AFSA staff’s capstone project on Digital Asset Service Providers (DASP) has been named one of the best examples in an executive education programme by Cambridge Centre for Alternative Finance and Cambridge Judge Business School. Almas Serikuly, Gauhar Kattabek, Zarina Seidakhmetova, and Zhali Ualiyev participated in the Launch and Celebration of FinTech and Regulatory Innovation (CFTRI) programme, where they welcomed the next cohort of students.

Knowledge gained during the CFTRI programme helped AFSA staff draft the DASP framework which will commence on 1 January 2024. The framework aims to support innovation and fair competition as well as provide investors with significant benefits in terms of cheaper, faster and safer financial services and asset management.

Almas, Gauhar, Zarina, and Zhali have previously won the scholarships by the Asian Development Bank Institute to complete the CFTRI programme, a tutor-led online programme designed for senior policymakers and regulators at central banks, security agencies and ministries of finance.

Chief Executive Officer of AFSA Nurkhat Kushimov: “Achievements like these show that as a regulator AFSA makes a significant contribution to the development of young professionals who receive globally renowned scholarships and re-invest their knowledge in Kazakhstan.”

Dr. Dee Allen, the Head of the Capacity Building and Education Team at Cambridge Centre for Alternative Finance: “We at the Cambridge Centre for Alternative Finance are very proud of the achievements of staff from AFSA on the Cambridge FinTech and Regulatory Innovation programme. Through their capstone project, they have achieved a key objective of the programme which is to deliver a tangible outcome that can catalyse regulatory innovation. Thank you for joining us to welcome the new Cohort 12 participants of the CFTRI programme.”

Reference: 

The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre (AIFC), which is established in accordance with the Constitutional Law of the Republic of Kazakhstan “On the Astana International Financial Centre” for the purposes of regulating financial services and related activities in the AIFC. AFSA administers the AIFC Regulations and Rules and is responsible for the authorisation, registration, recognition and supervision of financial firms and market institutions in the AIFC.

Over 2,100 firms from 79 countries are registered in the AIFC. These firms provide banking, insurance, investment, professional and other services. The range of financial services offered at the AIFC is comparable to the list of services available in long-established financial centers of the world, such as London, Hong Kong, Singapore, Dubai and others. www.afsa.kz

The Astana International Financial Centre (AIFC) is an independent jurisdiction with a favourable legal and regulatory environment and a developed infrastructure for starting and doing business, attracting investment, creating jobs and developing Kazakhstan’s economy. https://aifc.kz/ 

Contact information:

Public Relations and Communications of AFSA:

+7 (717) 264 73 43; +7 7172 61-37-45 email: [email protected]

The International Organization of Securities Commissions (IOSCO) will celebrate its seventh annual World Investor Week (WIW), from 2 to 8 October 2023.

This year, the WIW campaign will focus on three main themes: Investor Resilience, Crypto Assets, and Sustainable Finance, which the IOSCO Board has identified as particularly relevant given current and expected global market conditions. Other themes cover Frauds and Scams Prevention, Basics of Investing, Technology and Digital Finance.

World Investor Week (WIW) is a week-long, global campaign promoted by IOSCO to raise awareness about the importance of investor education and protection and highlight the various initiatives of securities regulators in these two critical areas. In October, IOSCO securities regulators and other IOSCO members on six continents will provide a range of activities, such as launching investor-focused communications and services, promoting contests to increase awareness of investor education initiatives, organising workshops and conferences, and conducting local and national campaigns in their own jurisdictions.

This year IOSCO is going to hold an array of global events, including:

• WIW Global Webinar on Sustainable Finance in the context of Investor Education and Investor Protection. More details can be found here.
• Global Webinar on Investor Resilience. More details can be found via this link.
• World Financial Planning Day. More details are here.
• WIW Global Webinar on Crypto-Assets in the Context of Investor Education and Protection. More details can be found here.
• WIW Global Webinar on challenges for Investor Education and Investor Protection in the context of digitalisation. More details are via this link.

This year AFSA is going to hold a social media campaign to emphasise the importance of developing and maintaining healthy investor habits and behaviour that promote responsibility and accountability.

The Astana Financial Services Authority (AFSA) and the Kyrgyz Republic’s Service for Regulation and Supervision of the Financial Market under the Ministry of Economy and Commerce have signed a Memorandum of Understanding (MoU).

The MoU between the financial markets’ regulators will pave the way for future cross-border transactions in capital markets between AIFC and Kyrgyzstan, including IPOs, listing of securities, access of broker-dealers to stock exchanges of both jurisdictions and Islamic finance instruments. The MoU sets out a statement of intent between the two supervisory authorities to establish a framework for mutual assistance and to facilitate the exchange of information between them to ensure compliance with the laws and regulations of their respective jurisdictions. The document is expected to contribute to enhancing the integrity, efficiency and financial sustainability of professional participants by improving effective regulation and strengthening oversight of cross-border transactions.

AFSA Chief Executive Officer Nurkhat Kushimov said: “Clear regulations drive market predictability, which is one of the most important assets in finance. Cooperation like these assists better and faster financial exchange between AIFC and Kyrgyzstan and supports the interest of brokerage and asset management firms from both jurisdictions willing to pursue projects in capital market and investment funds industry.”

Chairman of the Kyrgyz Republic’s Service for Regulation and Supervision of the Financial Market under the Ministry of Economy and Commerce Marat Pirnazarov: “The issues of developing trade, economic and investment relations play a key role for us. We should create favorable conditions for our entrepreneurs to enhance cooperation in establishing business connections and building mutually beneficial cooperation, as well as in matters of cross-border activities in the financial market. I am confident that the establishment of close cooperation between regulators will provide a good opportunity to determine further prospects for bilateral cooperation.”

Reference: 

The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre (AIFC), which is established in accordance with the Constitutional Law of the Republic of Kazakhstan “On the Astana International Financial Centre” for the purposes of regulating financial services and related activities in the AIFC. AFSA administers the AIFC Regulations and Rules and is responsible for the authorisation, registration, recognition and supervision of financial firms and market institutions in the AIFC.

Over 2,100 firms from 79 countries are registered in the AIFC. These firms provide banking, insurance, investment, professional and other services. The range of financial services offered at the AIFC is comparable to the list of services available in long-established financial centers of the world, such as London, Hong Kong, Singapore, Dubai and others. www.afsa.kz

The Astana International Financial Centre (AIFC) is an independent jurisdiction with a favourable legal and regulatory environment and a developed infrastructure for starting and doing business, attracting investment, creating jobs and developing Kazakhstan’s economy. https://aifc.kz/  

Contact information:

Public Relations and Communications Division of AFSA:

+7 (717) 264 73 43; +7 7172 61-37-45 email: [email protected]

Every Thursday according to the schedule, AFSA Executive Body Members and the Registrar of Companies are going to welcome participants, and anyone interested in learning about AFSA or providing improvement advice on AFSA’s business processes.

From its very inception, AFSA has always strived to be a regulator that listens to the market needs and takes account of them. We are committed to ensuring that our regulatory services are client-centric and address the needs and concerns of its stakeholders in an efficient manner.

During the weekly Open Day sessions, our management will aim to provide a clear and comprehensive overview of its functions, responsibilities, and ongoing initiatives.

To book your appointment, please visit this link. It will take you to the AFSA website where you will need to complete a short form and submit your appointment.

If you have any questions regarding Open Day booking, please contact us by emailing to [email protected] or by calling the following number +7 (717) 261 37 80 during business hours.

The Astana Financial Services Authority (AFSA) has issued this Consultation Paper to seek suggestions from the market on the Policy paper and proposed AIFC Security Token Offering Framework (STO Framework). The Consultation Paper is available via this link 

https://orderly.myafsa.com/articles/consultation-paper-on-proposed-astana-international-financial-centre-security-token-offering-framework.

The proposals in this paper will be of interest to current and potential AIFC participants dealing with Security Tokens as well as the market and other stakeholders.
 
Development of the STO Framework was prompted by the need to introduce appropriate regulatory regime for Persons undertaking activities that involve or relate to Security Tokens.
 
AFSA has considered the international standard setting, particularly IOSCO, and the numerous jurisdictions’ regulatory approaches in relation to the Security Token.
 
The proposed amendments in this Consultation Paper contain the following proposals regarding the:
 
·      approach to bringing Security Tokens within AFSA regulation;
·      type of Licence needed to operate a facility for trading and/or clearing Security Tokens;
·      access to facilities for trading and clearing Security Tokens;
·      enhanced requirements for trading and clearing Security Tokens;
·      additional fees for Authorised Market Institutions admitting Retail Clients as Direct Access Members in respect of trading and/or clearing of Security Tokens.
 
We invite comments from interested stakeholders.
 
The deadline for providing comments on the proposed framework is 15 September 2023. Once we receive your comments, we shall consider if any refinements are required to this proposal.

AFSA prefers to receive comments by email at [email protected].

AFSA has issued the Consultation Paper on the proposed AIFC Stablecoin Framework (“Framework”) to seek suggestions from the market. The Consultation Paper is available via this link https://orderly.myafsa.com/articles/consultation-paper-on-the-proposed-aifc-stablecoin-framework.

The Framework comprises draft Rules applicable to Authorised Firms Providing Money Services in relation to Digital Assets and issuance of Fiat stablecoins.

The Consultation Paper consists of:
Part I – Background;
Part II – Proposals;
Part III – Public Consultation Questions;
Annex 1 – Draft Rules Applicable to Authorised Firms Providing Money Services in relation to Digital Assets and Issuance of Fiat Stablecoins.

During the public consultation, both existing and potential market participants are invited to comment on the questions outlined in Part III of the Consultation Paper.

The deadline for providing comments is 15 September 2023. Once we receive your comments, we shall consider if any refinements are required to this proposal.

AFSA prefers to receive comments by email at [email protected].

The Astana Financial Services Authority (AFSA) has issued the Consultation Paper on the proposed amendments to AIFC Fees Rules to seek suggestions from the market. The Consultation Paper can be accessed via this link 

https://orderly.myafsa.com/articles/consultation-paper-on-proposed-amendments-to-aifc-fees-rules_2.

The proposals in this paper will be of interest to current and potential AIFC Participants who are interested in exercising business activities in or from the AIFC.

The Consultation Paper consists of:

Part I – Background;

Part II – Key proposals;

Part III – Questions in this consultation paper; and

Annex 1 – Draft Amendments to AIFC Fees Rules.

In the course of public consultation, existing and potential market participants are invited to comment on the questions reflected in Part III of the Consultation Paper.

The deadline for providing comments is 11 September 2023. Once we receive your comments, we shall consider if any refinements are required to this proposal.

AFSA prefers to receive comments by email at [email protected].

The Astana Financial Services Authority (AFSA) has released its Policy Statement on AFSA’s approach to Banks and start-up Banks (Policy Statement). This statement clarifies the approach of AFSA to entities applying for authorisation to become a bank in the AIFC.

AFSA defines “start-up entities” as (i) newly formed business entities that are not owned by or are not a branch of an existing regulated financial institution, or (ii) entities (whether newly formed or not) that are part of a Group that does not contain any entities within the Group that are subject to financial services regulation broadly equivalent to the AFSA’s regulatory regime.

The risks posed by start-up Banks are unique and broader compared to related entities of pre-existing bank. Therefore, the AFSA considers that generally, an applicant for authorization to become a Bank must be either a branch or a Subsidiary of an existing bank, or a newly incorporated entity that is part of a Group that contains a regulated bank or similar comparable financial institution.

The Policy Statement also covers additional requirements for an applicant seeking authorization in the AIFC as a Bank, and details on risk assessment.

This approach does not apply to a start-up entity applying for authorization to become an Islamic Bank.

For more information on the Policy Statement, please visit our website https://afsa.orderly.kz/articles/policy-statement-on-the-afsa’s-approach-to-banks-and-start-up-banks.

Reference: 

The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre (AIFC), which is established in accordance with the Constitutional Law of the Republic of Kazakhstan “On the Astana International Financial Centre” for the purposes of regulating financial services and related activities in the AIFC. AFSA administers the AIFC Regulations and Rules and is responsible for the authorisation, registration, recognition and supervision of financial firms and market institutions in the AIFC.

Around 2,000 firms from 75 countries are registered in the AIFC. These firms provide banking, insurance, investment, professional and other services. The range of financial services offered at the AIFC is comparable to the list of services available in long-established financial centers of the world, such as London, Hong Kong, Singapore, Dubai and others. www.afsa.kz

The Astana International Financial Centre (AIFC) is an independent jurisdiction with a favourable legal and regulatory environment and a developed infrastructure for starting and doing business, attracting investment, creating jobs and developing Kazakhstan’s economy. https://aifc.kz/  

Contact information:

Public Relations and Communications Division of AFSA:

+7 (717) 264 73 43; +7 7172 61-37-45 email: [email protected]

The Registrar of Companies has suspended the activity of the Representative Office of HITBEAT MUSIC INC., which was registered in the AIFC as a Recognised Company (the “Recognised Company”) on 4 October 2021.

The suspension is made because the Registrar has grounds to believe that the Recognised Company has contravened a number of rules of the AIFC Acting Law, and its activity may harm the market.

According to Section 8 of the AIFC Companies Regulations, the Registrar may suspend the activity of the AIFC Participant on the Registrar’s own initiative, if the Registrar is satisfied that the AIFC Participant is likely to have contravened the AIFC Acting Law or considers it is necessary or desirable in the interests of the AIFC.

The Astana Financial Services Authority previously issued warnings concerning HITBEAT MUSIC INC twice in February and in July 2022. Both warnings were related to the fact that the company had released information in the public domain that risked misleading persons into believing that the company is authorised by AFSA to advice on or manage investments.

AFSA reminds consumers to exercise caution when dealing with firms claiming links with the AIFC who are soliciting investments without holding the relevant licence or authorisation from AFSA. The message from AFSA is for consumers to be careful, and only invest with authorised firms that are appropriately regulated by the AFSA.  It is important to note that the AIFC Participant status does not allow offering financial services without obtaining a licence for carrying on regulated financial activities from AFSA. It is also critical that consumers distinguish between an entity registered/incorporated within the AIFC from an entity that is authorised to carry on regulated activities or other permitted activities. Consumers are advised to check the status of authorisation on AFSA’s website at https://publicreg.myafsa.com/authorised/, and avoid dealing with firms not permitted by AFSA to carry out the activities they market.

Reference:

The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre (AIFC), which is established in accordance with the Constitutional Law of the Republic of Kazakhstan “On the Astana International Financial Centre” for the purposes of regulating financial services and related activities in the AIFC. AFSA administers the AIFC Regulations and Rules and is responsible for the authorisation, registration, recognition and supervision of financial firms and market institutions in the AIFC.

Around 2,000 firms from 75 countries are registered in the AIFC. These firms provide banking, insurance, investment, professional and other services. The range of financial services offered at the AIFC is comparable to the list of services available in long-established financial centers of the world, such as London, Hong Kong, Singapore, Dubai and others. www.afsa.kz

The Astana International Financial Centre (AIFC) is an independent jurisdiction with a favourable legal and regulatory environment and a developed infrastructure for starting and doing business, attracting investment, creating jobs and developing Kazakhstan’s economy. https://aifc.kz/ 

Contact information:

Public Relations and Communications Division of AFSA:

+7 (717) 264 73 43; +7 7172 61-37-45 email: [email protected]