New Kazakh Banking Law (EBRD-20598)

Regions
  • Europe and Central Asia
Geographic location where the impacts of the investment may be experienced.
Countries
  • Kazakhstan
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • European Bank for Reconstruction and Development (EBRD)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
U
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Borrower
Government of Kazakhstan
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Finance
  • Law and Government
  • Technical Cooperation
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Advisory Services
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
Not Disclosed
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ EBRD website

Updated in EWS Jan 26, 2025

Disclosed by Bank Dec 20, 2024

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Contact the EWS Team

Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the EBRD, there is strong political will to introduce a comprehensive reform of Kazakhstan's Banking Law to intensify competition and lending activities in the country. The Kazakhstan President Kassym-Jomart Tokayev has stressed the importance of the reform in his recent 2023 and 2024 State of the Nation addresses to intensify competition in the banking sector and get more financial institutions involved in corporate lending and financing economic projects, as well as to stimulate economic activity and further dynamic development of the Fintech sector.
Banks in Kazakhstan are regulated by the Agency of the Republic of Kazakhstan for Regulation and Development of the Financial Market. The Agency began operations on 1 January 2020 and is the state body responsible for regulation, control and supervision of the financial market and financial organisations with the aim of contributing to the stability of the financial system and the development of the financial market. The Agency is the assignee of the rights and obligations of the National Bank of the Republic of Kazakhstan with respect to the transferred functions and powers as to the regulation, control and supervision of financial market and financial organisations.

The EBRD's Legal Transition Programme will lead the Project with the support of the EBRD Financial Institutions group, the Capital Markets and Financial Development team and the resident office in Almaty. The objective of the Project is to provide the Agency of the Republic of Kazakhstan for Regulation and Development of the Financial Market and the National Bank of the Republic of Kazakhstan with assistance with the adoption of a new Banking Act that will support a healthy, well-governed, diversified, efficient and competitive banking sector and increase lending in Kazakhstan, particularly to entrepreneurs and small and medium sized enterprises.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Investment information not provided at the time of disclosure.


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

No project contacts provided at the time of disclosure.

ACCESS TO INFORMATION

You can request information by emailing: accessinfo@ebrd.com or by using this electronic form: https://www.ebrd.com/eform/information-request

ACCOUNTABILITY MECHANISM OF EBRD

The Project Complaint Mechanism (PCM) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an European Bank for Reconstruction and Development (EBRD)-financed project. If you submit a complaint to the PCM, it may assess compliance with EBRD's own policies and procedures to prevent harm to the environment or communities or it may assist you in resolving the problem that led to the complaint through a dialogue with those implementing the project. Additionally, the PCM has the authority to recommend a project be suspended in the event that harm is imminent.

You can contact the PCM at: pcm@ebrd.com or you can submit a complaint online using an online form at: http://www.ebrd.com/eform/pcm/complaint_form?language=en

You can learn more about the PCM and how to file a complaint at: http://www.ebrd.com/work-with-us/project-finance/project-complaint-mechanism.html

How it works

How it works