ASSESSING SMALL BUSINESSES’ ACCESS TO BANK CREDIT: EVIDENCE FROM THE KASHKADARYA REGION

This article examines small businesses’ access to bank credit in the Kashkadarya Region of Uzbekistan. It distinguishes between firms’ demand for credit, their decision to apply, and their ability to obtain financing on terms they can afford. The assessment considers credit application and approval rates, interest rates, collateral requirements, and loan maturities. It also examines how access varies by district, sector, and firm size, with particular attention to businesses that need external financing but are discouraged from applying. By distinguishing barriers at the application stage from constraints arising during loan appraisal and approval, the study provides a basis for identifying where commercial banks can improve lending procedures and where credit guarantee mechanisms could help firms with limited collateral obtain financing.