A major South Korean bank plans to launch business in Uzbekistan

South Korea's Shinhan Bank is considering Uzbekistan as one of the key directions for expanding its business in Central Asia and is preparing to enter the local market. The bank has already made an internal decision to establish a subsidiary in Uzbekistan and plans to submit an official application to the country's financial regulators in the first half of this year. If permission is granted, this will become the bank's 11th overseas subsidiary and the first such case among major commercial banks in South Korea in Uzbekistan.

Shinhan Bank plans to use its experience in Kazakhstan as a model for entering the Uzbek market. Initially, the bank focused on serving corporate clients, including South Korean companies operating abroad, and then expanded its activities by adding retail products such as mortgage lending and consumer loans.

In the long term, the bank is also considering the possibility of creating synergy between operations in Kazakhstan and Uzbekistan, including cooperation with other group divisions such as Shinhan Card.

The expansion into Central Asia aligns with the overall strategy of Shinhan Financial Group to diversify its business and strengthen its international presence amid increasing competition and slowing growth in the domestic South Korean market.

Source: Pulse