200 companies registered in AIFC jurisdiction
The Astana Financial Services Authority (AFSA) registered the 200th company with the AIFC. This event coincided with the holding of Astana Finance Days, the annual financial conference that traditionally brings together global experts and government officials, representatives of business and academia in early July.
The geography of registered participants of the AIFC covers more than 20 countries, including Kazakhstan, Russia, Estonia, Latvia, the United Kingdom, Italy, Finland, the USA, China, Hong Kong, Singapore, Malaysia, India, the United Arab Emirates, and Turkey. AIFC participants operate in such areas as banking, stock market, asset management, private banking, Islamic finance, credit rating and others.
The largest companies providing financial and support services include a branch of China Construction Bank (China), Altyn Bank (Kazakhstan), a representative office of China Development Bank (China), Paladigm Capital Pte (Singapore), WOOD and Co. (Czech Republic), Shinhan Investment Corporation (South Korea), Russell Bedford (USA), Renaissance Capital (Cyprus), Analytical Credit Rating Agency (Russia).
Around 25 licensed and accredited market participants – brokers and dealers – from Kazakhstan, China, Russia, South Korea and Europe operate on the AIFC Stock Exchange. More than forty companies provide support services, namely legal, auditing, accounting, consulting and rating services.
In order to become a Participant of the AIFC, it is necessary to register and obtain a license to conduct these or other services.
Reference:
AIFC. The Astana International Financial Centre (AIFC) was established at the initiative of the First President of the Republic of Kazakhstan, Nursultan Nazarbayev. The constitutional law on the creation of the AIFC was signed on December 7, 2015. The goal of the AIFC is to create a leading center of financial services at the international level. The objectives of the AIFC are to assist in attracting investments into the country’s economy, creating an attractive environment for investing in the financial services sector, developing the securities market of the Republic of Kazakhstan and ensuring its integration with international capital markets. www.aifc.kz
AFSA is an independent regulator of the AIFC, a legal entity established in accordance with the Constitutional Law of the Republic of Kazakhstan “On the Astana International Financial Centre” in order to regulate financial services and related activities at the International Financial Center Astana. AFSA implements the AIFC rules and regulations, which, in particular, provide for the licensing, registration, accreditation and supervision of financial companies and market institutions.
China Construction Bank Corporation receives licence at the AIFC
China Construction Bank Corporation (CCB) received a licence to carry out financial services at the Astana International Financial Centre. CCB is authorised to carry on the banking services and capital market operations through its Astana Branch in the AIFC. CCB is second largest bank in the world by total assets and is the first fully authorised branch of a foreign bank in the AIFC.
The AFSA license was granted to CCB by Dr Kairat Kelimbetov, the AIFC Governor on the sidelines of the Second Belt and Road Forum on 25 April 2019 in Beijing.
Dr Kelimbetov said: “We welcome the CCB at the AIFC. We are keen to take advantage of our location along the New Silk Road and in particular the Belt & Road Initiative by offering an attractive regulatory environment. Due to its strategic location between Europe and China, the AIFC aspires to be a financial services hub for projects in Eurasia.”
Mr Mukhtar Bubeyev, the Acting CEO of AFSA said, that AFSA is delighted to see CCB among the AIFC participants.
Mr Tian Guoli, Chairman of the CCB stated: “Kazakhstan, where the Belt and Road Initiative was first proposed, is one of the most important countries along the Silk Road. The establishment of the Astana branch is CCB’s foremost pro-active response to the Initiative.”
Chairman of CCB further said “Astana Branch will give full play to the advantages of CCB Group to support the bilateral trade and investment cooperation between China and Kazakhstan. The Branch will actively serve the Belt and Road Initiative by providing high standard financial services in order to facilitate interconnection and production capacity between China and Kazakhstan. Furthermore, CCB is committed to build a new financial cooperation platform between China and Central Asia in the AIFC.”
Reference:
The Astana International Financial Centre (AIFC) was established by the initiative of the President of Kazakhstan Nursultan Nazarbayev and operates as per the Constitutional Law “On the Astana International Financial Centre” dated December 2015. The AIFC aims at attracting investment into the Kazakh economy through the establishment of an attractive and business friendly environment for financial services and capital markets, including securities, insurance, banking and Islamic finance the Republic of Kazakhstan.
www.aifc.kz
The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre, a legal entity and statutory body of the Republic of Kazakhstan, 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 activities related to financial services in the AIFC. The AIFC Regulations and Rules provides for the authorization, registration, recognition and supervision of financial firms and market institutions.
www.afsa.kz
China Construction Bank (CCB) Corporation was founded in October 1954 and is headquartered in Beijing, China. The company engages in the provision of financial and banking services. CCB is one of the big four state-owned commercial banks in the People’s Republic of China. The bank has approximately 15 000 domestic branches. In addition, apart from Astana Branch, it maintains overseas offices in 29 countries and regions in the world, such as Hong Kong, Singapore, Johannesburg, Tokyo, Seoul, New York City, Sydney, Luxembourg, Kuala Lumpur, etc.
Astana Financial Services Authority signed the Memorandum of Understanding with Financial Services Commission and Financial Supervisory Services of Republic of Korea
The Astana Financial Services Authority (AFSA) has entered into a Memorandum of Understanding (MoU) with the Financial Services Commission (FSC) and Financial Supervisory Services (FSS) of Republic of Korea.
The MoU was signed by Mr. Mukhtar Bubeyev, the Acting Chief Executive Officer of the AFSA, Mr. Yong Beom Kim, the Vice Chairman of the FSC and Mr. Kwang-yeol Yoo, the First Senior Deputy Governor of the FSS.
AFSA, FSC and FSS expressed their willingness to cooperate with each other in capital markets, banking and insurance, based on mutual trust and understanding in the supervision of the cross-border establishments within their respective jurisdictions. The Authorities agreed to use their best endeavors to cooperate in routine supervisory procedures, and to notify and provide to each other relevant information.
Mr. Bubeyev said: “We are delighted to establish a cooperation with Financial Services Commission and Financial Supervisory Services of Korea. It is symbolic that we are entering into this MoU as the Forum of Kazakh-Korean partnership commenced today in Nur-Sultan. We attach great importance to supervisory cooperation with peer regulators and are keen to facilitate establishment of Korean firms in the AIFC”.
Mr. Yong Beom Kim said: “We are pleased to lay the groundwork for supervisory cooperation between Korea and Kazakhstan. The MoU will provide the two countries with greater chances in sharing experiences in financial supervisory policies. We also expect that cooperation between the two countries will provide greater support to companies which are interested in entering each other’s markets.”
Mr. Kwang-yeol Yoo said: “The FSS is very pleased to have this opportunity to strengthen the relations with the Astana Financial Services Authority. I hope this MoU contributes to elevating the level of cooperation and encouraging financial companies in both countries to enter each other’s markets. I look forward to more active cooperation and communication between the authorities based on the MoU.”
Reference:
The Astana International Financial Centre (AIFC) was established by the initiative of the President of Kazakhstan Nursultan Nazarbayev and operates as per the Constitutional Law “On the Astana International Financial Centre” dated December 2015. The AIFC aims at attracting investment into the Kazakh economy through the establishment of an attractive and business friendly environment for financial services and capital markets, including securities, insurance, banking and Islamic finance the Republic of Kazakhstan.
www.aifc.kz
The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre, a legal entity and statutory body of the Republic of Kazakhstan, 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 activities related to financial services in the AIFC. The AIFC Regulations and Rules provides for the authorization, registration, recognition and supervision of financial firms and market institutions.
www.afsa.kz
The Financial Services Commission (FSC) is a government agency with the statutory authority over financial policy and regulatory supervision. The FSC is vested by the Act on the Establishment, etc. of Financial Services Commission of the Republic of Korea with the task of performing broad supervisory functions in financial supervision, mainly licensing financial business, revising and formulating financial policies, and instruction and supervision of the Financial Supervisory Service.
https://www.fsc.go.kr
The Financial Supervisory Service (FSS) was established on January 2, 1999, as Korea’s fully integrated supervisory authority under the Act on the Establishment of Financial Supervisory Organizations (the “Establishment Act”) that the National Assembly approved on December 29, 1997. The Establishment Act created the FSS as a specially legislated quasi-government supervisory authority and charged it with financial supervision across the entire financial sector.
http://english.fss.or.kr
Astana Financial Services Authority and National Bank of the Republic of Kazakhstan signed an Assistance and Cooperation Agreement
The Astana Financial Services Authority (AFSA) has entered into the Agreement with the National Bank of the Republic of Kazakhstan (NBRK) in relation to mutual co-operation.
The Agreement will provide for formal cooperation arrangements, including exchange of information and assistance in performing of supervisory functions. In particular, it allows the exchange of information to fulfill the tasks assigned to regulators and provides for the creation of mechanisms to discuss issues of mutual interest.
The agreement will serve as a strategic platform for establishing and expanding cooperation in various fields in order to stimulate the growth of financial services sectors.
AIFC pursues objectives for the development of the securities market, insurance and banking services, Islamic finance and FinTech. Effective cooperation with the National Bank of Kazakhstan is an important priority for the AFSA. It is expected that cooperation with the National Bank of Kazakhstan will allow the two regulators to perform their functions more effectively.
Reference:
The Astana International Financial Centre (AIFC) was established by the initiative of the President of Kazakhstan Nursultan Nazarbayev and operates as per the Constitutional Law “On the Astana International Financial Centre” dated December 2015. The AIFC aims at attracting investment into the Kazakh economy through the establishment of an attractive and business friendly environment for financial services and capital markets, including securities, insurance, banking and Islamic finance the Republic of Kazakhstan. www.aifc.kz
The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre, a legal entity and statutory body of the Republic of Kazakhstan, 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 activities related to financial services in the AIFC. The AIFC Regulations and Rules provides for the authorization, registration, recognition and supervision of financial firms and market institutions. www.afsa.kz
The National Bank of the Republic of Kazakhstan (NBRK) is the central bank of the Republic of Kazakhstan and represents, within the limits of its authority, the interests of the Republic of Kazakhstan in relations with the central banks, banks of other countries, international banks and other finance-credit institutions. The primary goal of NBRK is to ensure the stability of prices in the Republic of Kazakhstan, promotion of the financial stability, and regulation, control and supervision of the financial market and financial organizations. https://nationalbank.kz
Astana Financial Services Authority and Banking Regulation and Supervision Agency of Turkey signed the Memorandum of Understanding
The Astana Financial Services Authority (“AFSA”) has entered into a Memorandum of Understanding (“MoU”) with the Banking Regulation and Supervision Agency of Turkey (“BRSA”) in support of regulatory cooperation in banking industry. The signing ceremony was held in Istanbul, Turkey on 12 February 2019.
The MoU was signed by Mr. Mukhtar Bubeyev, the Acting Chief Executive Officer of the AFSA and Mr. Mehmet Ali Akben, the Chairman of the BRSA.
Mr. Bubeyev said: “The signing of the MoU will enhance information exchange and cooperation in the field of bank supervision between the AFSA and BRSA, marking a new phase of bilateral cooperation between the two regulators.”.
“With the signing of this MoU, I believe that the BRSA and the AFSA will build the necessary grounds for an effective and continuing cooperation between our institutions,” Mr. Mehmet Ali Akben emphasized.
The Memorandum establishes framework conditions for the BRSA and AFSA teams to facilitate cross-border group activities and supervision, share information on financial services legislation and regulatory practices. The Parties will also foster capacity building initiatives to reinforce sound supervisory practices in both jurisdictions and foster growth in respective financial markets.
AFSA jointly with global regulators launches GFIN (Global Sandbox)
The Global Financial Innovation Network (GFIN) is a newly-formed alliance of 28 financial regulators and organisations including, Financial Conduct Authority of the UK, International Monetary Fund, World Bank Group and Astana Financial Services Authority, committed to:
(1) collaborate and share experience of innovation in respective markets;
(2) exchange of knowledge and lessons learned in RegTech related matters;
(3) provide firms with an environment to test cross-border solutions.
The GFIN initiative on cross border testing would allow firms to simultaneously test innovative products, services or business models in multiple jurisdictions, including Kazakhstan, United Kingdom, Singapore and other jurisdictions.
We are pleased to be part of this initiative. GFIN will facilitate greater regulatory cooperation between the like-minded authorities to foster a sustainable global financial ecosystem. This network is an extension of AIFC’s commitment to further facilitate cross-border financial activities in a fair, transparent and efficient manner, – said Asylbek Davletov, Chief FinTech Officer of the AFSA.
Firms wishing to participate testing must meet the application requirements of all the jurisdictions in which they would like to test. For example, a firm wishing to test in Kazakhstan, Australia and Hong Kong must independently meet the eligibility criteria, and/or other relevant standards of the regulators of those jurisdictions.
Firms interested in applying to take part in the pilot cross border tests should review the list of participating regulators and submit an application before the 28 February 2019 deadline.
The Network has also published a Terms of Reference for the group and is encouraging other regulators and international organisations to join.
See more about the GFIN.
AFSA has joined Group of Banking Supervisors from Central and Eastern Europe
The ceremony of joining the Group of Banking Supervisors from Central and Eastern Europe (BSCEE), a regional group of Basel Committee on Banking Supervision, took place on 26 November 2018 in Abu Dhabi on the margins of the International Conference on Banking Supervision of the Basel Committee.
Membership of the Astana Financial Services Authority (AFSA) in the BSCEE will allow alignment of banking regulatory framework of the Astana International Financial Centre (AIFC) with the standards of the Basel Committee in the field of regulation and supervision of the banking services market.
BSCEE facilitates cooperation among its members to help with the integration of the Basel standards and core principles, provides avenues for exchange of information and supervisory experiences. The Group also serves as a high-level forum for technical discussions and encourages research, training and educational programs.
Accession to the BSCEE is an important step towards forming sound banking market in the AIFC. The banking sector will play critical role in establishing the AIFC as regional financial services hub. Banking sector plays important role in facilitating flows of capital and allocation of financial resources for purposes of development and economic growth.
“The AFSA is pleased for being accepted as a member of the BSCEE. Membership of the AFSA in the BSCEE is an important milestone in development of the AIFC. Banking sector is considered as one of the highest priorities of the AIFC and commencement of cooperation with members of the BSCEE will contribute to establishment of the AIFC as regional financial hub”, said Mukhtar Bubeyev, the Acting Chief Executive Officer of the AFSA.
Astana Financial Services Authority, Astana International Financial Centre Authority and Monetary Authority of Singapore sign Co-operation Agreement to enhance fintech innovations
Monetary Authority of Singapore (“MAS”), Astana Financial Services Authority (“AFSA”) and Astana International Financial Centre Authority (“AIFCA”) have signed a tripartite Cooperation Agreement to boost FinTech ties between Singapore and Kazakhstan.
The Agreement provides a framework for cooperation between AFSA, AIFCA and MAS in FinTech innovations, allowing the three authorities to explore possibilities of joint participation in innovative projects and sharing of information on innovation in their respective markets. The Cooperation Agreement was signed by Mr. Mukhtar Bubeyev, Acting Chief Executive Officer of the AFSA, Mr. Nurlan Kussainov, Chief Executive Officer of the AIFCA, and Mr. Sopnendu Mohanty, Chief FinTech Officer of MAS.
Mr. Kussainov welcomed the signing of the Agreement, saying, “Fintech is one of the main activities of the AIFC and we are glad to expand our international cooperation by signing this memorandum with MAS. It will enhance cooperation on issues of common interest, strengthen exchange of information in area of fintech innovation within both jurisdictions”.
Mr. Bubeyev stated: “We are delighted to enter into agreement with MAS to enhance cooperation and promote innovation in financial services. We believe that it will open more opportunities for innovative companies in both jurisdictions”.
Mr. Mohanty said, “This agreement is one step towards closer collaboration between the FinTech ecosystems of Singapore and Kazakhstan. It will pave the way for FinTech firms in both countries to collaborate, capture new opportunities and grow the FinTech landscape”.
Reference:
The Astana International Financial Centre (AIFC) was established by the initiative of the President of Kazakhstan Nursultan Nazarbayev and operates as per the Constitutional Law “On the Astana International Financial Centre” dated December 2015. The AIFC aims at attracting investment into the Kazakh economy through the establishment of an attractive and business friendly environment for financial services and capital markets, including securities, insurance, banking and Islamic finance the Republic of Kazakhstan.
The AIFCA is a company limited by shares established by the National Bank of the Republic of Kazakhstan. The AIFCA supports the activities of the other AIFC Bodies and their organisations as well as the AIFC Participants and their employees and represents their interests to the extent of its competence.
www.aifc.kz
The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre, a legal entity and statutory body of the Republic of Kazakhstan, 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 activities related to financial services in the AIFC. The AIFC Regulations and Rules provides for the authorization, registration, recognition and supervision of financial firms and market institutions.
The Monetary Authority of Singapore (MAS) is Singapore’s central bank and integrated financial regulator. As central bank, MAS promotes sustained, non-inflationary economic growth through the conduct of monetary policy and close macroeconomic surveillance and analysis. It manages Singapore’s exchange rate, official foreign reserves, and liquidity in the banking sector. As an integrated financial supervisor, MAS fosters a sound financial services sector through its prudential oversight of all financial institutions in Singapore – banks, insurers, capital market intermediaries, financial advisors, and stock exchanges. It is also responsible for well-functioning financial markets, sound conduct, and investor education. MAS also works with the financial industry to promote Singapore as a dynamic international financial centre. It facilitates the development of infrastructure, adoption of technology, and upgrading of skills in the financial industry.
AFSA and Bank of Lithuania sign Co-operation Agreement to promote innovation in financial services
The Astana Financial Services Authority (“AFSA”) has established cooperation with Bank of Lithuania.
Agreement provides a framework for co-operation, information sharing and referrals in fintech innovations area between the AFSA and Bank of Lithuania. Parties believe that through co-operation with each other, they will be able to further the promotion of innovation in their respective markets. In this light, the framework also anticipates potential development of joint innovation projects on the application of key technologies such as digital and mobile payments, blockchain and distributed ledgers, big data, flexible platforms (API), and other areas of new technologies and services.
Both parties have strong innovation functions and teams within their authorities aimed to support companies in their endeavor to develop and implement technological innovations. Accordingly, joining forces in this field will open more opportunities for innovation companies in both jurisdictions.
