The Problem Loans Fund JSC was established in 2012 to assist banks in the process of clearing the balance sheet of non-performing loans in order to fulfill the strategic objective of improving the quality of the loan portfolio in the banking system. From 2012 to 2017, the Fund was managed by the National Bank of the Republic of Kazakhstan. In 2017, the Fund was transferred to the management of the Ministry of Finance of the Republic of Kazakhstan. The sole shareholder of the Fund is the Government of the Republic of Kazakhstan.
Mission of the Found
Contributing to the recovery of the national economy through:
Contributing to the recovery of the national economy through improving the quality of loan portfolios of second-tier banks through the purchase of non-performing assets;
Involving non-performing assets in the economic turnover through their rehabilitation and sale.
By 2027, we are a professional management company and a national center of excellence in cleaning up loan portfolios of financial institutions, asset restructuring and stress portfolio management. The Fund is guided by the Principles that ensure the transparency of the decision-making process and the return of allocated funds. The activities of the Fund are the rehabilitation of the banking sector and the involvement of redeemed non-performing loans into the economic circulation. The Fund’s strategy in the field of asset management is aimed at the prompt and targeted return of assets to economic circulation while maintaining a constant and systematic cash flow from the sale of assets. The first strategic direction of the Fund’s activities is the rehabilitation of the banking sector in ensuring the stable functioning of the financial system by developing and using effective measures to clear the balance sheets of second-tier banks from non-performing loans. The second strategic direction of the Fund’s activities is to involve redeemed non-performing loans in the economic turnover by rehabilitating redeemed assets (restructuring, attracting investors, pre-trial / judicial implementation, bankruptcy), implementation of development projects, as well as the sale of property of the Fund and subsidiaries.
Membership in international organizations
The Problem Loan Fund is a member of the International Public Asset Management Company Forum (IPAF). IPAF is an international platform for the exchange of successful strategies and knowledge, as well as cooperation. IPAF was organized by 7 (seven) Asian state-owned asset management companies:
China Asset Management Company (AMC) Cinda Co., Ltd. (PRC)
China AMC Great Wall (PRC)
China AMC Huarong Co., Ltd. (PRC)
Korea Asset Management Corporation (KAMCO)
Thailand Asset Management Company Sukhumvit Co., Ltd.
Vietnam Debt and Asset Trading Company (DATC)
Problem Loan Fund (Kazakhstan)
IPAF began operations in 2013 and has 13 active members including the Fund. During the period of work, IPAF has held 4 summits and 6 training seminars.
Memorandum of Understanding with KAMCO
In 2018, a Memorandum of Understanding was signed between the Fund and the Korea Asset Management Corporation (KAMCO). KAMCO was established in 1962 as a subordinate entity of the Development Bank of Korea to manage its distressed assets. Subsequently, KAMCO was reorganized and was empowered to repurchase and rehabilitate non-performing loans of financial institutions.