Uzbekistan introduces "mahalla bankers" to support entrepreneurs

At a meeting to discuss poverty reduction, Uzbek President Shavkat Mirziyoyev has approved the creation of "mahalla bankers," a new initiative to assist budding entrepreneurs. "Mahalla bankers" will identify entrepreneurial opportunities in local areas, engage with residents, and help turn ideas into viable projects. They will also advise on business setup, obtaining loans, and repayment processes. The initiative stresses close collaboration between banks and district governors. Banks will oversee financial issues related to business startups, while governors will be responsible for providing land, facilities, and necessary infrastructure to entrepreneurs. The programme is based on practice launched by the Aga Khan Foundation (AKF) and the United States Agency for International Development (USAID) in Tajikistan in 2021 through the establishment of community-based savings groups (CBSGs) in rural areas of the country through two programmes: Economic and Social Connections: A Multi-Input Area Development Financing Facility for Tajikistan and the Thrive Tajikistan: Partnership for Socio-Economic Development.