Azerbaijan and Uzbekistan are gradually expanding their economic cooperation, shifting it from traditional trade and investment toward the digital economy, financial technologies, and innovative infrastructure. Recent contacts between the central banks of the two countries demonstrate that fintech is emerging as a new area of strategic cooperation between Baku and Tashkent.

 

On August 26, representatives of the Central Bank of Azerbaijan and the Central Bank of Uzbekistan held a meeting on the sidelines of the Silk Road Finance & Technology Forum in Tashkent. The sides discussed the development of national fintech strategies, infrastructure for financial innovation, mechanisms for venture financing, and support for technology companies. Particular attention was paid to closer integration of the financial and fintech ecosystems of the two countries.

This process has a broader context. In recent years, Baku and Tashkent have been consistently expanding their trade and economic ties. According to Uzbekistan’s Ministry of Investment, Industry and Trade, bilateral trade reached $307.3 million in 2025, increasing by 14.6%. In January–June 2026, trade turnover had already reached $170.3 million, representing a 30.8% increase compared with the same period of the previous year. The two countries are also working on a program aimed at increasing bilateral trade to $1 billion by 2030.

Thus, digital finance is becoming part of a broader process of economic rapprochement between Azerbaijan and Uzbekistan.

Uzbekistan Bets on Becoming a Regional Fintech Hub

Uzbekistan is currently pursuing one of the most active digital finance development policies in Central Asia. The country has adopted a National Fintech Development Strategy for 2026–2030, which provides for the modernization of digital financial infrastructure, attracting investment, and developing human capital. One of the key instruments is a regulatory sandbox that allows new financial products and technologies to be tested in a controlled environment.

Tashkent’s ambitions extend beyond the domestic market. In August 2026, the first Silk Road Finance & Technology Forum was held in the Uzbek capital, organized by the Central Bank of Uzbekistan together with the Global Finance & Technology Network. The forum is positioned as a platform for developing a regional fintech ecosystem and strengthening Uzbekistan’s role as one of Central Asia’s financial technology centers.

At the same time, Tashkent is developing open banking, payment infrastructure, regulatory mechanisms for fintech companies, and instruments for attracting venture capital. The Central Bank of Uzbekistan has also announced the creation of a FinTech Innovation Hub and a specialized venture fund, as well as a program to train 5,000 young specialists.

Another emerging area is the central bank digital currency. The Central Bank of Uzbekistan has announced preparations for a CBDC pilot project, demonstrating the country’s ambition not only to expand digital payments but also to build the infrastructure of a next-generation financial system.

The Next Stage: Cross-Border Payments and Financial Interoperability

One of the most promising areas of Azerbaijan-Uzbekistan cooperation could be the development of more interoperable digital financial systems.

This includes cross-border payments, digital identification, open banking, financial data exchange, electronic wallets, and other instruments capable of reducing the cost and time required for financial transactions between the two countries.

In January 2026, the Central Bank of Azerbaijan and Uzbekistan’s National Agency for Perspective Projects signed a memorandum of cooperation. The document covers the development and regulation of capital and insurance markets, as well as the regulation of crypto-assets and the development of innovative financial technologies.

In September 2025, representatives of the central banks of Azerbaijan and Central Asian countries also discussed the development of payment systems, digital financial infrastructure, cybersecurity, fintech regulation, and the use of regulatory sandboxes.

This demonstrates that the current dialogue between Baku and Tashkent is not a one-off initiative but part of a gradually emerging regional trend.

It is important to note that Azerbaijan is located at the intersection of transport and trade routes connecting Central Asia, the Caucasus, Turkiye, and European markets. Uzbekistan, for its part, is seeking to strengthen its role in regional trade and transport corridors.

In this context, the development of digital finance could become a kind of “digital layer” of economic corridors. While physical transport routes facilitate the movement of goods, digital payment systems can accelerate the movement of capital, trade financing, and settlements between companies.

A Broader Regional Trend Is Emerging

The cooperation between Azerbaijan and Uzbekistan is part of a broader trend in which countries across Central Asia and the South Caucasus are gradually seeking to establish their own digital financial links.

One of the possible next stages could be greater interoperability between national payment systems, mutual recognition of digital identification systems, and the development of regional fintech platforms.

During discussions in Tashkent, representatives of the regional fintech sector have already proposed focusing on four key areas: payment-system interoperability, mutual recognition of digital identification, compatible open-banking standards, and common principles for data governance.

 

Overall, relations between Azerbaijan and Uzbekistan demonstrate a gradual transition from a traditional model of economic cooperation toward a more technology-driven one. While trade, investment, industrial projects, and infrastructure traditionally dominated the bilateral agenda, fintech, digital payments, venture financing, crypto-assets, digital identification, and innovative financial instruments are now becoming increasingly important. Therefore, the current cooperation between Baku and Tashkent in financial technologies can be viewed not simply as an exchange of experience between two central banks. It could become part of the formation of a new economic space in which Central Asia and the South Caucasus are increasingly connected not only through road, rail, and maritime routes, but also through an integrated digital financial infrastructure. If this process continues, Azerbaijan and Uzbekistan could become key participants in the development of a transregional fintech system along the routes connecting the Caspian Sea, Central Asia, the Caucasus, and Turkiye.

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28.08.2026 09:47