{"id":4529,"date":"2025-05-07T11:47:10","date_gmt":"2025-05-07T11:47:10","guid":{"rendered":"https:\/\/interfinance.tsue.uz\/?p=4529"},"modified":"2025-05-07T11:47:43","modified_gmt":"2025-05-07T11:47:43","slug":"participation-of-commercial-banks-in-the-stock-market-opportunities-and-threats","status":"publish","type":"post","link":"https:\/\/interfinance.tsue.uz\/?p=4529","title":{"rendered":"PARTICIPATION OF COMMERCIAL BANKS IN THE STOCK MARKET: OPPORTUNITIES AND THREATS"},"content":{"rendered":"

Nomozov Samandar Shuxrat ugli
\nTashkent State University of Economics
\nDepartment of Corporate Finance and Securities
\nIndependent researcher
\nE-mail: s.nomozov2908@gmail.com
\nORCID: 0009-0004-3489-3943
\nJEL classification: G21 G34<\/p>\n

Abstract: This article analyzes the opportunities and threats associated with the participation of commercial banks in the stock market. As banks actively operate in capital markets as investors, intermediaries, and issuers, their role has a direct impact on market liquidity, the diversity of financial instruments, and economic stability. Based on international experience and existing academic literature, the article explores the mechanisms through which commercial banks enter the stock market, the associated risks, and the role of regulatory institutions. Furthermore, the paper proposes recommendations for strengthening the integration of the banking sector with the stock market under the conditions of Uzbekistan. This article presents a systematic analysis of the opportunities and threats associated with the participation of commercial banks in the stock market. In addition to their traditional lending activities, banks are increasingly active players in the capital market by issuing securities such as bonds, deposit certificates, and other financial instruments, thereby accelerating the circulation of economic resources. Such participation contributes to enhancing market liquidity, stabilizing the investment environment, diversifying financial instruments, and strengthening investor confidence. According to empirical data, in developed countries, securities issued by banks have a direct impact on the growth of capital markets. However, if regulatory oversight is weak in this process, systemic risks may increase. The global financial crisis of 2008 serves as a vivid example of such vulnerabilities. In the case of Uzbekistan, the volume of bonds issued by commercial banks rose from 450 billion UZS in 2020 to 1.2 trillion UZS in 2023. This reflects a steady intensification of bank participation in the stock market. The article analyzes the impact of bank participation on market indicators using statistical analysis, regression models, and international comparisons. In conclusion, the study provides recommendations to strengthen the regulatory framework, diversify financial products, and develop digital infrastructure in order to foster a reliable and competitive financial environment.
\nKeywords: commercial banks, stock market, investment activity, financial instruments, market liquidity, economic stability.<\/p>\n\n\n