THE RESOLUTION OF BOARD OF THE AGENCY OF THE REPUBLIC OF KAZAKHSTAN ON REGULATION AND DEVELOPMENT OF THE FINANCIAL MARKET

of December 30, 2021 No. 110

About modification of some regulatory legal acts of the Republic of Kazakhstan concerning banking regulation

Board of the Agency of the Republic of Kazakhstan on regulation and development of the DECIDES: financial market

1. Approve the List of regulatory legal acts of the Republic of Kazakhstan concerning banking regulation to which changes are made, according to appendix to this resolution (further - the List).

2. To provide to department of methodology and prudential regulation of the financial organizations in the procedure established by the legislation of the Republic of Kazakhstan:

1) together with Legal department state registration of this resolution in the Ministry of Justice of the Republic of Kazakhstan;

2) placement of this resolution on official Internet resource of the Agency of the Republic of Kazakhstan on regulation and development of the financial market after its official publication;

3) within ten working days after state registration of this resolution submission to Legal department of data on execution of the action provided by the subitem 2) of this Item.

3. To impose control of execution of this resolution on the supervising vice-chairman of the Agency of the Republic of Kazakhstan on regulation and development of the financial market.

4. This resolution becomes effective since January 1, 2022, except for paragraphs of the two hundred ninth, two hundred tenth, two hundred thirteenth and two hundred twenty ninth item 4 of the List which become effective since July 1, 2022, and paragraphs of the two hundred eleventh, two hundred twelfth, two hundred fourteenth, two hundred fifteenth, two hundred sixteenth, two hundred seventeenth, two hundred eighteenth, two hundred nineteenth, two hundred twentieth, two hundred twenty first, two hundred twenty second, two hundred twenty third, two hundred twenty fourth, two hundred twenty fifth, two hundred twenty sixth, two hundred twenty seventh, two hundred twenty eighth, two hundred thirtieth, two hundred thirty first, two hundred thirty second, two hundred thirty third and two hundred thirty fourth item 4 of the List which become effective since January 1, 2023.

It is approved Ministry of Finance of the Republic of Kazakhstan

It is approved Bureau of national statistics of the Agency on strategic planning and reforms of the Republic of Kazakhstan

It is approved National Bank of the Republic of Kazakhstan

Appendix

to the Resolution of Board of the Agency of the Republic of Kazakhstan on regulation and development of the financial market of December 30, 2021 No. 110

The list of regulatory legal acts of the Republic of Kazakhstan concerning banking regulation to which changes are made

1. Bring in the resolution of Board of National Bank of the Republic of Kazakhstan of May 30, 2016 No. 144 "About establishment of prudential standard rates and other regulations and limits, obligatory to observance, for Islamic banks, their normative values and technique of calculations of prudential standard rates and other regulations and limits, obligatory to observance, for Islamic banks" (it is registered in the Register of state registration of regulatory legal acts at No. 13939) the following changes:

in Normative values and technique of calculations of prudential standard rates and other regulations and limits, obligatory to observance, for the Islamic banks approved by the specified resolution:

state Item 7 in the following edition:

"7. The capital of the first level is calculated as the amount of fixed capital and the added capital:

1) fixed capital is calculated as the amount:

the paid common shares corresponding to the criteria of financial instruments of fixed capital provided by Criteria for classification of tools within equity of bank according to appendix 1-1 to Standard rates;

supplementary paid-in capital;

retained net profit of last years;

retained net profit of the current year;

the cumulative opened reserve determined as the amount of remaining balance on the balance sheet account 3510 "Reserve capital" of the Standard chart of accounts of financial accounting in banks of the second level, the mortgage organizations, Development Bank of Kazakhstan joint-stock company and branches of banks - nonresidents of the Republic of Kazakhstan, the Board of National Bank of the Republic of Kazakhstan approved by the resolution of January 31, 2011 No. 3, registered in the Register of state registration of regulatory legal acts at No. 6793;

reserves of revaluation of fixed assets and reserves of revaluation of cost of the securities carried at fair value through other comprehensive income;

reserves of revaluation of cost of the loans carried at fair value through other comprehensive income;

minus the following regulatory adjustments:

own redeemed common shares;

intangible assets, including goodwill;

losses of last years and losses of the current year;

deferred tax asset, except for parts of the deferred tax assets recognized concerning deductible temporary differences;

reserves on other revaluation;

the sales returns connected with transactions on securitization of assets. The deferred revenue in connection with the expectation of the complete or partial income in the future received from securitization conditions belongs to such income;

the income or losses from change of fair value of the financial liability in connection with change of credit risk according to such obligation;

the regulatory adjustments which are deductible from the added capital, but in connection with its insufficient level subtracted from fixed capital;

the investments specified in Item 8 of Standard rates;

2) the added capital joins the termless agreements corresponding to the criteria established in Criteria for classification of tools within equity of bank according to appendix 2 to Standard rates as a result of which at the same time there is financial asset at one person and the financial liability or other financial instrument confirming the right to share of the assets of the legal entity which remained later deductions of all its obligations at other person (further - termless financial instruments) and also the paid preferred shares corresponding to the criteria established in Criteria for classification of tools within equity of bank according to appendix 2 to Standard rates.

The size of the added capital decreases by the amount of the following regulatory adjustments:

investments of bank into own termless financial instruments by direct or indirect method;

own redeemed preferred shares of bank;

the investments specified in Item 8 of Standard rates;

the regulatory adjustments which are deductible from the capital of the second level, but in connection with its insufficient level subtracted from the added capital.

If the amount of the added capital of bank is insufficient for implementation of deduction, then the rest is subtracted from fixed capital of bank.";

state Item 31 in the following edition:

"31. It is necessary to understand each physical person or legal entity to which the bank has requirements or probability of emergence of the requirements specified in Item 34 of Standard rates as the term "one borrower".

The extent of risk for the group consisting of two or more borrowers is calculated in total, as on one borrower if the extent of risk of each of borrowers exceeds 0,05 (zero whole five 100-th) percent of equity of bank, and also in the presence of one of the following circumstances:

one of borrowers is large participant (the large participant in joint-stock company, limited liability partnership or partnership with the accessorial liability, the complete companion in partnership in commendam, the participant in complete partnership), the affiliate, the close relative (the parent, the child, the adoptive father adopted the full and not full brother or the sister, the grandfather, the grandmother, the grandson), the spouse (spouse), the close relative of the spouse (spouse), the first head of other borrower, or person interested in transaction by other borrower;

the large member, the affiliate, the close relative, the spouse (spouse), the close relative of the spouse (spouse) or the first head of one borrower or person interested in transaction by one borrower is large member, the affiliate, the close relative, the spouse (spouse), the close relative of the spouse (spouse) either the first head of other borrower, or person interested in transaction by other borrower;

the large member, the affiliate, the close relative, the spouse (spouse), the close relative of the spouse (spouse) or the first head of one borrower or person interested in transaction with one borrower is large member, the affiliate, the close relative, the spouse (spouse), the close relative of the spouse (spouse) or the first head or person interested in transaction, the large participant, the affiliate, the close relative, the spouse (spouses), the close relative of the spouse (spouse) or the first head of other borrower or person interested in transaction by other borrower;

there are good causes, confirmatory that one of borrowers transferred another in use the money received by it from bank in loan, in the amount of, exceeding equity of the transferring borrower;

there are good causes, confirmatory that borrowers jointly or separately gave the means received from bank in loan, in the amount of, exceeding cumulative equity of these borrowers, in use to the same third party who is not the borrower of bank;

borrowers are connected in such a way that one of borrowers (except for banks of the Republic of Kazakhstan) bears joint or subsidiary liability in the amount exceeding 10 (ten) percent of its assets according to obligations of other borrower;

the official of one borrower has financial interest in activities of other borrowers of bank;

borrowers are connected among themselves by cooperation agreement or other document which contains signs of cooperation agreement;

borrowers are connected in such a way that their obligations are provided with the common mortgage property belonging to the third party or as providing according to their obligations the guarantee and (or) the guarantee of the same person, except as specified availability of the general providing provided in the form of insurance policies, reserve letters of credit, guarantees, and also guarantees of joint-stock company "Fund of development of entrepreneurship "LADY", joint-stock company "National welfare fund "Samruk-Kazyna", joint-stock company "National managing holding "Bayterek" and their affiliated organizations, Fund of the Problem Credits joint-stock company, institutes of development and support of entrepreneurship of the Republic of Kazakhstan, the national company performing functions on support of export, international financial institutions, financial organizations, nonresident banks of the Republic of Kazakhstan are provided having rating "B" of the Standard & Poor agency "is not lower than s (Standard энд Purs) or the rating of similar level of one of other rating agencies;

borrowers are connected in such a way that one of borrowers provided mortgage property, guarantee, the guarantee in providing obligations of other borrower, except as specified availability of the providing provided in the form of insurance policies, reserve letters of credit, guarantees, and also guarantees of joint-stock company "Fund of development of entrepreneurship "LADY", joint-stock company "National welfare fund "Samruk-Kazyna", joint-stock company "National managing holding "Bayterek" and their affiliated organizations, Fund of the Problem Credits joint-stock company, institutes of development and support of entrepreneurship of the Republic of Kazakhstan, the national company performing functions on support of export, international financial institutions, financial organizations, nonresident banks of the Republic of Kazakhstan having rating "B" of the Standard & Poor agency "is not lower than s (Standard энд Purs) or the rating of similar level of one of other rating agencies;

the borrowers corresponding to one of the following conditions:

are the legal entities registered in the territory of the following states: Principality of Andorra, Principality of Liechtenstein, Republic of Liberia, Principality of Monaco, Marshall Islands (Republic of the Marshall Islands), or their citizens;

are the legal entities registered in the territory of the states carried by Organization for Economic Cooperation and Development to the list of the offshore territories which did not assume obligations on information exchange or their citizens;

have the large participants, affiliates, close relatives, the first heads or persons interested in transactions with these borrowers registered or who are citizens of the states specified in paragraphs the thirteenth and fourteenth to part two of this Item;

borrowers are connected among themselves on other bases provided by legal acts of the Republic of Kazakhstan;

borrowers are project participants on real estate construction, including the project orderer on construction of the real estate, equity participants on construction of object under construction and guarantors of equity participants. The extent of risk on one borrower formed by group of the borrowers listed in this paragraph is not taken into cumulative consideration of the extent of risk as on one borrower according to paragraphs the second, third, the fourth, the fifth, the sixth, the seventh, the eighth, the ninth, the tenth, the eleventh, the twelfth, the thirteenth, fourteenth, to the fifteenth and sixteenth part two of this Item of Standard rates for the group formed with participation of physical persons - equity participants on construction of object under construction and (or) guarantors of equity participants.";

state Item 53 in the following edition:

"53. Capitalization of banks to obligations to nonresidents of the Republic of Kazakhstan is characterized by k7 coefficient. The maximum value of coefficient is established in the amount of 1.

The coefficient of k7 is calculated as the relation of the amount of short-term obligations before nonresidents of the Republic of Kazakhstan to equity of bank.

For the purpose of calculation of this coefficient join in the amount of obligations to nonresidents of the Republic of Kazakhstan:

obligations to nonresidents of the Republic of Kazakhstan poste restante, including obligations, on which not fixed term of implementation of calculations;

urgent obligations to nonresidents of the Republic of Kazakhstan with initial term of repayment till 1 (one) inclusive;

urgent obligations to nonresidents of the Republic of Kazakhstan with the unconditional right of the creditor to require early repayment of obligations, including term and conditional deposits of banks, except for term and conditional deposits of physical persons and legal entities.

For the purpose of calculation of this coefficient are excluded from the amount of obligations to nonresidents of the Republic of Kazakhstan:

current accounts of legal nonresident persons;

short-term obligations before branches and representative offices of the foreign companies performing the activities in the territory of the Republic of Kazakhstan which enter sectors of economy the code "5" - other financial organizations, the code "6" - the state non-financial organizations, the code "7" - the non-state non-financial organizations and the code "8" - the non-profit organizations servicing households according to the Instruction for representation of the second level by banks, Development bank of Kazakhstan, branches of nonresident banks of the Republic of Kazakhstan, branches of the insurance (reinsurance) nonresident organizations of the Republic of Kazakhstan and the mortgage organizations in National Bank of the Republic of Kazakhstan of data for forming of the overview of the financial sector, the Republic of Kazakhstan approved by the resolution of Board of National Bank of June 29, 2018 No. 139, registered the Register of state registration of regulatory legal acts at No. 17274;

short-term obligations before nonresidents of the Republic of Kazakhstan, being international financial institutions;

short-term obligations before nonresidents of the Republic of Kazakhstan, being the international settlement systems (ClearstreamBanking S.A. (Klirstrim Banking) and EuroclearBankSA/NV (Evroklir Bank).";

To state the table of the assets of bank weighed on degree of credit risk of investments according to appendix 2 in edition according to appendix 1 to this List of regulatory legal acts of the Republic of Kazakhstan concerning banking regulation to which changes are made (further - the List).

2. Bring in the resolution of Board of National Bank of the Republic of Kazakhstan of September 13, 2017 No. 170 "About establishment of normative values and techniques of calculations of prudential standard rates and other regulations and limits, obligatory to observance, the size of the capital of bank and Rules of calculation and limits of open foreign exchange position" (it is registered in the Register of state registration of regulatory legal acts at No. 15886) the following changes:

in Normative values and techniques of calculations of the prudential standard rates and other regulations and limits, obligatory to observance, the size of the capital of bank approved by the specified resolution:

state Item 54 in the following edition:

"54. It is necessary to understand each physical person or legal entity to which the bank has requirements as the term "one borrower" or there are requirements specified in Item 57 of Standard rates. The extent of risk for the group consisting of 2 (two) or more borrowers is calculated in total, as on 1 (one) borrower if the extent of risk of each of borrowers exceeds 0,05 (zero whole five 100-th) percent of equity of bank, and also in the presence of one of the following circumstances:

1) one of borrowers is large participant (the large participant in joint-stock company, limited liability partnership or partnership with the accessorial liability; the complete companion in partnership in commendam; the participant in complete partnership), the affiliate, the close relative (the parent, the child, the adoptive father adopted the full and not full brother or the sister, the grandfather, the grandmother, the grandson), the spouse (spouse), the close relative of the spouse (spouse), the first head of other borrower, or person interested in transaction by other borrower;

2) the large member, the affiliate, the close relative, the spouse (spouse), the close relative of the spouse (spouse) or the first head of one borrower or person interested in transaction by one borrower is large member, the affiliate, the close relative, the spouse (spouse), the close relative of the spouse (spouse) either the first head of other borrower, or person interested in transaction by other borrower;

3) the large member, the affiliate, the close relative, the spouse (spouse), the close relative of the spouse (spouse) or the first head of one borrower or person interested in transaction with one borrower is large member, the affiliate, the close relative, the spouse (spouse), the close relative of the spouse (spouse) or the first head or person interested in transaction, the large participant, the affiliate, the close relative, the spouse (spouses), the close relative of the spouse (spouse) or the first head of other borrower or person interested in transaction by other borrower;

4) there are good causes, confirmatory that one of borrowers transferred another in use the money received by it from bank in loan, in the amount of, exceeding equity of the transferring borrower;

5) there are good causes, confirmatory that borrowers jointly or separately gave the means received from bank in loan, in the amount of, exceeding cumulative equity of these borrowers, in use to the same third party who is not the borrower of bank;

6) borrowers are connected in such a way that one of borrowers (except for banks of the Republic of Kazakhstan) bears joint or subsidiary liability in the amount exceeding 10 (ten) percent of its assets according to obligations of other borrower;

7) the official of one borrower has financial interest in activities of other borrowers of bank;

8) borrowers are connected among themselves by cooperation agreement or other document which contains signs of cooperation agreement;

9) borrowers are connected in such a way that their obligations are provided with the common mortgage property belonging to the third party or as providing according to their obligations the guarantee and (or) the guarantee of the same person, except as specified availability of the general providing provided in the form of insurance policies, reserve letters of credit, guarantees, and also guarantees of joint-stock company "Fund of development of entrepreneurship "LADY", joint-stock company "National welfare fund "Samruk-Kazyna", joint-stock company "National managing holding "Bayterek" and their affiliated organizations, Fund of the Problem Credits joint-stock company, institutes of development and support of entrepreneurship of the Republic of Kazakhstan, the national company performing functions on support of export, international financial institutions, financial organizations, nonresident banks of the Republic of Kazakhstan is provided having rating "B" of the Standard & Poor agency "is not lower than s (Standard энд Purs) or the rating of similar level of one of other rating agencies;

10) borrowers are connected in such a way that one of borrowers provided mortgage property, guarantee, the guarantee in providing obligations of other borrower, except as specified availability of the providing provided in the form of insurance policies, reserve letters of credit, guarantees, and also guarantees of joint-stock company "Fund of development of entrepreneurship "LADY", joint-stock company "National welfare fund "Samruk-Kazyna", joint-stock company "National managing holding "Bayterek" and their affiliated organizations, Fund of the Problem Credits joint-stock company, institutes of development and support of entrepreneurship of the Republic of Kazakhstan, the national company performing functions on support of export, international financial institutions, financial organizations, nonresident banks of the Republic of Kazakhstan having rating "B" of the Standard & Poor agency "is not lower than s (Standard энд Purs) or the rating of similar level of one of other rating agencies;

11) borrowers:

are the legal entities registered in the territory of the following states: Principality of Andorra, Principality of Liechtenstein, Republic of Liberia, Principality of Monaco, Marshall Islands (Republic of the Marshall Islands), or their citizens, or;

are the legal entities registered in the territory of the states carried by Organization for Economic Cooperation and Development to the list of the offshore territories which did not assume obligations on information exchange or their citizens or;

have the large participants, affiliates, close relatives, the first heads or persons interested in transactions with these borrowers registered or who are citizens of the states specified in paragraphs second and third this subitem;

12) borrowers are connected among themselves on other bases provided by legal acts of the Republic of Kazakhstan;

Disclaimer! This text was translated by AI translator and is not a valid juridical document. No warranty. No claim. More info