Financial market reform of Uzbekistan

The article deals with functioning of financial market as an effective mechanism for accumulation and redistribution of financial resources on competitive basis between countries, regions, and industries. The analysis of financial market of Uzbekistan, its state and existing problems, strategy of its reforming in order to rationalize distribution of capital in economy, expand opportunities and increase the effectiveness of monetary policy of the country is carried out.

SUMMARY

A redistribution of financial resources between economic entities that have temporarily available funds and are experiencing a shortage of them is carried out with the help of efficiently functioning financial system in market economy.

A financial system can be defined as financial relations acting in the form of interrelated categories, links and spheres that distribute and use financial resources of organizations, households, state, as well as special financial institutions.

A financial system is also a collection of financial markets, institutions and instruments used to carry out financial transactions by economic entities. An independent movement of money takes place in financial market regardless of movement of goods and services.

Financial market is an essential tool for existing any state. It can be compared to human circulatory system. If there is no money movement than there is no economy. Financial market, in its economic essence, is a kind of mechanism for collection and redistribution of financial resources on competitive basis between countries, regions, industries and institutional units.