• KGS/USD = 0.01144 0%
  • KZT/USD = 0.00215 0%
  • TJS/USD = 0.10637 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00215 0%
  • TJS/USD = 0.10637 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00215 0%
  • TJS/USD = 0.10637 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00215 0%
  • TJS/USD = 0.10637 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00215 0%
  • TJS/USD = 0.10637 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00215 0%
  • TJS/USD = 0.10637 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00215 0%
  • TJS/USD = 0.10637 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00215 0%
  • TJS/USD = 0.10637 0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%

Viewing results 1 - 6 of 18

Kazakhstan Moves to Launch National Credit Ratings Agency to Cut Reliance on Foreign Firms

Kazakhstan plans to establish its own credit ratings agency, a move that would give authorities greater control over how companies are assessed by investors and reduce reliance on foreign firms that dominate global markets. Madina Abylkassymova, chair of the Agency for Regulation and Development of the Financial Market (ARDFM), said the proposed agency would be set up with participation from the National Bank of Kazakhstan, an international ratings firm, and local financial institutions. At present, Kazakhstan does not have a fully domestic ratings system. Creditworthiness is assessed primarily by the “big three” global agencies — Standard & Poor’s, Moody’s, and Fitch — as well as by Expert RA and ACRA, which are accredited for prudential regulation. The ARDFM has drafted legislation to create a national ratings framework and regulate agencies operating in the market. The Mazhilis, the lower house of parliament, approved the bill in its first reading on April 15. “It is planned to establish a Kazakh rating agency as an independent institution for national credit assessment,” Abylkassymova said. “Its shareholders will include the National Bank, an international rating agency, and financial institutions.” Officials say the National Bank’s involvement will help underpin financial stability and build confidence among market participants. At the same time, the draft law introduces safeguards intended to preserve independence. Analysts’ remuneration will not be tied to clients’ financial performance, and restrictions will be placed on affiliations, including a ban on holding financial instruments issued by rated entities. The legislation also limits any single shareholder’s stake in the agency to 10% and requires at least half of the board of directors to be independent. The agency’s authorized capital is expected to reach about $21 million. Authorities say the new system should make it easier for companies — particularly small and medium-sized enterprises — to access capital markets. Abylkassymova said the reform would help reduce borrowing costs, improve transparency, and expand investment opportunities for institutional investors such as banks, pension funds, and insurers. Alongside the new agency, both domestic and foreign rating firms will be allowed to operate in Kazakhstan, subject to regulatory oversight. The ARDFM will have the authority to recognize agencies, monitor their activities, conduct inspections, and revoke their status if necessary. To enter the market, international and foreign agencies will need to meet qualification standards, including at least five years of operational experience, sufficient capital, a verified methodology, and institutional independence. All agencies will also be required to publish their methodologies, pricing policies, and any potential conflicts of interest. The Times of Central Asia previously reported that S&P Global Ratings confirmed Kazakhstan’s long-term sovereign rating in March while forecasting a slowdown in GDP growth in 2026.

Kazakhstan’s Central Bank Links Tenge Strengthening to Rising Oil Prices

Governor of the National Bank of Kazakhstan, Timur Suleimenov, has attributed the recent strengthening of the tenge to rising global oil prices, which have increased export revenues and boosted the supply of foreign currency on the domestic market. According to the regulator, the tenge appreciated by 3.9% in March, reaching 478.15 KZT to the dollar. The average daily trading volume on the Kazakhstan Stock Exchange increased from $335 million to $372 million, while total trading volume reached $6.7 billion. Currency sales from the National Fund totaled $400 million, supporting transfers to the state budget. In addition, approximately $391 million was supplied through the mandatory sale of foreign currency earnings by quasi-state sector entities. No foreign exchange interventions were conducted during the period. As a result, the National Fund accounted for about 6% of total trading volume, or roughly $22 million per day. Exporters remained the primary source of foreign currency supply, Suleimenov noted. “Kazakhstan’s main export is oil. Prices are rising, volumes remain unchanged, and accordingly, export revenues and currency supply are increasing,” he said. Preliminary estimates indicate that National Fund currency sales in April will total $300-400 million, broadly in line with March levels. Suleimenov also said the tenge remains stable despite earlier forecasts by some analysts suggesting a potential weakening to 1,000-2,000 KZT to the dollar. At the same time, he warned of inflationary risks linked to rising tariffs. According to him, the government plans to factor inflationary pressures into future adjustments of utility and fuel prices. As of April 1, the moratorium on increases in utility and fuel tariffs in Kazakhstan, introduced in October 2025, has expired. The Times of Central Asia previously reported that economist Aidarkhan Kusainov had suggested the tenge could weaken to 1,000 per dollar or even further, arguing that the national currency is overvalued.

Timur Suleimenov Advances Tokayev Crypto Reserve Plan with $350M Portfolio

National Bank Governor Timur Suleimenov is moving to implement President Kassym-Jomart Tokayev’s crypto strategy, saying Kazakhstan has already formed a crypto-related investment portfolio of up to $350 million from gold and foreign-exchange reserves. The move is the clearest sign yet that Tokayev’s calls for a strategic state role in digital assets are moving from presidential strategy to central-bank implementation. Suleimenov has presented the initiative as a measured reserve-management step rather than a dramatic plunge into direct coin buying. The National Bank is preparing a list of instruments that goes beyond direct cryptocurrency exposure and includes shares of high-tech companies tied to crypto and digital financial assets, index funds and other instruments with similar market behavior. Deputy Governor Aliya Moldabekova said the first investments are expected in April-May, with officials focusing on digital-asset infrastructure companies rather than a large immediate direct allocation to cryptocurrencies. The structure closely tracks Tokayev’s own instructions. In his September 8, 2025 state-of-the-nation address, Tokayev said Kazakhstan should place greater focus on crypto assets and called for a State Digital Assets Fund to be created on the basis of the National Bank’s investment arm to accumulate a strategic crypto reserve. That same address argued that Kazakhstan needed to accelerate the formation of a full digital-asset ecosystem, and The Astana Times reported that the National Investment Corporation, a National Bank subsidiary, will manage the crypto fund. Tokayev had already laid some of the political groundwork a year earlier. In his September 2, 2024 address, he said Kazakhstan should continue improving the regulatory framework for digital assets and mining while further developing crypto exchanges. By May 2025, he was also telling central-bank officials of the Organization of Turkish States that Kazakhstan would introduce new regulations for the secure circulation of digital assets, including cryptocurrencies, stablecoins and tokenized assets. At the same time, Tokayev has paired crypto expansion with tougher enforcement language. During a January 28, 2026 meeting at the Financial Monitoring Agency, he warned that attempts to move capital abroad through cryptocurrency schemes were continuing and said the state needed a stronger barrier against such activity. That caution helps explain why Timur Suleimenov and Tokayev are favoring a state-managed, rules-based portfolio of diversified crypto-linked assets, rather than a rapid expansion into direct cryptocurrency purchases. Taken together, Kazakhstan’s direction is becoming clearer: Tokayev is setting the strategic line, and Timur Suleimenov is translating it into a controlled investment program inside the National Bank. If the first allocations begin on schedule in April or May, the coming weeks will offer the first concrete test of whether Tokayev’s crypto-reserve vision can work under Suleimenov’s more cautious, institutionally managed model.

Kazakhstan Adopts Pragmatic AI Regulation in Financial Sector

As of early 2026, the global financial market faces a strategic choice: impose tighter restrictions on artificial intelligence or allow the technology to evolve within existing regulatory frameworks. While the European Union has opted for comprehensive regulation, Kazakhstan has adopted a more pragmatic approach. According to the National Bank of Kazakhstan, approximately 75% of the country’s banks already use AI technologies— a share that has risen steadily over the past year — and 88% plan to expand their use. This indicates that AI integration is no longer experimental but systemic within the financial sector. Banks are increasingly deploying AI in credit underwriting, fraud detection, and anti-money-laundering transaction screening Madina Abylkasymova, Chair of the Agency for Regulation and Development of the Financial Market, articulated the principle of technological neutrality as early as 2025: the regulator does not intend to introduce artificial constraints until uniform global standards for AI are established. In her view, existing regulatory frameworks remain sufficient. Cybersecurity requirements, data protection standards, and risk management rules continue to apply regardless of whether decisions are made by humans or algorithms. Accountability and oversight remain unchanged. Infrastructure Before Regulation At the same time, the market faces significant structural barriers. These include a shortage of specialists at the intersection of finance and data science, the absence of unified data standards, and the high cost of computing infrastructure. The introduction of additional “European-style” restrictions could disproportionately burden smaller market participants and potentially force them out of the sector. Over the past twelve months, discussions have shifted from pilot experimentation to operational scaling across core banking functions. Some market participants have privately expressed concern that regulatory lag could eventually create supervisory blind spots as AI models grow more complex. Recognizing the high cost of entering the AI ecosystem, the state is assuming an infrastructural role. Timur Suleimenov, Governor of the National Bank of Kazakhstan, operating within the broader digital modernization agenda supported by President Kassym-Jomart Tokayev has outlined a strategic objective: to establish secure and scalable infrastructure to support AI development in the financial sector. This includes the launch of domestic data centers and the expansion of partnerships with global technology companies. The stated goal is to strengthen technological sovereignty and ensure the protection of citizens’ personal data. In practical terms, the regulator aims to create a sovereign “sandbox” in which fintech companies can test algorithms without transferring sensitive information to foreign servers. Supervisory Modernization The rapid expansion of AI also requires a transformation of supervisory practices. Currently, 39% of financial organizations in Kazakhstan use neural networks in some capacity. Over the past year, the number of companies that have progressed from pilot projects to partial implementation has nearly doubled. International institutions, including the Bank for International Settlements and the International Monetary Fund, argue that AI does not generate fundamentally new categories of risk. Rather, it accelerates and amplifies existing risks, credit, market, and operational. This suggests that regulators do not need to rewrite foundational rules but must enhance the speed, scale, and depth of...

Kazakhstan to Launch AI Fund Backed by National Bank

Kazakhstan will establish a dedicated Artificial Intelligence Fund to finance digital and educational initiatives, Deputy Prime Minister and Minister of Artificial Intelligence and Digital Development Zhaslan Madiev announced at an expanded government meeting. According to Madiev, the fund will be capitalized using resources from the National Bank, with the government currently finalizing its financial and organizational structure. The fund is expected to serve as the main vehicle for identifying and supporting priority AI and digitalization projects, as well as educational programs. Madiev cited international precedents, noting that leading technological nations allocate between 4% and 6% of GDP to digital development and artificial intelligence over three years. Based on ministry projections, such investments could yield a multiplier effect of 5 to 1, with the potential to contribute up to 1.5% of GDP annually in additional economic growth. One of the fund’s key focuses will be integrating AI solutions into Kazakhstan’s public and quasi-public sectors. Simultaneously, the country is pursuing international tech partnerships. With presidential backing, Kazakhstan has approved the creation of a joint venture with Chinese artificial intelligence firm 01.AI. Scheduled to launch in March, the venture will operate the National Artificial Intelligence Platform and focus on developing AI agents to enhance public sector decision-making. 01.AI is a startup founded by former Google China CEO Kai-Fu Lee. The company is best known for its open-source language model Yi-34B, positioned as an alternative to ChatGPT. At the meeting, President Kassym-Jomart Tokayev emphasized that AI is a foundational pillar of Kazakhstan’s emerging economic model. Anticipated benefits include increased labor productivity, growth in export-oriented industries, higher production of high value-added goods, and deeper integration into global digital networks. However, Tokayev also cautioned against using insufficient digitalization as a scapegoat for systemic inefficiencies. “Technology should not serve as an excuse for management shortcomings,” he noted. As previously reported by The Times of Central Asia, Kazakhstan joined OpenAI’s “Education for Countries” initiative, aimed at integrating AI tools into national education systems.

Household Debt Persists Despite Lending Slowdown in Kazakhstan

At the start of 2026, Kazakhstan’s financial indicators appear promising: the population is borrowing less, and banks are increasing financing to businesses. Yet behind this macroeconomic optimism lies a more complex picture. The debt burden on citizens has not disappeared; it has simply changed form. While less visible in financial reports, household debt is becoming increasingly evident in everyday family budgets. Two Realities, One Economy Madina Abylkasymova, chair of the Agency for Regulation and Development of the Financial Market, reported to President Kassym-Jomart Tokayev that consumer lending has slowed, while business lending has begun to grow steadily for the first time in three years. Data from the National Bank confirm this trend. In 2024, lending to individuals increased by 23.5%. By the end of 2025, growth had slowed to 17.7%. Business lending, meanwhile, accelerated from 17.9% to 19%. From a macroeconomic perspective, the regulator has met its interim objective: banks are channeling more resources into the productive economy. However, an analysis of second-tier banks’ portfolios suggests that a fundamental imbalance persists. Excluding development institutions and the quasi-public sector, end-of-year data show household debt to commercial banks at $55.1 billion, compared with business debt of 15.4 trillion tenge, or approximately $34.2 billion. The resulting $22.2 billion gap points to a structural issue: individuals remain the primary source of income for major private banks, including Halyk Bank, Kaspi Bank, and Bank CenterCredit (BCC), while the real sector continues to be underfinanced by market-based institutions. Shift to Installment Plans In 2025, under pressure from regulators, banks tightened lending standards for consumer loans. Traditional cash loan issuance slowed significantly. Despite this, total household debt continued to grow. According to the National Bank, the consumer loan portfolio expanded by KZT 2 trillion in the first half of 2025, reaching $55.1 billion by year’s end. This growth was driven not by large loans but by installment plans and Buy Now, Pay Later (BNPL) services. The number of loan contracts is rising much faster than the number of borrowers, a classic sign of demand fragmentation. Instead of a single large loan, citizens are taking out multiple small loans for food, clothing, and everyday necessities. This reflects declining purchasing power. Inflation reached 12.3% by the end of the year, with food prices rising 13.5%. At the same time, official data shows real incomes fell by 2%. Installment plans, once used primarily to purchase durable goods, are increasingly being used to “make ends meet.” Statistically, this appears as a reduction in average loan size and risk exposure. In reality, it points to growing debt dependency among households. Why the Bankruptcy Law Has Fallen Short The 2023 law on restoring personal solvency and bankruptcy was designed to address over-indebtedness structurally. But by early 2026, it was clear the system was functioning unevenly. Data from 2025 reveals the scale of rejections. Of more than 270,000 submitted applications, only about 34,000, just 12%, were approved. Approximately 87% of applicants received official denials. The main reason lies in strict eligibility criteria. For out-of-court...