The Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan published a supervisory update on organisations conducting microfinance activities, reporting continued balance-sheet and lending growth through Q2 2025 alongside a rise in overdue loans and a package of administrative and licensing measures. As of 1 July 2025, the sector comprised 212 microfinance organisations, 213 credit partnerships and 474 pawnshops. Total assets increased 10.9% in Q2 (up KZT 345bn) to KZT 3.5trn, with the largest asset share held by microfinance organisations (KZT 1,936bn, 55.1%), followed by credit partnerships (KZT 1,121bn, 31.9%) and pawnshops (KZT 458bn, 13.0%). The loan portfolio rose 9.3% in Q2 to KZT 3.2trn; microloans to businesses increased 12.3% to KZT 1.9trn and reached a 60.9% share of sector microloans, while microloans to individuals increased 5.0% to KZT 1.2trn. NPL90+ stood at 5.0% as of 1 July 2025 (4.6% as of 1 January 2025), and the NPL90+ share for the household portfolio was 6.4% (6.0% as of 1 January 2025). Liabilities grew 10.1% in Q2 to KZT 2.3trn, with borrowed funds accounting for 67.9% (KZT 1.6trn), and equity increased 12.4% to KZT 1.2bn. Based on Q2 violations, 179 administrative sanctions were applied, including 135 protocols totalling KZT 78.5mn, 23 warnings, 16 limited impact measures in the form of written orders, suspension of four licences for up to 90 days and revocation of one microfinance organisation’s licence; cited breaches included unclear or incomplete reporting, failures or delays in submitting data to the State Credit Bureau, and incorrect disclosure or calculation of the annual effective interest rate, as well as non-compliance with minimum capital requirements and other prudential norms and limits.

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