Microloan Service
Implemented one of the first microloan services in Uzbekistan through a chat bot. We discuss the challenges faced in this unique project
$316 000
2.2%
conversion rate
clients
$316K
20 000
number of applications
20K
Client
A private bank in Uzbekistan with over 20 years in the market. It serves more than 20,000 clients, both retail and corporate, and ranks as a top small bank in Uzbekistan based on asset quality, management efficiency, profitability, and other indicators.
As part of its digital transformation strategy, the bank plans to grow its customer base and increase business profitability over the next four years. This goal is supported by a focus on technology and innovation, launching new services, and improving the customer experience in existing services. The ultimate goal is to become the most convenient and understandable bank for businesses by providing a well-thought-out user journey in every digital product.
As part of its digital transformation strategy, the bank plans to grow its customer base and increase business profitability over the next four years. This goal is supported by a focus on technology and innovation, launching new services, and improving the customer experience in existing services. The ultimate goal is to become the most convenient and understandable bank for businesses by providing a well-thought-out user journey in every digital product.
Market analysis
The banking sector in Central Asia is growing rapidly, with Uzbekistan among the leaders: banking penetration is over 60%, compared to 47% in Kazakhstan. This growth is driven in part by increased lending.
Key trends in both Kazakhstan and Uzbekistan include the growing demand for Open API (open banking) and neobanks.
API allows banking operations — such as card payments or loan applications — through third-party companies and services that exchange data with banks.
In Uzbekistan, API is not yet well developed, and major banks are reluctant to share data with aggregators and online services. However, by 2030, this could change significantly thanks to the development of digital infrastructure under the "Digital Uzbekistan-2030" program.
Neobanks — another global trend — differ from traditional banks in that they provide services exclusively online and have no physical branches. They offer low or zero fees and additional features such as financial advisers or personalized insurance. In Uzbekistan, this sector is growing rapidly, but the main obstacle is that most large banks are state-controlled. Currently, there are only three digital banks and an equal number of online payment platforms.
Among the most popular channels is the Telegram messenger, which is the main channel for communication, news, and purchases. It is also convenient and accessible. According to official data, Telegram has over 30 million users in Uzbekistan, or nearly 90% of the population.
Key trends in both Kazakhstan and Uzbekistan include the growing demand for Open API (open banking) and neobanks.
API allows banking operations — such as card payments or loan applications — through third-party companies and services that exchange data with banks.
In Uzbekistan, API is not yet well developed, and major banks are reluctant to share data with aggregators and online services. However, by 2030, this could change significantly thanks to the development of digital infrastructure under the "Digital Uzbekistan-2030" program.
Neobanks — another global trend — differ from traditional banks in that they provide services exclusively online and have no physical branches. They offer low or zero fees and additional features such as financial advisers or personalized insurance. In Uzbekistan, this sector is growing rapidly, but the main obstacle is that most large banks are state-controlled. Currently, there are only three digital banks and an equal number of online payment platforms.
Among the most popular channels is the Telegram messenger, which is the main channel for communication, news, and purchases. It is also convenient and accessible. According to official data, Telegram has over 30 million users in Uzbekistan, or nearly 90% of the population.
According to TGStat, as of August 2023, there are 845,000 Telegram channels and 92,100 chats with a total audience of 4.5 billion subscribers in the six largest CIS countries.
Uzbekistan ranks among the top three countries in terms of Telegram channel audience, with over 1 billion users.
Finally, the bank's clients are increasingly requesting microloans, a market segment that is also growing steadily. In the first half of 2023, microloans in the country amounted to 3.35 trillion soums, 58% more than in the same period in 2022.
Finally, the bank's clients are increasingly requesting microloans, a market segment that is also growing steadily. In the first half of 2023, microloans in the country amounted to 3.35 trillion soums, 58% more than in the same period in 2022.
Challenge
The goal was to create a new online microloan service in two months. The bank already had a microcredit product, but loans could only be obtained through the app or in a branch. To expand its customer base, the bank decided to focus on maximum interface simplicity and loan processing speed.
The service needed to address the following tasks:
Issue the planned volume of loans, expanding the credit portfolio
Attract new clients to the mobile app
Reduce the customer journey from application to fund disbursement
Attract new clients to the mobile app
Reduce the customer journey from application to fund disbursement
>
>
>
>
>
The product is primarily aimed at non-clients of the bank, who mostly use the app for online payments of utility bills, fines, or mobile services. Users can use any cards, including those from other banks.
>
>
>
>
>
Solution — chatbot and web application
In two months, we created a ready-to-use product that allows clients to receive an instant loan in a few simple steps, either to their bank account or in cash at branches. The main channel chosen was a Telegram bot, through which approved clients are directed to the mobile app.
The process works as follows:
The user follows a link and launches the bot
They enter the necessary data and confirm consent for processing
The chat bot calculates the maximum loan amount — from 1 to 50 million soums
The client selects the loan amount and term, and the bot calculates the monthly payments and schedule
They enter the necessary data and confirm consent for processing
The chat bot calculates the maximum loan amount — from 1 to 50 million soums
The client selects the loan amount and term, and the bot calculates the monthly payments and schedule
01
02
03
04
02
03
04
01
02
03
04
02
03
04
01
02
03
04
02
03
04
Identity verification is done through the MyID system, requiring a selfie and a photo with a passport or ID card of Uzbekistan. The data is stored only on the bank's internal servers and not shared with third-party services.
05
Scoring: the bank's system checks the user's data, credit history, and calculates possible risks.
If all is well, the system sends an SMS code to the user to sign the documents. After that, the amount is credited to the account, and the client gains access to the personal account in the bank's mobile app.
If all is well, the system sends an SMS code to the user to sign the documents. After that, the amount is credited to the account, and the client gains access to the personal account in the bank's mobile app.
06
07
07
Additional Value:
Conducted research, proposed an integration development plan with the new service, and prepared requirements.
Implemented information security features — biometric verification using photos and one-time password (OTP) functionality, which the bank can use in other services.
The bank gains new clients who automatically open an account during loan processing. Additionally, this creates a new base of potential clients who completed the application but did not finalize it or were rejected.
Telegram shortens and speeds up the customer journey: from filling out the application to receiving the loan — only 6-8 steps. This significantly improves the customer experience, increases loyalty, and motivates clients to complete the process.
Implemented information security features — biometric verification using photos and one-time password (OTP) functionality, which the bank can use in other services.
The bank gains new clients who automatically open an account during loan processing. Additionally, this creates a new base of potential clients who completed the application but did not finalize it or were rejected.
Telegram shortens and speeds up the customer journey: from filling out the application to receiving the loan — only 6-8 steps. This significantly improves the customer experience, increases loyalty, and motivates clients to complete the process.
>
>
>
>
>
06
07
07
>
>
>
>
>
>
>
>
>
>
>
>
>
>
Let's talk about your project
Just type your contacts
By submitting the form, you confirm that you have read the privacy policy and agree to the collection and processing of personal data.