Analysis Of The Current State Of Microfinance Practice Of Commercial Banks

Abstract

This article analyzes the microfinance practices of commercial banks operating in Uzbekistan. Microcredits offered by commercial banks in the country are subject to certain conditions, such as a guarantee or work experience, the existence of age restrictions, which reduces the attractiveness of microcredits offered by commercial banks among the population.

The purpose of the study is to scientifically substantiate the above problems and make recommendations based on the analysis of microfinance activities of commercial banks.

As a result of the study, the following recommendations were made:

The development of non-bank microcredit organizations in the country will reduce the microcredit risks of commercial banks;

It is advisable to direct soft loans provided by the state to small businesses and private entrepreneurs in the country to non-bank microfinance institutions, rather than to banks with a state share.