Banking legislation is a system of laws and regulations governing banking activities. The framework of the banking legislation of the Republic of Tajikistan consists of the Law “On the National Bank of Tajikistan” and the Law “On Banks and Banking Activity”.

The Law of the Republic of Tajikistan “On the National Bank of Tajikistan” defines the legal status of the National Bank of Tajikistan, the principles of its organization, its main tasks and functions, interaction with public authorities, the objectives and main instruments of monetary policy, the principles and methods of banking regulation and supervision, the procedure for the reorganization and liquidation of credit institutions, the organization of money circulation and settlements, as well as other functions and powers of the National Bank of Tajikistan.

The Law “On Banks and Banking Activity” establishes the concept of banks and non-bank financial institutions, the banking system of the Republic of Tajikistan, the list of banking operations, the principles governing relations between banks, clients and the Government, the procedures for establishing, registering and licensing banks (including banks with foreign capital participation), the grounds for revoking banking licenses, the concept of banking secrecy, the principles of accounting and financial reporting, and the procedure for conducting audits.

The legal regulation of banking activity is also carried out by the Civil Code of the Republic of Tajikistan, other laws, and the regulatory acts of the National Bank of Tajikistan. At present, the National Bank of Tajikistan has adopted and enforces regulatory acts concerning the registration of banks and the licensing of banking activities, establishing mandatory prudential standards for their operations and procedures for applying sanctions to banks in cases of violations of banking legislation, including the procedure for revoking licenses, conducting cashless settlements, and regulating other aspects of banking activity in the Republic of Tajikistan.