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

Decree of the President of the Republic of Kazakhstan dated June 26, 2019 No. 34.

 In order to provide timely assistance to reduce the debt burden on citizens of the Republic of Kazakhstan who find themselves in a difficult life situation, I HEREBY DECREE:

     1. The Government of the Republic of Kazakhstan should take measures on a one-time basis to repay unsecured consumer loans in second-tier banks and microfinance organizations on the following terms:

     1) debtors on these loans are large families, families receiving survivor's benefits, families with disabled children who have been disabled since childhood over the age of 18, recipients of state targeted social assistance; orphans, children left without parental care, under the age of twenty-nine, who lost their parents before adulthood;

     2) the total debt on the loan does not exceed KZT 3,000,000 (three million) as of June 1, 2019;

     3) the amount of debt to be repaid, consisting of the principal debt and accrued remuneration, as of June 1, 2019, does not exceed 300,000 (three hundred thousand) tenge per borrower.

     2. To the Government of the Republic of Kazakhstan, the National Bank of the Republic of Kazakhstan:

     1) take measures to write off accrued fines and penalties to citizens of the Republic of Kazakhstan who have unsecured consumer loans from banks and microfinance organizations as of July 1, 2019;

     2) jointly with the akims of the cities of Nur-Sultan, Almaty, Shymkent and the regions, take other measures to implement this Decree.

     3. The National Bank of the Republic of Kazakhstan should adopt a set of regulatory measures to strengthen the responsibility of financial institutions, including:

     1) prohibition of the accrual of penalties, commissions and other payments related to the issuance and servicing of loans for all unsecured consumer loans of individuals with overdue debts of more than 90 days;

     2) a ban on providing loans to citizens with incomes below the subsistence level;

     3) additional regulatory measures for unsecured consumer loans.

     4. Control over the implementation of this Decree is entrusted to the Administration of the President of the Republic of Kazakhstan.

     5. This Decree shall enter into force from the date of signing.

President    

Republic of Kazakhstan     

 Constitution Law Code Standard Decree Order Decision Resolution Lawyer Almaty Lawyer Legal service Legal advice Civil Criminal Administrative cases Disputes Defense Arbitration Law Company Kazakhstan Law Firm Court Cases