the beginning of a new chapter in our group’s history and opens up significant new opportunities for our future development in the region.”
In its new market, the bank will offer both current and savings accounts services. It will offer cash loans, salary-backed loans as well as car loans.
The bank’s offering will include cards, mobile application, and transactional capabilities such as P2P transactions, money transfers, and utility payments.
Additionally, TBC will also operate a point-of-sale consumer finance operation.
The bank said that will work closely with its Uzbekistan-based payments subsidiary Payme, which will continue to operate independently.
The bank claims that Payme has onboarded nearly two million customers on its platform as of 31 March 2020.
TBC said that it aims to invest in a greenfield banking ecosystem for retail and micro, small and medium enterprise (MSME) customers in Uzbekistan, focusing on digital and partnership-driven channels.
The FTSE250 company has already invested $12.6m in the charter capital of the bank and plans to invest an additional $9.4m by end of this year.
The bank in its press statement said that it is planning to raise additional capital later this year.
The lender revealed that it has an expression of interest from the European Bank for Reconstruction and Development, the International Finance Corporation, and the Uzbek-Oman Investment Company.
However, TBC will retain the majority stake with 51% interest.
TBC Bank Uzbekistan CEO Sandro Rtveladze added: “Our asset-light and relatively low-cost base business model, as well as our long-term commitment to Uzbekistan, sets us on the right path to achieve our aspirations.”