RESOLUTION OF BOARD OF NATIONAL BANK OF THE KYRGYZ REPUBLIC

of February 24, 2022 No. 2022-P-12/9-4-(NPA)

About modification of some regulatory legal acts of National Bank of the Kyrgyz Republic

According to articles 20 and 68   of the Law of the Kyrgyz Republic "About National Bank of the Kyrgyz Republic, banks and banking activity" the Board of National Bank of the Kyrgyz Republic decides:

1. Make changes to the following resolutions of Board of National Bank of the Kyrgyz Republic (are applied):

- "About approval  of the Provision "About the Transactions Performed according to the Islamic Principles of Banking and Financing" of September 23, 2009 No. 38/8;

- "About  the Provision "About Requirements to the Standard Agreements Signed according to the Islamic Principles of Banking and Financing" of September 30, 2009 No. 39/4.

2. To legal management:

- publish this resolution on the official website of National Bank of the Kyrgyz Republic;

- after official publication to send this resolution to the Ministry of Justice of the Kyrgyz Republic for inclusion in the State register of regulatory legal acts of the Kyrgyz Republic.

3. This resolution becomes effective after fifteen days from the date of official publication.

4. To management of methodology of supervision and licensing of banks to bring this resolution to the attention of commercial banks, OYuL "Union of Banks of Kyrgyzstan", the relevant structural divisions, regional managements and representative office of National Bank of the Kyrgyz Republic in Batken Province.

5. To impose control of execution of this resolution on the board member of the National Bank of the Kyrgyz Republic supervising management of methodology of supervision and licensing of banks.

Appendix

to the Resolution of Board of National Bank of the Kyrgyz Republic of February 24, 2022 No. 2022-P-12/9-4-(NPA)

Changes in some regulatory legal acts of National Bank of the Kyrgyz Republic

1. Bring in the resolution of Board of National Bank of the Kyrgyz Republic "About the Provision "About Requirements to the Standard Agreements Signed according to the Islamic Principles of Banking and Financing" of September 30, 2009 No. 39/4, the following changes:

in the Provision "About Requirements to the Standard Agreements Signed according to the Islamic Principles of Banking and Financing", the approved above-stated resolution:

in Appendix 2 to the Provision "About Requirements to the Standard Agreements Signed according to the Islamic Principles of Financing":

- in the first offer of Item 11 to replace the word "financings" with the word "debts";

- Add provision with Chapter 3 following of content:

"Chapter 3. Agreement of idzhar мунтахийя биттамлик

3.1. The agreement of idzhar мунтахийя биттамлик is the transaction including the agreement of idzhar according to which the client shall redeem leased property (asset), or upon termination of, or step by step during the period of idzhar, according to the agreement.

3.1.1. The agreement of idzhar мунтахийя биттамлик consists of the following documents:

- the request of the client regarding the agreement of idzhar мунтахийя биттамлик;

- the agreement of idzhar to the basic agreement of idzhar мунтахийя биттамлик;

- the delivery-acceptance certificate to the agreement of idzhar мунтахийя биттамлик;

- the promise of transfer of property under the agreement of idzhar мунтахийя биттамлик.

3.2. General provisions of the agreement.

3.2.1. The agreement of idzhar мунтахийя биттамлик is signed by bank based on the request of the client, and also the financial and legal records necessary for decision making about the conclusion of the agreement.

3.2.2. Act as agreement parties the Lessee and Arendodatel. Bank acts as the Lessor.

3.2.3. Any personal and real estate, or share in separate assets which can be in indivisible equity property of the Lessor and Lessee irrespective of, they are partners can be the subject of the agreement of idzhar мунтахийя биттамлик or not.

3.2.4. The subject of the agreement of idzhar мунтахийя биттамлик can be insured.

3.2.5. The subject of the agreement of idzhar мунтахийя биттамлик shall be used with ensuring its safety, and the benefits received from the agreement of idzhar мунтахийя биттамлик shall correspond to the legislation of the Kyrgyz Republic and requirements of Sharia.

3.2.6. The basis for transition of the property right regarding the agreement of idzhar мунтахийя биттамлик is specifying about it in the gift agreement or sales which contains the promise to transfer the ownership to property one of the following methods:

To sell 1) for the stipulated payment or by means of progressive payment the rent rest;

To present 2) (to transfer) him without specifying of the reason;

3) to present it after payment of all payments.

3.2.7. The transfer of property on property is performed based on the gift agreement or sale which consists separately from the agreement of idzhar мунтахийя биттамлик and the provided promise.

3.2.8. The promise to transfer the ownership to property one of the methods provided in Item 3.2.6. is obligatory for person making the promise. Nevertheless the promise shall be binding only for one party, other party has choice. It is necessary to avoid the mutual (binding) promise which is forbidden by Sharia as it is similar to the agreement.

3.2.9. Agreement performance conditions in case of approach of force majeur circumstances shall be provided in the agreement.

3.3. Rights and obligations of the Parties:

3.3.1. Rights and obligations of the Lessee:

1) to own and use leased property on the conditions stipulated in this Agreement;

2) to impose on the Lessor requirements for quality and completeness of property at the time of acceptance of leased property;

3) to refuse receipt of leased property from the moment of agreement signature until receipt of property on condition of compensation to Bank of losses, and also all expenses connected with purchase and registration of property, etc.;

4) it is fair to treat Property as concerning terms, conditions, methods and methods of use, and concerning content of Property;

5) to use Property only directly, according to standards of Sharia, to contain it and to follow service regulations;

6) not to carry out the considerable changes influencing integrity of Property, except for case when the written consent of the Lessor to making of such actions was received;

7) to bear damage liability, arisen at the Lessor because of the Lessee;

8) to grant certain amount by agreement of the parties, as performance guarantee of the obligations to lease property. The deposited amount is used only for compensation of damage in case of violation by the Lessee of the obligation to lease property. In coordination with the Tenant Arendodatel can use her for investments on the basis of the agreement of the mudarab signed between Arendodatel and the Lessee. This amount can be counted payments of the next payments on lease;

9) to sign the agreement of the sublease on the conditions other than the agreement of idzhara, with the consent of the Lessor taking into account requirements of the legislation of the Kyrgyz Republic and Sharia.

3.3.2. Rights and obligations of the lessor:

1) in case of proprietary insurance expenses on insurance is incurred by Arendodatel which are subject to compensation by the Tenant Arendodatelyu. If proprietary insurance according to standards of Sharia is impossible, then the property can be insured traditional method in the presence of the corresponding approval of Sharia council of the bank. After agreement signature Arendodatel cannot levy from the Lessee any means over the established amount of the rent, except for the penalty levied for rent delay. Arendodatel can also appoint the Lessee the agent for proprietary insurance at the expense of Arendodatel;

2) the Lessor can acquire or make the property described in specifications according to the request of the Lessee;

3) the Lessor can sell leased property to the third party, having let him know availability of the agreement of idzhar мунтахийя биттамлик, also previously having informed the Lessee in 30 calendar days. At the same time all rights and obligations of the Lessor under the agreement will pass to the new owner;

4) the Lessor in coordination with the Lessee performs the main capital repairs of the personal and real estate which is the subject of the agreement of idzhar мунтахийя биттамлик. At the same time changes according to the incurred expenses are made to the schedule of lease payments. The lessee carries out the running or periodic (regular) technical repair of the personal and real estate which is the subject of the agreement of idzhar мунтахийя биттамлик at own expense;

5) the Lessor bears responsibility for the rented property during the period of validity of idzhar мунтахийя биттамлик if the Lessee does not allow any wrongful acts or negligence concerning leased property.

3.4. Agreement term.

The agreement of idzhar мунтахийя биттамлик can be terminated:

1) by mutual consent;

2) in case of violation of terms or the termination of lease payments;

3) in case of spoil of the rented property;

4) after the duration of the agreement of idzhar мунтахийя биттамлик;

5) in case of sale of property to the Lessee.

The contract of idzhar мунтахийя биттамлик is not withdrawn in connection with death of one of the parties. In case of the death of the Lessee of its right and obligation under the agreement of idzhar мунтахийя биттамлик pass to the heir. However heirs of the Lessee can terminate the agreement of idzhar мунтахийя биттамлик in case of provision of proofs about complication of agreement performance of idzhar мунтахийя биттамлик or lack of need for the agreement of idzhar мунтахийя биттамлик after approach of death of the testator.

The sample of the standard agreement of idzhar мунтахийя биттамлик is given in Appendix 3 to the Provision "About Requirements to the Standard Agreements Signed according to the Islamic Principles of Banking and Financing.";

- Add provision with Appendix 3 following of content:

"Appendix 3

to the Provision "About Requirements to the Standard Agreements Signed according to the Islamic Principles of Financing"

Request of the client regarding the agreement Idzhar мунтахийя биттамлик

______________________________________ asks to acquire and transfer under the agreement of idzhar the following property with the following provisions:

Information on the subject of the agreement of idzhar
Name of the subject of the agreement (brand, model, etc.)
Cost
Quantity
Other essential characteristics of the subject of the agreement necessary for the Client
Condition subject of the agreement (new or second-hand)
Information on the supplier/seller of the subject of the agreement of idzhar
Terms of transaction

 

Date of the request for the agreement of idzhar	"___" _____________________________, 20 __.
	________________________________________
	(signature)

The agreement of idzhar to the basic agreement Idzhara Muntakhiyya Bittamlik

____________________

"___" ___________________ 20 __ years

 

_____________________________________________________ on behalf of _____________________________________________________, acting on the basis of the _______________________________________, hereinafter referred to as "Lessor" on the one hand, and __________________________________________ on behalf of __________________________________, acting on the basis of the _________________________________________, hereinafter referred to as "Lessee" on the other hand, the "Parties" which jointly are referred to as, signed this agreement of Idzhar мунтахийя биттамлик as follows.

1. Subject of the agreement

1.1. According to this agreement Lessor acquires in property at the Seller _______________________________ (further - Property) according to the request of the Lessee and presents him to the Lessee in lease in temporary ownership and use for agreed time frame, and on paid basis.

1.2. The lessor transfers to the Lessee: ___________________________, in use for _____________________________________________________.

1.3. The characteristic of property at the time of its transfer to the Lessee is specified in the Transfer act (Appendix 1).

1.4. The rent becomes obligatory from the moment of the conclusion of the agreement. The right of the lessor to receipt of lease payments comes after signing of the delivery-acceptance certificate and since when the lessee begins to use property or when the lessor makes use of property available for the lessee. The lessee shall make lease payments in terms, stipulated in Item 1.6. this agreement.

1.5. The subject of the agreement under this agreement is in property of the Lessor during all effective period of this Agreement, and the Lessee is user of property.

1.6. The lease term of property is established with "___" _________________ 20 __ on "___" __________________ 20 __.

2. Rights and obligations of the parties

2.1. The lessee has the right:

2.1.1. Own and use leased property on the conditions stipulated in the Agreement;

2.1.2. Impose on the Lessor requirements for quality and completeness of Property at the time of acceptance of leased property;

2.1.3. Refuse receipt of leased property from the moment of agreement signature until receipt of Property in use on condition of compensation to the Lessor of the expenses connected with registration of property.

2.2. The lessee shall:

2.2.1. To treat honesty Property as concerning terms, conditions, methods and methods of use, and concerning content of Property;

2.2.2. Use Property only directly, according to standards of Sharia, contain it and follow service regulations;

2.2.3. Not carry out the considerable changes influencing integrity of Property, except for case when the written consent of the Lessor to making of such actions was received;

2.2.4. Bear damage liability, arisen at the Lessor because of the Lessee;

2.2.5. Grant certain amount by agreement of the parties as performance guarantee of the obligations to lease property. The deposited amount is used only for compensation of damage in case of violation by the Lessee of the obligation to lease property. In coordination with the Lessee, the Lessor can use her for investments on the basis of the agreement of the mudarab signed between the Lessor and the Lessee. This amount can be counted payments of the next payments on lease;

2.2.6. Sign the agreement of the sublease on the conditions other than the agreement of idzhar with the consent of the Lessor taking into account requirements of the legislation of the Kyrgyz Republic and Sharia.

2.3. The lessor has the right:

2.3.1. Have the property right to Property until the Lessor does not transfer the ownership to Property to the Lessee;

2.3.2. Transfer all rights belonging to it and obligations under this agreement to the third party by agreement of the parties with the obligatory conclusion of the relevant agreement of idzhar мунтахийя биттамлик according to the legislation of the Kyrgyz Republic;

2.3.3. Check target use of the leased property at any time during all lease term within this Agreement;

2.3.4. Collect the amount over the put rent or additional share from the put rent amount if the Lessee unreasonably detains the rent with indication of that the amount will be directed to the charitable purposes according to the domestic policy of bank approved by Sharia council;

2.3.5. Demand from the Lessee of repayment of overdue lease payments in case of unreasonable delay of due installment of lease payments on condition of reminder of the Lessee on payment due dates.

2.4. The lessor shall:

2.4.1. Provide Property to the lessee on the conditions stipulated by this Agreement;

2.4.2. Ensure complete safety of originals of the documents establishing the property right to Property for the subsequent transfer to the Lessee after execution of all the obligations by the last;

2.4.3. By the written request of the Lessee to provide the account statement;

2.4.4. Perform the main capital repairs of the personal and real estate which is the subject of the agreement of idzhar мунтахийя биттамлик in coordination with the Lessee. In this case changes according to the incurred expenses are made to the schedule of lease payments;

2.4.5. Bear responsibility for the Rented property during the lease validity period if the Lessee does not allow any wrongful acts or negligence concerning the rented property.

3. Ensuring lease

3.1. Proper execution of obligations of the Client is under this agreement provided with the pledge agreement No. _________ from ____________________, signed between the parties of this Agreement.

3.2. Complete and timely debt repayment, other charges, and also proper execution of other obligations of the Lessee is under this agreement provided with pledge.

3.3. In case of non-execution or improper execution by the Lessee of the obligations provided by this Agreement, the Lessor has the right to turn collection on pledged property in the procedure determined according to the pledge agreement.

4. Discharge of the agreement and procedure for the dispute resolution

4.1. Disputes and disagreements are considered according to the procedure, stipulated by the legislation the Kyrgyz Republic. In case of impossibility of dispute settlement by agreement of the parties they are reported to judicial authorities in accordance with the established procedure.

4.2. This Agreement can be terminated:

1) by mutual consent;

2) in case of violation of terms or the termination of lease payments;

3) in case of spoil of the rented property;

4) after the duration of the agreement of idzhar мунтахийя биттамлик;

5) in case of sale of property to the Lessee.

5. Force majeure circumstances (force majeure)

5.1. If non-execution or improper execution by the Lessee of the obligations under this agreement will be consequence of force majeure circumstances, such as flood, the fire, earthquake and other natural or technogenic catastrophes, and also military operations, blockade, acts or actions of state bodies, introduction of emergency state, mass riots, etc., obligations of the Lessee under this agreement do not stop, and completion dates can be postponed in proportion with the consent of the Lessor for the period of action of such circumstances.

5.2. The parties are exempted from liability for non-execution or improper execution of the obligations under this agreement if it is caused by force majeure circumstances (force majeure) which availability in writing is confirmed by the state or administrative authority authorized on that.

In case of impossibility of receipt of such confirmation, burden to prove approaches of force majeur circumstances it is assigned to the breaching party.

5.3. Treat force majeur circumstances: natural disasters (floods, earthquakes, the fires and other natural or technogenic catastrophes), epidemics, introduction in the corresponding territory of warlike situation, mass riots.

In these cases the party which did not fulfill or out of time fulfilled any agreement obligations shall notify without delay in writing other party on approach of force majeur circumstances and on their effects and take all feasible measures for the purpose of the maximum restriction of any negative effects caused by the specified circumstances.

6. Final provisions

6.1. The lessee confirms acquaintance with contents of this agreement and accepts all conditions specified in it and also receipt of explanation from the Lessor about all effects of non-execution or improper execution of obligations.

6.2. This Agreement becomes effective from the date of its signing by the parties and is valid before full implementation by the Lessee of all the obligations under this agreement.

6.3. This Agreement is constituted in ______ copies, on one for each of the parties. All copies of the text of this agreement signed by the parties have identical legal force.

6.4. All changes and amendments to this agreement are drawn up by the supplementary agreement, signed by the parties, and are integral part of this agreement. At the same time all changes and amendments to this agreement shall not contradict the current legislation of the Kyrgyz Republic, and also rules and the principles of Sharia.

6.5. After execution of the obligations by the parties according to this Agreement, the parties have to each other no claims.

6.6. Appendices to this Agreements are its integral part.

7. Details and signatures of the parties

Lessor	Lessee
______________________________________ (position)
___________________________________________ (FULL NAME)
__________________________________ signature, seal

 

Appendix 1

The delivery-acceptance certificate to Idzhar's agreement мунтахийя биттамлик No. ________ from "___" _____________________ 20 __.

We, the undersigneds, from the face ___________________________, on the one hand, and from the face __________________, on the other hand, drew up this Statement of what the Lessor transferred, and the Lessee accepted:

№ payment order	Name of equipment/property	Description of Equipment/property	Quantity	Note

This statement is drawn up "___" by ______________________ 20 __ in duplicate, in one copy for each of the Parties.

Details and signatures of the Parties

LESSOR	LESSEE
______________________________________ (position)
___________________________________________ (FULL NAME)
__________________________________ signature, seal

The promise of transfer of property under Idzhar's agreement мунтахийя биттамлик

____________________

"___" ___________________ 20 __ years

 

________________________________________________________ on behalf of _________________________________________________, acting on the basis of the ______________________________________________, hereinafter referred to as "Lessor" makes this promise under Idzhar's agreement мунтахийя биттамлик No. ___________ from "___" ___________ 20 __ years as follows:

2. Subject of the promise

1.1. The lessor makes the promise to the agreement of idzhar мунтахийя биттамлик from _____________ No. ______ about transfer of property on property from the Lessor Arendatoru upon termination of the term of the agreement of Idzhar мунтахийя биттамлик in case of accomplishment of all terms of the contract without violations.

1.2. This unilateral promise according to which the Lessor assumes liability that if the Lessee will perform repayment of all lease payments timely and completely, the Lessor shall (one of the following options is chosen):

To sell 1) for the stipulated payment or by means of progressive payment the rent rest;

To present 2) (to transfer) him without specifying of the reason;

3) to present it after payment of all payments for the agreement.

1.3. The promise is unilateral and obligatory only for the Lessor.

1.4. This obligation is constituted in duplicate, one copy is transferred to the Lessee.

3. Details of the lessor

Lessor

_________________________________________________________ (position)

______________________________________________________________ (FULL NAME)

_____________________________________________________ signature, seal

".

2. Bring in the resolution of Board of National Bank of the Kyrgyz Republic "About  the Provision "About the Transactions Performed according to the Islamic Principles of Banking and Financing" of September 23, 2009 No. 38/8 the following change:

 The provision "About the Transactions Performed according to the Islamic Principles of Banking and Financing", approved by the above-stated resolution:

- add with Chapter 2.4.1 of the following content:

"Chapter 2.4.1. Idzhar's transaction Service

2.4.1.1. Idzhara Service - the transaction on provision to the client for agreed time frame and for certain payment of right to use by service, consisting of two agreements: 1) the agreement on right to use by the service provided by the service provider to bank; 2) the contract between bank and the employer on service provision to the employer on the terms of consecutive payment.

2.4.1.2. Idzhar's transaction Service considers the relation between bank and the employer on short-term financing where the service is leased, and this service shall be non-material. The bank will have agreements with different service providers according to which the bank will receive in service lease necessary for the client, is direct at the supplier and hands over them in the sublease to the client on the basis of idzhar.

2.4.1.3. Idzhar's transaction Service can be applied by financial credit institutions on provision to physical persons or legal entities of such services as repair of personal and real estate, travel, celebration, services in business development, services in the field of education and health care, consulting services, etc.

2.4.1.4. The parties of the transaction are the lessor and the employer. The bank acts as the lessor.

2.4.1.5. Service is the subject of the agreement of Idzhar advantage (service or work).

2.4.1.6. Service/work shall be accurately certain and clear, objectively feasible and conforming to standards of Sharia.

2.4.1.7. Payment for service shall be established so that there were no disagreements and to be in the form of money. The amount for payment of service can be paid completely, or parts.

2.4.1.8. The obligation at bank on payment of service arises from the moment of agreement signature. The obligation at the employer on payment before bank arises from the moment of receipt of advantage.

2.4.1.9. The bank has the right to demand from the employer of introduction of certain mortgage amount as guarantee of gravity of intentions on accomplishment of agreement obligations. The deposited amount can be used for repayment of agreement obligations. In case of refusal the employer from obligations, only the size of actual expenses is subtracted from the mortgage amount.

2.4.1.10. The money received by bank as a result of Idzhar's transaction Service shall be used in the transactions conforming to standards of Sharia.

2.4.1.11. Agreements according to Idzhar's transaction Service are signed in writing. At the same time the agreement is signed only between the parties having complete capacity to act / legal capacity.

2.4.1.12. The parties sign Idzhar's agreement Service for certain term according to the arrangement of the parties.

2.4.1.13. Idzhar's agreement Service can be terminated:

1) in the consent of the parties;

2) with the termination of term of the agreement;

3) in case of violation of agreed terms and/or the termination of payments for right to use;

4) early full implementation by agreement parties of all earlier undertaken obligations.

2.4.1.14. Prolongation of the agreement of Idzhar Service for new term, regardless of whether there was prolongation before the termination of initial term or later is allowed.

2.4.1.15. The agreement cannot be terminated unilaterally, except as specified breach of agreement or contingencies.".

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