The Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan has prepared a draft board resolution to amend the rules on forming risk management and internal control systems for second-tier banks and branches of non-resident banks, with the stated aim of slowing consumer credit growth and preventing excessive household indebtedness. The draft would reduce the debt burden coefficient (BJK) from 0.5 to 0.25 for borrowers who had loans more than 90 days past due within the last 12 months. It would also introduce restrictions on granting unsecured consumer loans where any of the following apply: payments are overdue by more than 30 calendar days on bank loans and/or more than one day on microcredits; from 1 July 2025, the borrower has had principal and/or interest fully forgiven in the previous 36 months; or a restructuring in the last 12 months did not support proper performance of the borrower’s obligations.
Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan 2025-09-25
Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan drafts amendments to curb unsecured consumer lending and cut the debt burden coefficient for delinquent borrowers
The Agency for Regulation and Development of the Financial Market of Kazakhstan has drafted a resolution to amend risk management and internal control rules for second-tier banks and non-resident bank branches. The proposal aims to curb consumer credit growth and household indebtedness by reducing the debt burden coefficient from 0.5 to 0.25 for borrowers with loans over 90 days past due in the last year and imposing restrictions on unsecured consumer loans under specific conditions.