Assessing the Impact of Digital Business Models on the Performance of Commercial Banks (Central Asian Journal of Innovations on Tourism Management and Finance)

Summary

• By the end of 2025, TBC Uzbekistan's ecosystem reached 23 million registered users, while Uzum services exceeded 20 million monthly users.p.1
• As of 1 October 2025, the number of accounts registered for remote banking services in Uzbekistan exceeded 74 million, of which 97.7 per cent belonged to individuals.p.5
• The number of bank cards in circulation in Uzbekistan reached 62.4 million as of 1 April 2025.p.1
• Cybercrime caused significant losses in 2025, with UZS 1.9 trillion stolen from citizens.p.1
• As of 1 December 2025, state-owned banks accounted for 64.53 per cent of banking system assets in Uzbekistan.p.5
• As of 1 January 2026, state-owned banks issued UZS 404.5 trillion out of the country's total loan portfolio of UZS 604 trillion.p.5

Key insights

1. Digital banking business models shift revenue generation away from traditional interest margins toward commission fees, subscriptions, and ecosystem-based services.p.3
2. Two private digital entities, Uzum Bank and TBC Bank, reached 5.90 million and 5.59 million remote service customers respectively by 1 October 2025, competing directly with established state banks.p.5
3. The remote banking market in Uzbekistan shows high concentration, with the top five banks controlling over 70 per cent of remote service users as of 1 October 2025.p.5
4. High net interest margins and return on equity in digital banks stem mainly from unsecured retail lending, which poses downside risks to profitability if credit quality drops.p.4
5. Cybersecurity risks have expanded alongside digital channel adoption, with cybercrime representing almost half of all crimes in Uzbekistan in 2025.p.4
6. The Central Bank's macroprudential policies, including income thresholds for microloans and debt burden requirements, aim to contain over-lending while preserving financial stability.p.4
7. Commercial banks are advised to adopt tailored digital transformation strategies matching their scale, ownership structure, and client base rather than following a single standardized path.p.6