Today, the senators passed amendments to the Personal Data Law virtually lifting restrictions on operation of international payment systems in Uzbekistan.

Freelance programmers working in Uzbekistan use international e-commerce platforms to sell software products and digital content to oevrseas clients. However, on several platforms—such as Upwork, Fiverr, Envato, and Storyblocks—payments are only possible through PayPal.

Currently, bank cards issued in Uzbekistan do not fully function with PayPal. This is due to legal requirements that personal data be stored exclusively within the country, as stipulated, in particular, by the current Personal Data Law.

As a result, access by international payment systems to the Uzbek market has been partially limited.

This was also mentioned in the US State Department's Uzbekistan Investment Climate Statement 2025. The provisions of the Personal Data Law have been cited as a factor significantly limiting the activities of international online payment companies.

However, to use this system, Uzbeks are required to provide personal data, including their last name, first name, bank card details, residential address, and other information, to the alien company developing the system. This data is stored on servers located outside of Uzbekistan, which is contrary to current legislation.

According to the senators, the proposed amendments are aimed at removing these barriers.

According to the law, only certain categories of personal data will be subject to mandatory storage in Uzbekistan—specifically, biometric and genetic data, as well as information related to the provision of telecommunications services.

Clear security requirements have been proposed for the transfer, processing, and storage of other types of personal data abroad:

• ensuring an adequate level of data security in foreign countries;
• compliance with the requirements of the authorized government agency;
• implementation of international information security standards.

Furthermore, the Cabinet of Ministers shall be authorized to approve a list of countries that ensure an adequate level of personal data protection.

According to senators, the passing of the amendments will improve the legal framework for e-commerce and facilitate using international internet platforms for individuals, businesses, and foreign tourists when.

In 2021, amendments were made to the Personal data law in Uzbekistan, requiring companies to host servers containing personal data within the country. Experts have repeatedly pointed out the problem of ambiguous interpretation of this regulation, which, they say, has become a barrier to market entry for international services, including Google Pay and Apple Pay, and has raised concerns among businesses.

In 2024, the revising of approaches to data localization was discussed at expert forums, with proposals to relax the requirements to avoid excessive regulation. The World Bank previously expressed a similar position, noting that more flexible regulations would facilitate the development of the service sector and the digital economy.