The Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan reported the publication of the country’s first law establishing a legal framework for credit rating agencies. Developed jointly with the National Bank of Kazakhstan, the law moves the earlier legislative initiative into statute and sets requirements for agencies’ status, market access, independence, transparency and accountability while introducing comprehensive regulatory supervision. The framework provides for three types of agencies: a Kazakh rating agency founded by the National Bank, international agencies recognized by five Organisation for Economic Co-operation and Development countries, and foreign agencies recognized by their home regulators. The Agency may recognize, monitor and withdraw recognition from international and foreign agencies. The Kazakh agency will face capital and management requirements and must report ratings, methodologies and statistics to the regulator. Rating activity must follow approved, verifiable methodologies that assess key credit risks and are updated at least annually. Agencies must manage conflicts of interest, separate rating from other activities, rotate analysts, restrict analysts from owning rated entities’ financial instruments and ensure independent directors comprise at least half of their boards. Annual transparency reports must disclose methodologies, pricing policies, historical default rates and beneficial ownership structures. Implementation also envisages creating a competitive national agency to expand access to ratings, including for small and medium-sized enterprises.
2026-09-03Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan
Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan details first law governing credit rating agencies
Kazakhstan has published its first law governing credit rating agencies, establishing recognition, supervision, independence, methodology and disclosure requirements. The framework covers a National Bank-founded Kazakh agency, qualifying international agencies and foreign agencies recognized by their home regulators. It advances the earlier legislative initiative into statute and envisages a competitive national agency to broaden access to ratings, including for small and medium-sized enterprises.