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THE LETTER OF THE AGENCY OF THE REPUBLIC OF KAZAKHSTAN ON REGULATION AND SUPERVISION OF THE FINANCIAL MARKET AND THE FINANCIAL ORGANIZATIONS

of October 19, 2009 No. 08-20/7479/20635

Explanations about rates of remuneration of banks within the Law of the Republic of Kazakhstan "About modification and amendments in some legal acts of the Republic of Kazakhstan concerning stability of financial system"

Present the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations (further - the Agency) sends you explanations of the Agency about rates of remuneration of banks within the Law of the Republic of Kazakhstan "About modification and amendments to some legal acts of the Republic of Kazakhstan concerning stability of financial system" for use in work.

Appendix on 2 sheets.

Vice-chairman Baysynov M. B.

Explanations of the Agency about rates of remuneration of banks within the Law of the Republic of Kazakhstan "About modification and amendments in some legal acts of the Republic of Kazakhstan concerning stability of financial system"

Article 39 of the Law of the Republic of Kazakhstan "About banks and banking activity in the Republic of Kazakhstan" (further - the Law on banks)

Rates and rates

1. Rates of remuneration and the commission, and also rates for rendering banking services are established by the banks, the organizations performing separate types of banking activities, independently.

1-1. In the agreements of bank loan signed with physical persons including agreements of mortgage loans, the banks of the second level, the organizations performing separate types of banking activities establish the fixed or floating rate of remuneration.

It is provided in part one of this Item that in the loan agreements signed with physical persons, including individual entrepreneurs (further - physical persons), the rate of remuneration of two types can be provided: fixed or floating.

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