On measures to reduce the debt burden of citizens of the Republic of Kazakhstan.

20 October 2020

In order to provide support in reducing the debt burden of citizens of the country, the decree was signed by the President of the Republic of Kazakhstan of June 26, 2019 No. 34 "On measures to reduce the debt burden of citizens of the Republic of Kazakhstan."

The Fund, acting as a financial operator, implemented this program within the framework of the mechanism approved by the National Bank of the Republic of Kazakhstan in two main areas.

As part of the first direction, the Fund, in order to reduce the debt burden of citizens who find themselves in a difficult life situation, directed to the accounts of second-tier banks and microfinance organizations to repay the debt in the total amount of 120.5 billion tenge on 716,519 unsecured consumer loans.

Debt repayment was carried out for categories of citizens, such as large families; families receiving survivor benefits; families with disabled children, disabled from childhood over 18 years old, etc.

Also, in order to implement the Decree, a mechanism was approved for repaying the country's citizens who have unsecured consumer loans in STBs and MFOs, the criteria of which are listed above, of the accrued (due) forfeit (fines and penalties) as of July 1, 2019.

As part of this area, STBs and MFOs, by July 30, 2019, have forgiven the debt for the accrued (due) forfeit (fines and penalties) in the total amount of 33.6 billion tenge for 1.4 million loans to all categories of citizens of the country.

The Fund reimbursed 30 (thirty) percent of the debt forgiven to citizens of the country for forfeit (fines and penalties) and transferred the amount of reimbursement to the accounts of STBs and MFOs in the amount of 10.1 billion tenge.

In general, thanks to the implementation of the Decree of the President of the Republic of Kazakhstan, the average debt burden of Kazakhstanis has been significantly reduced, the debt of a number of citizens, taking into account the total size of their loans, has been fully repaid.