The Central Bank of Uzbekistan plans to gradually expand the investment portfolio of the country’s international reserves beyond US Treasury securities. Central Bank Deputy Chairman Abror Mirzo Olimov said this on September 18 at the first International Forum on State Asset Management in Tashkent, Spot correspondent reports.
According to him, gold will remain a strategic reserve asset for the country. However, as the portfolio grows, the regulator plans to expand its range of investment instruments and strengthen diversification.
“We intend to move beyond US Treasury securities and shift to other highly liquid assets. These could include sovereign bonds, securities issued by supranational organizations and other fixed-income instruments”, Olimov said.
At the same time, the Central Bank deputy chairman stressed that diversification is not limited to adding new asset classes. Before taking on additional risks, the regulator needs to strengthen its institutional capacity to understand, assess and manage them.
This year and next year, the Central Bank, together with international financial institutions, is working on strategic asset allocation, investment policy and strategy, independent risk management and other areas, Olimov noted.
“Our experience, as well as that of other countries and reserve managers, shows that there is no one-size-fits-all reserve portfolio. The structure of reserves should take into account each country’s liabilities, intervention needs, market structure, acceptable level of risk and institutional capacity”, Olimov said.
According to the Central Bank deputy chairman’s presentation, the next stage, described as “diversification with institutional capacity,” is planned for 2027 and beyond. It envisages expanding the investment space while simultaneously strengthening the reserve management framework.
The presentation lists government bonds issued by G7 countries and other sovereign issuers, high-quality fixed-income instruments and other eligible high-quality assets among the areas for expanding the investment portfolio. The expansion will be carried out within the approved risk parameters.
A separate section focuses on strengthening the institutional framework. It includes strategic asset allocation, investment policy and strategy, independent risk management, as well as the development of systems, analytics and corporate governance.
The Central Bank also plans to expand cooperation with external asset managers and the World Bank under the RAMP program, strengthen knowledge sharing, adopt technologies and risk analysis tools, and develop internal expertise.
The English version of this material was generated with the assistance of AI translation tools and may differ slightly from the original text.
