Uzbekistan plans to include PayPal, Google Pay and Apple Pay
The government of Uzbekistan instructed the Central Bank to attract PayPal, Apple Pay, Google Pay and other payment services to the country. The purpose of this step is to create favorable conditions for tourists and business. Currently, Uzbekistan remains the only country in Central Asia where PayPal does not operate.
In a decision dated September 18, the government of Uzbekistan announced plans to re-introduce payment services such as PayPal, Alipay, UniPay, Apple Pay and Google Pay to the country. The document instructed the Central Bank, together with the Ministry of Digital Technologies and the Tourism Committee, to negotiate with international payment companies by the end of the year.
The purpose of the decision is to ensure the integration of these payment systems and the banking services of Uzbekistan and create favorable conditions for tourists and businesses.
If necessary, changes to the country's legislation can be proposed to help implement this process.
In addition, the Ministry of Transport and the Tourism Committee are tasked with creating favorable conditions for local and foreign car rental companies (eg Hertz, Avis, Sixt, etc.) at airports and railway stations.
Shukrat Kurbanov, head of Uzbekistan's Humo payment system, said that tourists with cards issued in countries where Apple Pay and Google Pay are available can use these services in Uzbekistan from the end of 2019.
"But unfortunately, this possibility is not available for our citizens yet. The reason for this is simple - Article 27-1 of the law on the processing of personal data of citizens of Uzbekistan has special requirements. The problem is that neither Google nor Apple has the right to launch these services in Uzbekistan. "They don't want to set up servers. In fact, we don't need to change the law. We just need to explain that Google Pay and Apple Pay payments don't require additional servers, because no more personal information is transmitted when opening an email account," he said.
In February 2019, Central Bank Chairman Mamarizo Nurmuradov stated that the adoption of the law "On Payments and Payment Systems" will allow electronic payment systems such as PayPal to operate with a license in Uzbekistan.
Despite this, Uzbekistan is still the only country in Central Asia where PayPal does not work. In 2020, the Central Bank stated that PayPal had restricted its activities in Uzbekistan without consulting any government authorities.
ICT Minister Sherzod Shermatov suggested in late 2021 that PayPal excluded Uzbekistan due to past problems with the currency conversion system and other artificial barriers. He stressed that the introduction of PayPal is a priority for the Ministry of Finance and the Central Bank.
In October 2022, Shermatov said that "PayPal does not have big plans for expansion" because the company is focused on its existing markets.
In 2021, Uzbekistan restricted a number of platforms, including Twitter, Skype, Telegram, Facebook and YouTube, under Article 27-1 of the Personal Data Law. After a public outcry, the head of Uzkomnazorat (the state telecommunications inspectorate) was dismissed and access to social networks was restored within hours.
