The Role of Commercial Bank Loans in the Development of the Service Sector in Uzbekistan

Abstract

The service sector plays an important role in the sustainable development of Uzbekistan's economy. Therefore, financial support by commercial banks through lending to business entities in the service sector, especially enterprises operating in household, educational, medical, information and communication and other popular areas, is one of the urgent tasks. This article analyzes the composition and dynamics of loans issued by commercial banks to the service sector, in particular, scientific and theoretical views on improving the practice of lending in the service sector, the share of loans in the assets of commercial banks, the sectoral structure of loans issued, the level of problem loans, as well as loans issued to the service sector by leading commercial banks, the amount of reserves for coverage of possible losses and the level of profitability.