The Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan published a reminder to borrowers that the cessation of a microfinance organisation’s operations, including where its licence is withdrawn, does not cancel outstanding microcredit obligations and repayment remains due in full. Where a microfinance organisation’s rights to collect are assigned to another party, the borrower’s debt continues and the borrower must be notified of the new creditor and the updated payment details and repayment procedure. The agency also urged consumers to verify that a lender holds a valid licence before taking out a microcredit and noted that borrowers can seek free advice and rights protection from the microfinance ombudsman in case of disputes. It reported that 29 microfinance organisations ceased activity in Kazakhstan in 2024, with 12 closures ordered by the authorised body and 17 on a voluntary basis, mainly due to systemic breaches of legislation including prudential requirements.
Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan 2025-08-05
Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan reiterates that microcredit debts remain payable after a microfinance organisation closes
Kazakhstan's Financial Market Agency reminded borrowers that a microfinance organisation's closure doesn't cancel microcredit obligations. Borrowers should be informed of reassigned collection rights and verify a lender's licence before obtaining microcredit. In 2024, 29 microfinance organisations ceased activity due to systemic legislative breaches.