Credit System of the Republic of Tajikistan

The concept of credit banking system

Although there are many findings confirming the time when people started using means of exchange (all kinds of substitutes of money) there is no specific time in history which is confirmed to be beginning of formal Bank operationsWord bank is Italian and means tableFirst bank operations were not lending.

Bank is a monetary - credit institute that regulates the monetary turnover in cash and non-cash forms.Legal definition: Credit organization that has the right to attract monetary funds from physical and legal bodies, place them from Bank’s name on the conditions of repayment, for fee, on term and conduct transfer operations by client’s request. The essence of the bank operations is lending.

Banking system • 1. Issuing Banks;

a) The national bank of issue; b) The regional banks of issue. 2. Not issuing banks; a) Commercial Banks; b) Specialized banks: investment, innovation, accounting, mortgage, consumer credit, the ship-savings

The elements of credit and banking system of the Republic of Tajikistan are: 

• - Banks; - Certain special-bank financial institutions that perform banking transactions, but do not have the status of the bank; - Additional agencies that make up the banking infrastructure and ensuring the vital activity of credit institutions.

Tajik Bank System Today

Tajikistan has two-tier banking system;National bank of Tajikistan functions: • Monetary Policy (emission and other);• Bank of Government (investment, payment, etc)• Bank of banks (providing cash and resources);• Price stability; • Supervision over financial institutions;• Information – analytical function;

Tajik Banks Today

• "In the Republic of Tajikistan as of 1 October 2008, has 12 banks, 7 credit societies, a non-banking financial institution, and 88 microfinance institutions.• The minimum regulated capital for acting banks has been set

at the amount equivalent to TJS 30 000 000 and for newly founded banks at the amount equivalent to TJS 50 000 000.

• The minimum amount of authorized capital for newly founded microcredit deposit institutions from September 1, 2009 is equivalent to USD 800 000.

• The minimum amount of authorized capital for newly founded microloan institutions has been set in the sum equivalent to TJS 100 0000 from April 28, 2011.

• The Assessment Commission of the National Bank of Tajikistan in 2011 held 4 qualifying assessments. 31 executives of credit institutions have participated in them, their branches and also banking auditors. As a result 23 officers have passed qualifying assessment commission and 8 were recognized as unsuitable to take their positions.