RESOLUTION OF BOARD OF NATIONAL BANK OF THE REPUBLIC OF KAZAKHSTAN

of December 24, 2012 No. 385

About establishment of the minimum rating for legal entities and the countries which need of availability is required according to the legislation of the Republic of Kazakhstan regulating activities of the financial organizations, branches of nonresident banks of the Republic of Kazakhstan, branches of the insurance (reinsurance) nonresident organizations of the Republic of Kazakhstan, the list of the rating agencies assigning this score

For the purpose of realization of Items 3 and 13 of Article 8, subitems 4) and 6) Item 2 of Article 8-1, of Item 14 of Article 11-1, of the subitem 8) Item 2 of Article 13-1, of Item 5 of Article 17, Items 1 and 6-1 of Article 17-1, of Item 1 of Article 18, Item 15 of Article 20, Item 12 of Article 30, Item 9 of Article 40, Item 5 of Article 44, Item 7 of Article 45, Item 3 of Article 52-12 and Item 7 of article 60 of the Law of the Republic of Kazakhstan "About banks and banking activity in the Republic of Kazakhstan" (further - the Law on banks), Item 6 of Article 15-1, of item 4 of Article 21, Item 1 of Article 26, the subitem 8) Item 2 of Article 30-1, of Item 14 of Article 32, Item 15 of Article 34, Item 6 of Article 44, Items 3, the 9 and 10 Articles 48, Item 9 of article 62 of the Law of the Republic of Kazakhstan "About insurance activity", Item 2 of Article 47, of Item 1 of article 72-1 of the Law of the Republic of Kazakhstan "About the security market" the Board of National Bank of the Republic of Kazakhstan DECIDES:

1. Establish the minimum long-term credit rating on the international scale in foreign currency not below "VVV" of Standard & Poors rating agency or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution for the following legal entities - nonresidents of the Republic of Kazakhstan:

the legal entities or their parent organizations acquiring (having) the status of bank holding;

the legal entities acquiring (having) the status of insurance holding;

the legal entities or their parent organizations acquiring (having) the status of the large member of bank;

the legal entities acquiring (having) status of the large member of the insurance (reinsurance) organization, the managing director of investment portfolio with the right of attraction of voluntary pension contributions;

the banks creating (having) subsidiary banks in the Republic of Kazakhstan;

the insurance (reinsurance) organizations having the affiliated insurance (reinsurance) organizations in the Republic of Kazakhstan;

the nonresident banks of the Republic of Kazakhstan opening the branches in the territory of the Republic of Kazakhstan;

the insurance (reinsurance) nonresident organizations of the Republic of Kazakhstan opening the branches in the territory of the Republic of Kazakhstan.

Establish the minimum long-term credit rating on the international scale in foreign currency not below "In -" Standard & Poors rating agency or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution for the following legal entities - nonresidents of the Republic of Kazakhstan:

acquiring (having) status of the large member of the managing director of investment portfolio without right of attraction voluntary pension contributions;

having the affiliated organizations performing professional activity in the security market.

For the purposes of the subitem 4) of Item 2 of article 8-1 of the Law on banks to establish the following minimum long-term sovereign rating:

in foreign currency of foreign state - not below the minimum long-term rating on the international scale in foreign currency of "VVV" of Standard & Poors rating agency or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution.

For the purposes of the subitem 6) of Item 2 of article 8-1 of the Law on banks to establish the following minimum individual credit rating on the international scale:

in foreign currency of the organization - not below the minimum long-term rating on the international scale in foreign currency of "VVV" of Standard & Poors rating agency or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution.

1-1. Establish for the purposes of subitems 1) and 2) of Item 12 of article 30 of the Law on banks the minimum long-term sovereign rating in foreign currency not below "VVV-" (on classification of Standard & Poor rating agencies "s and (or) Fitch) or Vaaz (on classification of Moody rating agency" is not lower than s Investors Service).

1-2. No. 85 is excluded according to the Resolution of Board of the Agency of the Republic of Kazakhstan on regulation and development of the financial market of 21.09.2020

2. Requirements of part one of Item 1 of this resolution do not extend on:

1) legal entities - the nonresidents of the Republic of Kazakhstan corresponding to all following conditions:

availability at the legal entity of the minimum long-term credit rating on the international scale in foreign currency not below "VV-" of Standard & Poors rating agency (Standard энд Purs) or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution;

is resident of the foreign state having the minimum sovereign rating in foreign currency not below "VV-" of Standard & Poors rating agency (Standard энд Purs) or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution;

the agreement between authorized body on regulation, control and supervision of the financial market and the financial organizations and authorized body on regulation of activities of the banks managing investment portfolio, the insurance (reinsurance) organizations of foreign state which resident is the legal entity providing exchange of information is signed.

In case of response the rating agency of credit rating in connection with the termination at the initiative of rating agency of rendering rating services to the legal entity specified in this subitem allows use within the next 12 (twelve) months of level of the credit score assigned before this response;

2) bank holdings - the nonresidents of the Republic of Kazakhstan who received the corresponding status till January 1, 2013 and corresponding for the specified date to all following conditions:

availability at bank holding of long-term credit rating on national scale in foreign currency not below "AAA" of Japan Credit Rating Agency rating agency (Dzhapan Credit Reyting Eydzhensi) (further - JCR) or the rating agency which is the affiliate of JCR;

is resident of the foreign state having sovereign rating in foreign currency below "VV-" of Standard & Poors rating agency (Standard энд Purs) or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution;

the agreement between authorized body on regulation, control and supervision of the financial market and the financial organizations of the Republic of Kazakhstan and authorized body on regulation of activities of banks of foreign state which resident is the bank holding, providing exchange of information is signed;

3) legal entities - the nonresidents of the Republic of Kazakhstan acquiring (having) the status of bank holding of bank through shareholding of the financial organization - the resident of the Republic of Kazakhstan having the status of bank holding of the specified bank, and corresponding to all following conditions:

the legal entity - the nonresident of the Republic of Kazakhstan has long-term credit rating on the international scale in foreign currency not below "In -" Standard & Poors rating agency (Standard энд Purs) or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution;

the legal entity - the nonresident of the Republic of Kazakhstan is resident of the foreign state having the minimum sovereign rating in foreign currency is not lower "And" Standard & Poors rating agency (Standard энд than Purs) or scores of similar level assigned to one of the rating agencies specified in Item 3 of this resolution;

shares of the legal entity - the nonresident of the Republic of Kazakhstan are in free circulation on the international stock exchange specified in the List of organizers of the biddings recognized by the international stock exchanges according to appendix 8 to the Normative values and techniques of calculations of prudential standard rates and other regulations and limits, obligatory to observance, to the size of the capital of bank established by the resolution of Board of National Bank of the Republic of Kazakhstan of September 13, 2017 No. 170 (it is registered in the Register of state registration of regulatory legal acts at No. 15886) (further - Standard rates);

the size of equity of the legal entity - the nonresident of the Republic of Kazakhstan exceeds the amount in equivalent of 200 000 000 (two hundred million) dollars of the United States of America;

the equity profit ratio calculated as the relation of net income to equity of the legal entity - the nonresident of the Republic of Kazakhstan makes at least 3 (three) percent;

the coefficient of urgent liquidity of the legal entity - the nonresident of the Republic of Kazakhstan, calculated as the relation of highly liquid assets with remaining period before repayment up to 3 (three) months inclusive, to the size of urgent obligations with remaining period before repayment up to 3 (three) months inclusive, makes at least 0,8 (zero whole eight tenth);

the coefficient of sufficiency of equity of the legal entity - the nonresident of the Republic of Kazakhstan, calculated as the equity relation to the amount of assets, makes at least 8 (eight) percent;

audit of the legal entity - the nonresident of the Republic of Kazakhstan is carried out by one of the following international auditing organizations:

Deloitte (Deloitte);

Ernst & Young (Ernst & Young);

KPMG (Kipiemdzhi);

PricewaterhouseCoopers (ПрайсуотерхаусКуперс).

For the purposes of the paragraph of the seventh subitem 3) of this Item highly liquid assets are understood as the assets listed in Item 65 of Standard rates.

The values specified in paragraphs five, the sixth, seventh and eighth the subitem 3) of this Item are calculated following the results of the last complete financial year on the basis of the audited consolidated financial statements of the legal entity - the nonresident of the Republic of Kazakhstan.

2-1. For the purposes of Item 3 of article 52-12 of the Law on banks score is assigned to one of the rating agencies specified in Item 3 of this resolution.

3. Establish the following list of rating agencies:

Standard & Poors;

Moody "s Investors Service;

Fitch.

4. The comparative table of correspondences of ratings of the rating agencies specified in Item 3 of this resolution is established by appendix 1 to this resolution.

5. Recognize invalid regulatory legal acts of the Republic of Kazakhstan according to appendix 2 to this resolution.

6. This resolution becomes effective since February 4, 2012 and is subject to official publication.

Appendix 1

to the Resolution of Board of National Bank of the Republic of Kazakhstan of December 24, 2012 No. 385

Comparative league table No. Standard & Poors Moody "s Investors Service Fitch

№	Standard & Poors	Moody "s Investors Service	Fitch
1.	AAA	Aaa	AAA
2.	AA +	Aa1	AA +
3.	AA	Aa2	AA
4.	AA-	Aa3	AA-
5.	And +	A1	And +
6.	And	A2	And
7.	And -	A3	And -
8.	BBB +	Baa1	BBB +
9.	BBB	Vaa2	BBB
10.	VVV-	Vaa3	VVV-
11.	BB +	Ba1	BB +
12.	BB	Va2	BB
13.	VV-	Va3	VV-
14.	In +	B1	In +
15.	In	B2	In
16.	In -	B3	In -

Appendix 2

to the Resolution of Board of National Bank of the Republic of Kazakhstan of December 24, 2012 No. 385

The list of the regulatory legal acts of the Republic of Kazakhstan recognized invalid

1. The resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of October 25, 2004 No. 304 "About modification of some regulatory legal acts of the Republic of Kazakhstan concerning regulation and supervision of the financial market and the financial organizations" (registered in the Register of state registration of regulatory legal acts of the Republic of Kazakhstan on December 1, 2004 at No. 3236);

2. The subitem 2) Item 1 of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of the Republic of Kazakhstan of January 9, 2006 No. 20 "About modification and recognition voided some regulatory legal acts of the Republic of Kazakhstan" (registered in the Register of state registration of regulatory legal acts at No. 4068, published on February 17, 2006 in the Yuridicheskaya Gazeta newspaper No. 28-29 (1008-1009);

3. The resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of February 25, 2006 No. 55 "About establishment of the minimum rating for legal entities which need of availability is required according to the legislation of the Republic of Kazakhstan regulating activities of the financial organizations, the list of the rating agencies assigning this score, and also on modification of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial organizations of October 25, 2004 to No. 304" (registered in the Register of state registration of regulatory legal acts at No. 4139);

4. The resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of August 12, 2006 No. 159 "About modification and amendments in the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of February 25, 2006 No. 55 "About establishment of the minimum rating for legal entities - nonresidents of the Republic of Kazakhstan which need of availability is required according to the legislation of the Republic of Kazakhstan regulating activities of the financial organizations, the list of the rating agencies assigning this score and also about modification of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial organizations of October 25, 2004 No. 304" (registered in the Register of state registration of regulatory legal acts at No. 4400, published on October 24, 2006 in the Yuridicheskaya Gazeta newspaper No. 187 (1167);

5. The resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of June 25, 2007 No. 186 "About introduction of amendments and changes in the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of February 25, 2006 No. 55 "About establishment of the minimum rating for legal nonresident persons of the Republic of Kazakhstan which need of availability is required according to the legislation of the Republic of Kazakhstan regulating activities of the financial organizations, the list of the rating agencies assigning this score, and also on modification of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial organizations of October 25, 2004 to No. 304" (registered in the Register of state registration of regulatory legal acts at No. 4818);

6. The resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of November 30, 2007 No. 255 "About entering of amendments and changes into the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of February 25, 2006 No. 55 "About establishment of the minimum rating for legal nonresident persons of the Republic of Kazakhstan which need of availability is required according to the legislation of the Republic of Kazakhstan regulating activities of the financial organizations, the list of the rating agencies assigning this score, and also on modification of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of October 25, 2004 to No. 304" (registered in the Register of state registration of regulatory legal acts at No. 5066);

7. The resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of October 29, 2008 No. 163 "About modification and amendments in the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of February 25, 2006 No. 55 "About establishment of the minimum rating for legal nonresident persons of the Republic of Kazakhstan which need of availability is required according to the legislation of the Republic of Kazakhstan regulating activities of the financial organizations, the list of the rating agencies assigning this score, and also on modification of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of October 25, 2004 to No. 304" (registered in the Register of state registration of regulatory legal acts at No. 5390);

8. The resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of November 30, 2009 No. 248 "About modification and amendments in the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of February 25, 2006 No. 55 "About establishment of the minimum rating for legal nonresident persons of the Republic of Kazakhstan which need of availability is required according to the legislation of the Republic of Kazakhstan regulating activities of the financial organizations, the list of the rating agencies assigning this score, and also on modification of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial organizations of October 25, 2004 to No. 304" (registered in the Register of state registration of regulatory legal acts at No. 6004);

9. The resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of September 3, 2010 No. 129 "About modification of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of February 25, 2006 No. 55 "About establishment of the minimum rating for legal entities which need of availability is required according to the legislation of the Republic of Kazakhstan regulating activities of the financial organizations, the list of the rating agencies assigning this score, and also on modification of the resolution of Board of the Agency of the Republic of Kazakhstan on regulation and supervision of the financial market and the financial organizations of October 25, 2004 to No. 304" (registered in the Register of state registration of regulatory legal acts at No. 6544).

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