In an article on inbusiness.kz by Deputy Chair Olzhas Kizatov, the Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan outlined its ongoing banking-law reform work, including a move to a proportional, two-tier licensing framework that differentiates between basic and universal banking licences. The proposed basic licence is positioned as an entry route for simpler banks focused on retail and small and medium-sized enterprise lending and other core services, with minimum capital set at KZT 10bn and activities limited by a KZT 500bn asset cap. Prudential requirements, reporting volumes and supervisory intensity would be reduced, including by not requiring implementation of the internal capital adequacy assessment process (ICAAP) and internal liquidity adequacy assessment process (ILAAP). At the same time, the basic licence would constrain risk-taking through a limited permitted-operations list, including prohibitions on lending to non-residents and related parties, derivatives transactions, investments in foreign assets and other complex cross-border operations, while still allowing deposit-taking, lending and settlement and cash services and applying deposit guarantees in full. The universal licence would retain the existing model and provide unrestricted access to the full range of banking operations. The article also recapped earlier market-entry measures, including 2022 changes enabling microfinance organisations to convert into banks and a 30 June 2025 law that liberalised licensing by removing duplicative documents and certain pre-licensing requirements and cutting the documentation package for a banking licence from more than 50 core documents to around eight, and for foreign banks rated at least “A–” from 24 to 10. It noted that the agency authorised Abu Dhabi Commercial Bank PJSC to establish Abu Dhabi Commercial Bank (Kazakhstan) JSC on 20 March, with the new bank planning to provide a full suite of services and develop Islamic finance through an “Islamic window” once it obtains a universal licence, and highlighted a unified major-shareholder approval procedure introduced for banks, insurers and asset managers, including reduced documentation for foreign insurers rated at least “A–” when seeking insurance holding status.
Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan 2026-04-13
Agency for Regulation and Development of the Financial Market of the Republic of Kazakhstan sets out basic and universal banking licences with KZT 10bn capital floor and KZT 500bn asset cap
The Agency for Regulation and Development of the Financial Market of Kazakhstan plans a proportional, two-tier banking licensing framework, introducing a basic licence with KZT 10bn minimum capital, a KZT 500bn asset cap, simplified prudential and reporting requirements, and restrictions on higher-risk and cross-border activities, alongside a universal licence. Recent liberalisation measures include reduced licensing documentation, conversion of microfinance organisations into banks, a unified major-shareholder approval regime, and authorisation of Abu Dhabi Commercial Bank (Kazakhstan) JSC, which will operate under a universal licence and develop Islamic finance via an “Islamic window.”