[1] Kazakh banks were among the earliest victims of the global financial crisis as they had accumulated $132 billion of foreign debt in the few years of heavy borrowing to fuel dynamic growth. [2] As the crisis unfolded over three years, Kazakh banks grew at a phenomenal rate - virtually doubling their assets and liabilities every year - before being halted in August 2008. [3] The partial recovery of oil prices in the second quarter of 2009 provided the first chink of light at the end of what had already been a nearly two-year tunnel.

1. BANKING AND FINANCE
Kazakh banks, earliest victims of the global financial
meltdown, painfully re-adjust. Anthony Robinson reports
7Vc`^c
dkZgk^Zl
@6O6@=76C@H688JBJA6I:9)*W^aa^dcd[[dgZ^c cVi^dcVa^hVi^dcd[hdbZWVc`hVcYhiViZÒcVcXZY
YZWi^cV[ZlnZVghd[]ZVknWdggdl^cid[jZai]Z^g gZXVe^iVa^hVi^dcd[di]Zgh^hVh]dgiidbZY^jbiZgb
YncVb^Xgdli]#6hVgZhjaii]ZnWZXVbZi]ZÒghi ZbZgZcXndeZgVi^dcidXdeZl^i]i]ZZ[[ZXihd[V
k^Xi^bhd[i]ZadWVaÒcVcX^VaXg^h^hheVg`ZYd[[ adWVaXg^h^hÄVcYcdiVcViiZbeieZgbVcZcianid
Wni]ZJHhjWeg^bZXg^h^h^c?jan'%%,#CZVganild ZmeVcYi]ZhiViZÉhgdaZ^cÒcVcX^VabVg`Zih#
nZVghaViZg!i]ZXg^h^h^hhi^aaWZ^cldg`ZYi]gdj]# ci]Zi]gZZnZVghaZVY^cjeidi]ZXg^h^h!@VoV`]
7I6!i]ZXdjcignÉhaVgZhiWVc`!]VhWZZck^gijVaan WVc`hgZlViVe]ZcdbZcVagViZÄk^gijVaanYdjWa^c
cVi^dcVa^hZY0Vcdi]Zgildd[i]ZÈW^h^mWVc`hÉ i]Z^gVhhZihVcYa^VW^a^i^ZhZkZgnnZVgÄWZ[dgZWZ^c
]VkZWZZceVgi^VaangZXVe^iVa^hZYl^i]hiViZbdcZn! ]VaiZY^ci]Z^gigVX`h^c6jjhi'%%,#6hi]Zn
l]^aZild]VkZWZZc]ZaeZYdjiWni]Z^gcZl higjaZYidgZXVaaadVchdggZÒcVcXZVi]^]ZggViZh!
[dgZ^cWVc`dlcZgh0VcYi]Zh^mi]!6aa^VcXZ7Vc`! i]ZZchj^cXgZY^ihfjZZoZi]gdiiaZYi]ZXdchigjXi^dc
^hhi^aahigja^cidÒcYV[jijgZZ^i]Zgi]gdj] ^cYjhignVcYaZcY^c[dgXdchjbZgddYhVcY
cVi^dcVa^hVi^dcdgV[dgZ^ciV`ZdkZg# bdgiVZh!VcYcdceZg[dgb^cadVch!gdhZ#
7I6!i]ZaVgZhiegZXg^h^hWVc`!]VhWZZck^gijVaan I]ZXgZVi^dcd[VlZaagZjaViZYYdbZhi^XWVc`^c
cVi^dcVa^hZY!VcYHVbgj`!^ihZ[[ZXi^kZcZldlcZg hnhiZb!idZi]Zgl^i]eZch^dc[jcYh!VhidX`bVg`Zi
V[iZgV#,W^aa^dceVgi^VagZXVe^iVa^hVi^dc^c;ZWgjVgn! VcYVdkZgcbZcigjcCVi^dcVa;jcYidVWhdgWVcY
^hhZZ`^cWdi]idgZhX]ZYjaZ^ihW^aa^dc[dgZ^c XdchZgkVi^kZan^ckZhiÈhjgeajhÉd^abdcZn[dgVgV^cn
YZWiVcYViigVXiVcZl[dgZ^cdlcZg#Gjhh^VÉh YVn!lVhdcZd[i]ZW^ZhihjXXZhhZhd[i]ZÒghinZVgh
HWZgWVc`^hdcZ^ciZgZhiZYeVgin!Wjidi]ZghbVn d[^cYZeZcYZcXZ#ilVhi]ZgZ[dgZgZVhhjg^cl]Zc
XdbZ[dglVgY#I]Z[jijgZd[6aa^VcXZ7Vc`!i]Z[djgi] g^dg^BVgX]Zc`d!dcZd[i]ZbV^cVgX]^iZXihd[
aVgZhi!lVhhi^aa^cYdjWiVii^bZd[lg^i^c!Wji WVc`^cgZ[dgbVcYegdWVWani]ZXdjcignÉhbdhi
8ZcigVa7Vc`egZh^YZcig^dg^BVgX]Zc`d]^ciZYi]Vi ZmeZg^ZcXZYWVc`Zg!lVhgZXVaaZYWnEgZh^YZci
^iXdjaYWZVaadlZYid[V^a^[XgZY^idghXVccdiVgZZV CVoVgWVnZk^c?VcjVgnid]ZVYi]ZCVi^dcVa7Vc`!
YZWigZhigjXijg^cYZVaVXXZeiVWaZidHVbgj`$@VoncV! Vhi]Zl^YZgZXdcdbngZZaZY[gdbi]ZXdaaVehZd[
i]ZhiViZ]daY^cXdbeVcnX]VgZYl^i]gZXVe^iVa^h^c XdbbdY^ineg^XZh!l]^X][daadlZYi]ZYZb^hZd[
VcYgZhigjXijg^ci]ZWVc`^chnhiZb# AZ]bVc7gdi]Zgh#
=Van`7Vc`VcY@Vo`dbbZgio7Vc`@@7!i]Z GZXdgY]^]XdbbdY^ineg^XZhXjh]^dcZYi]Z
hjgk^k^cYjdd[i]Z[dgbZgÈW^i]gZZÉaZVY^c ^beVXid[i]ZÒghihiVZd[i]Z@VoV`]WVc`^cXg^h^h
@VoV`]dlcZYWVc`h!XZYZY'*eZgXZcid[i]Z^g VcYbVYZ^iedhh^WaZ[dgWVc`hidgZeVnVaai]Z^g
h]VgZhidHVbgj`^cgZijgc[dgXVe^iVa^c_ZXi^dch bVijg^cadVchdkZgi]ZÒghi*bdci]hdghdd[i]Z
^c;ZWgjVgn!l]Zci]ZhiViZ^ciZgkZcZYidgZhidgZ Xg^h^h#7jii]ZXdaaVehZ^ci]ZkVajZd[i]ZXdjcignÉh
XdcÒYZcXZ^ci]ZWViiZgZYÒcVcX^VahnhiZb#I]Zn bV^cZmedgihjh]ZgZY^cVcZlVcYbdgZVXjiZe]VhZ
ZmeZXiidgZijgcid[jaaeg^kViZdlcZgh]^el^i]^ci]Z d[i]ZXg^h^h#I]ZeVgi^VagZXdkZgnd[d^a!XdeeZgVcY
cZmi[ZlnZVgh#I]ZdkZgcbZci^ch^hihi]ViYZ[VXid di]Zg`ZnXdbbdY^ineg^XZh^ci]ZhZXdcYfjVgiZgd[
'%%.egdk^YZYi]ZÒghiX]^c`d[a^]iVii]ZZcYd[
l]Vi]VhVagZVYnWZZcVcZVganildnZVgijccZa#
BVgX]Zc`d!VcVXZgW^X[gZZi]^c`Zgl^i]ZmeZg^ZcXZ
d[Wdi]^ciZgcVi^dcVaÒcVcX^Va^chi^iji^dchhjX]
GZXdgY]^]XdbbdY^in Vhi]ZLdgaY7Vc`VcYi]Zeg^kViZhZXidg!l]ZgZ
]Zldg`ZYVi9ZjihX]Z7Vc`!bVhiZgb^cYZY
eg^XZhXjh]^dcZYi]Z @VoV`]hiVcÉhhjXXZhh[jacVk^Vi^dcd[i]Zedhi..-
Gjhh^VcgdjWaZXg^h^hl]Zc]ZlVhaVhiegZh^YZcid[
^beVXid[i]ZÒghihiVZd[ i]Z8ZcigVa7Vc`#
;dg[djgnZVghWZ[dgZ]^hgZVeed^cibZci!
i]Z@VoV`]WVc`^cXg^h^h BVgX]Zc`dgVc=Van`7Vc`!i]Zeg^kVi^hZY[dgbZg
hiViZhVk^chWVc`#c'%%+=Van`gV^hZY,)-b^aa^dc
CK:HIC@6O6@=HI6C

2. BANKING AND FINANCE
CK:HIC@6O6@=HI6C

3. BANKING AND FINANCE
Ministry of [gdbVAdcYdcED^c'%%+!l]^X]Wgdj]i^c[dgZ^c l]deV^YideYdaaVgWZ[dgZi]ZXg^h^hWgd`Z!iVanÉh
Finance of the ^chi^iji^dcVa^ckZhidghl]^aZgZiV^c^cXdcigdaWn Jc^XgZY^ideV^Y'#(W^aa^dc[dg6I;7Vc`VcYHdji]
Republic of
Kazakhstan i]ZWVc`ÉhlZaaXdccZXiZYbV^ch]VgZ]daYZgh!I^bjg @dgZVÉh@dd`b^c7Vc`eV^YW^aa^dc[dgVbV_dg^in
@ja^WVnZkVcY]^hl^[Z# hiV`Z^c7Vc`8ZcigZ8gZY^i788V[Zlbdci]hWZ[dgZ
L]^aZ=Van`ÉhbV^cXdbeZi^idghÄ@@7!l]^X] i]ZXg^h^hWgd`Z#6ckVgHV^YZcdk!CVi^dcVa7Vc`
]VYh^b^aVgangV^hZY-)*b^aa^dc[gdbVcED^c egZh^YZciVii]Zi^bZ!lVhYZa^]iZYidlZaXdbZi]Z
'%%+!VcY7I6ÄdeiZY[dg[dgZ^c[jcYZYgdli]Vi YZZeedX`ZiZYcZlXdbZgh!cdi^ci]ViÆ@dd`b^c
WgZV`cZX`heZZY!BVgX]Zc`dgVcVbdgZXdchZgkVi^kZ VadcZ]VYbdgZVhhZihi]Vci]ZZci^gZ@VoV`]
h]^e#=ZgZeZViZYanlVgcZYd[i]ZYVcZghd[gZX`aZhh WVc`^chnhiZbejiidZi]Zg#Ç
Wdggdl^c#=ZlVgcZYi]Vi=Van`Éhdlc^ciZgcVa H^c^ÒXVciani]ZdcanÈidei]gZZÉWVc`cdigZVYnid
gZhZVgX]^cY^XViZYi]Vii]ZWVc`^chZXidg]VY aVjcX]VcEDi]gZZnZVghVdlVh7I67Vc`!l]^X]
WZXdbZÆVcVXX^YZcilV^i^cid]VeeZcÇbdci]h ]VhWZZci]ZbV^cXVhjVaind[i]ZWVc`^cXg^h^h!
WZ[dgZi]ZXg^h^hZgjeiZY# idZi]Zgl^i]i]ZbjX]hbVaaZg6aa^VcXZ7Vc`#I]Z
Idj] I]dhZWVc`hl^i][dgZ^cZfj^in[gdbEDhVcY$dg
[dgZ^ch]VgZ]daYZgh]VkZ[VgZYWZhi^ci]ZXjggZci
aViiZgÉh]ZVYadcaZVe^cidXdchjbZgVcYbdgiVZ
ÒcVcXZbVYZ^ikjacZgVWaZVcY^ilVhjcVWaZidadX`
gZhX]ZYja^c Xg^h^h#7jil]Zc[dgZ^caZcY^cYg^ZYjeVcY
XdbbdY^ineg^XZhXdaaVehZY^c'%%,-!adWVa^hVi^dc
^cV[dgZ^cWjnZg^ci^bZ#
ci]Zbdci]haZVY^cjeidi]Z'%%,Xg^h^h!
cZdi^Vi^dch WZXVbZVYdjWaZZYZYlZVedcVh@VoV`]hiVcdi
ajbeZYidZi]Zg^cY^hXg^b^cViZanl^i]bjX]aZhh
YdoZchd[[dgZ^cWVc`hlZgZadd`^c[dg@VoV`]
VXfj^h^i^dch!Vai]dj]bVcnd[i]Zb!hjX]Vh
a^ZV]ZVY lZaaZcYdlZYVcYlZaagjcZXdcdb^Zh#;dgijcViZan 6jhig^VÉhGV^[[Z^hZc!lZgZYZiZggZYWni]Z]^]
[dg@VoV`]hiVc!WjiaZhhhd[dgi]Z[dgZ^cWVc`h bjai^eaZhYZbVcYZY#Cdli]ZWddi^hdci]Zdi]Zg
CK:HIC@6O6@=HI6C

4. BANKING AND FINANCE
YZkVajVi^dc[gdbVgdjcYiZcZ'%idi]ZJHYdaaVg!
idV(eZgXZcibVg^cVgdjcYVcZliZcZ*%XZcigVa
gViZ#9ZkVajVi^dcVYYZYidi]Z[dgZ^cXjggZcXn
gZeVnbZciWjgYZcd[VaaWVc`hÄWjiZheZX^Vaanid7I6!
i]ZW^ZhiWdggdlZgd[Vaa!l^i]dkZgW^aa^dc^c
[dgZ^ca^VW^a^i^Zh#cBVgX]!7I6ÉhcZlX]V^gbVc!6ckVg
HV^YZcdk!VccdjcXZYi]ViJ7HVcYdaYbVcHVX]h]VY
WZZcVeed^ciZYVhÒcVcX^VaVYk^hZghid]Zaei]ZWVc`
gZhX]ZYjaZ^ihYZWihVcYÒcYVcZldlcZg#
Idj]gZhX]ZYja^ccZdi^Vi^dcha^ZV]ZVY[dg@VoV`]
WVc`h#7jiBVgX]Zc`didaYi]Z:jgVh^VBZY^V;dgjb
^c6abVin^c6eg^ai]Vi@VoV`]hiVcÉh[dgZ^cYZWi]VY
VagZVYnWZZcgZYjXZY[gdb*+W^aa^dc!dgVgdjcY*%
eZgXZcid[9E!^chjbbZg'%%,id(*W^aa^dcWn
i]ZWZ^cc^cd[6eg^a'%%.#ÆI]ZWVc`hl^aahi^aaWZ
hZgk^X^ci]Z^gYZWihV[iZgi]ZhZXdcYfjVgiZgVcYWn
?jcZ^il^aaWZXaZVgi]Vii]Z[dgZ^cWdggdl^ch^hhjZ
l^aaWZgZhdakZY!Ç]ZVYYZY#
6aZVcZg!l^hZgVcYiZbedgVg^anhbVaaZgVcYbdgZ
adXVaan[dXjhZYWVc`^chnhiZb^hZbZg^c#I]Z
dkZgcbZcilVcihWVc`hidXdcXZcigViZbdgZdc
ÒcVcX^chbVaaVcYbZY^jbZciZgeg^hZhHB:hVcY
^chi^iji^dcha^`Zi]Z:7G9VcYi]Z6h^Vc9ZkZadebZci
6aZVcZg!l^hZgVcY 7Vc`VgZhjeedgi^ci]^h#I]Z:7G9![dgZmVbeaZ!
gZXZcianegdk^YZYildadVchidiVaa^c%%b^aa^dcid
iZbedgVg^anhbVaaZg hjeedgiHB:aZcY^cWn6I;7Vc`#iheVgZciWVc`!
Jc^XgZY^i!VahdhiZeeZY^cidh]djaYZggZeVnbZcid[
VcYbdgZadXVaan[dXjhZY *%%b^aa^dcldgi]d[6I;ÉhbVijg^c[dgZ^cadVch#
cXgZVh^can!@VoV`]hiVc^hadd`^cidi]ZB^YYaZ
WVc`^chnhiZb^hZbZg^c :VhiVcY6h^V[dgÒcVcXZ!igVYZVcYWVc`^ca^c`h#
EgZh^YZciCVoVgWVnZkh^cZYV%W^aa^dcd^aVcY
^c[gVhigjXijgZ^ckZhibZciVcYÒcVcX^cYZVal^i]
8]^cVYjg^c]^hhiViZk^h^i^c6eg^a![dgZmVbeaZ!
VcYVbdci]aViZgVbV_dgHdji]@dgZVcYZaZVi^dc
XVbZid@VoV`]hiVcidh^cÒcVcXZVcY^ckZhibZci
[ddi!Vh7I6heZVg]ZVYhi]ZhZVgX][dgcZl[dgZ^c Xdbb^ibZcihidiVaa^c*W^aa^dc#
^ckZhidghVcYhbVaaZgWVc`hhZZ`Z^i]Zg[dgZ^ceVgicZgh BZVcl]^aZ!i]Zg^hZ^cd^aeg^XZhVWdkZ+%VWVggZa
dgbZgZghVhi]ZdkZgcbZcigV^hZhb^c^bVaXVe^iVa VcYVa^[i^cXdbbdY^ineg^XZhZcZgVaan^c6eg^a$BVn
VcYdi]ZggZfj^gZbZcih# ]ZaeZYgZhidgZa^fj^Y^inidhdbZd[i]ZWVc`hÉbV^c
I]ZXgjcX]XVbZ^cZVgan;ZWgjVgni]^hnZVgl]Zc XjhidbZghVcYi]ZWVc`^chnhiZb^ihZa[#i]VhWZZcV
BVgX]Zc`d!l]d]VYeg^kViZanVYkdXViZYYZkVaj^c ]ZVgihidee^cg^YZh^cXZhjbbZg'%%,ÄWji!VhbVg`Zih
i]Z@VoV`]iZcZ^ci]ZVjijbcd['%%-^ca^cZ gVYjVaangZXdkZgVcYcZlhdjgXZhd[ÒcVcXZdeZcje!
l^i]i]ZGjhh^VcgdjWaZ!VccdjcXZYVc-eZgXZci @VoV`]WVc`hh]djaYVahdWZcZÒi#
CK:HIC@6O6@=HI6C