The Astana Financial Services Authority (AFSA) is delighted to invite you to join the Regulatory Townhall meeting to be held on 15 October 2024 at 10:30 Astana time via Zoom.
During the Regulatory Townhall new frameworks and amendments to the AIFC legislation will be presented and discussed. Respective consultation papers were made available for feedback on our website (please refer to the link for your convenience). AFSA aims to get suggestions from the market on the regulatory approach and legislative proposals, as well as respond to the questions of the audience. Agenda
Presentations 10:30 am – 12:15 pm:
Derivatives framework and framework enabling margin trading, short selling and high frequency trading (https://shorturl.at/VwGJf)
Zarina Seidakhmetova, Senior Associate of the Policy, Strategy and Risk Division, AFSA
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 3,200 firms from 82 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 Astana Financial Services Authority (AFSA) is delighted to invite you to join the Regulatory Townhall meeting to be held on 15 October 2024 at 10:30 Astana time via Zoom.
During the Regulatory Townhall new frameworks and amendments to the AIFC legislation will be presented and discussed. Respective consultation papers were made available for feedback on our website (please refer to the link for your convenience). AFSA aims to get suggestions from the market on the regulatory approach and legislative proposals, as well as respond to the questions of the audience.
Agenda
Presentations 10:30 am – 12:15 pm:
Derivatives framework and framework enabling margin trading, short selling and high frequency trading (https://shorturl.at/VwGJf)
Zarina Seidakhmetova, Senior Associate of the Policy, Strategy and Risk Division, AFSA
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 3,200 firms from 82 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:
The Astana Financial Services Authority (AFSA) has enacted the AIFC Treasury framework The Framework introduces specific regulations tailored for operations of Corporate Treasury Centres (CTC) in the AIFC, which will be able to open the СТС Funds. Such vehicles will allow carrying out treasury activities within the AIFC’s existing regulatory and tax regimes in line with international practices. Recognising the unique nature of CTCs and their limited investor base, the framework includes streamlined regulatory provisions for CTC Fund Managers.
The AIFC Treasury Framework represents a significant step towards strengthening the AIFC’s position as a leading international financial center in Eurasia. This framework offers a robust regulatory and tax environment that caters specifically to the needs of CTCs, making the AIFC an attractive location for intragroup financing, liquidity management, investment and other treasury functions.
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 3000 firms from 82 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]
Staff of the Astana Financial Services Authority (AFSA) has for the first time presented its regulatory approaches to Crypto and Digital Asset markets to the members of International Organization of Securities Commissions (IOSCO)[1]. The training was conducted within the 26th edition IOSCO Seminar Training Programme: “Regulation and Supervision of Crypto and Digital Assets Markets.”
AFSA’s FinTech Director Yagub Zamanov shared the history and milestones of the development of the regulatory framework for digital assets at the AIFC, starting from the establishment of a FinTech Lab[2] and the continuous growth over the following years within which AFSA became an IOSCO associate member, agreed with national regulators to launch a pilot project testing fiat gateways between AIFC’s digital assets exchanges and commercial banks of Kazakhstan that consequently resulted in the Rulebook on Digital Assets Activities and the Rules governing interactions of Digital Asset Service Providers and commercial banks of Kazakhstan.
Yagub also shared tips on how to tackle key challenges in developing Crypto and Digital Assets policy and using blockchain analytics tools.
AFSA’s continuous engagement with and supervision of entities in the regulatory sandbox allowed to launch new initiatives such as the OTC[3] Guidance and the Stablecoins Framework allowing the issuance of fiat stablecoins pegged to G10 currencies and any other currency approved by AFSA.
In March this year AFSA issued a call on Digital Assets Services Providers to test out new products, including activities involving margin trading, peer-to-peer, derivatives trading, staking, non-fungible trading, digital asset loans and other services.
It is important to note that throughout AFSA’s work it is guided by the three core IOSCO objectives – investor protection, ensuring fairness, efficiency, and transparency of markets as well as reducing the systemic risk.
AFSA is a signatory to IOSCO Multilateral Memorandum of Understanding and IOSCO Enhanced Multilateral Memorandum of Understanding.
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 3000 firms from 82 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]
[1] IOSCO is the international body that brings together the world’s securities regulators and is recognized as the global standard setter for financial markets regulation. IOSCO develops, implements and promotes adherence to internationally recognized standards for financial markets regulation and works closely with other international organizations on the global regulatory reform agenda.
[2] FinTech Lab is a tailored live environment, where firms can offer innovative financial and RegTech services without being immediately subject to the full set of regulatory requirements.
[3] In decentralised finance, Over-the-Counter trading is considered as a separate trading option widely used for large undertaking or transaction by large or institutional players because OTC transactions allows to discharge large volumes of Digital Assets quicker and in large blocks.
The Astana Financial Services Authority (AFSA) has enacted the AIFC ESG Debentures framework effective from 1 October 2024.
The framework introduces minimal standards of regulation and requirements for issuance and offering of green and sustainable debt instruments including sukuk under an overarching concept of the “AIFC ESG Debentures”. The intention is to provide clear guidelines to issuers, making it simpler to design and market these financial products while also helping investors identify sustainable investing opportunities.
This framework seeks to stimulate green finance capital flows and support financing for adaptation and mitigation efforts, contributing to global climate goals. It promotes transparency, accountability, and alignment with international standards, ensuring that issuers meet clear environmental objectives.
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 3000 firms from 82 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]
AFSA is pleased to announce the adoption of amendments to the AIFC Rules No. GR009 of 2017 concerning Qualifications Necessary for Employment in the AIFC (the AIFC Rules).
These amendments aim to ensure mandatory educational and experience-based criteria for foreign nationals and stateless persons for employment within the AIFC, helping to uphold the high qualification standards crucial for maintaining the quality and integrity of the AIFC workforce.
One significant change in the amended AIFC Rules is the introduction of the AIFC Authority’s ability to grant waivers and modifications from the certain requirements of the AIFC Rules in regard to foreign employees of the AIFC Participants, who are not carrying on a Controlled Function or a Designated Function under rules 2.2 and 2.3 of the AIFC General Rules.
These amendments are designed to enhance the efficiency and adaptability of the AIFC’s employment framework, ensuring it continues to attract a highly qualified international workforce.
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 3,000 firms from 82 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 Astana Financial Services Authority (AFSA) and the Central Bank of the Republic of Azerbaijan (CBAR) have signed a Memorandum of Understanding (MoU) that establishes a framework for closer cooperation between the authorities aimed to support the execution of their supervisory functions and promote the safe and sound functioning of financial markets in the respective jurisdictions.
The MoU underscores AFSA’s and CBAR’s commitment to strengthening cooperation based on mutual trust and understanding in supervising financial markets. Both authorities will make every effort to collaborate in supervisory activities and ensure prompt and timely exchange of information and mutual assistance to facilitate effective supervision of financial institutions operating in both jurisdictions.
The MoU also covers coordination focused on promoting cooperation through knowledge and experience sharing, as well as staff secondments. Authorities also agreed to pursue joint staff training programmes aimed at strengthening robust supervisory practices.
This brings AFSA’s total of international agreements with peer regulators to 57.
AFSA Chief Executive Officer Nurkhat Kushimov said: “This MoU marks the start of a strengthened partnership between AFSA and CBAR, as we are looking forward to continued collaboration and more joint projects in the future.”
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 3,000 firms from 82 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:
The Astana Financial Services Authority (AFSA) has issued a Consultation Paper on Providing Money Services framework to seek suggestions from the market.
Money Service Providers (“MSP”) play an important role in the financial system of both AIFC and Kazakhstan. As of 1 September 2024, AFSA issued only 7 licences for MSPs. The proposed framework is aimed to implement a comprehensive, flexible framework that will provide legal clarity for MSPs. Besides, the proposed regulatory regime for MSPs has a balanced approach, where it both fosters innovations in the sphere of payments and money services and strengthens operational resilience, cyber-security and consumer protection measures. The proposal aims to increase the number of MSPs, but at the same time ensure safe environment for customers
The proposals in this paper will be of interest to current or potential applicants, who are seeking to engage in money services activities from the AIFC, ancillary service providers and professional advisors.
During the public consultation, both existing and potential AIFC participants, as well as other stakeholder are invited to comment on the questions outlined in the Consultation Paper.
The deadline for providing comments is 23 October 2024. Once we receive your comments, we shall consider if any refinements are required to this proposal.
The Consultation paper may be found via this link: https://orderly.myafsa.com/articles/consultation-paper-afsa-f-ce-2024-0001-from-23-september-2024-on-on-providing-money-services-framework.
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 3000 firms from 82 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]
AFSA has registered the first Non-exempt fund[1] for retail investors – SBI Active Fund. This move is a significant development because it allows retail investors to access a broader range of investment opportunities similar to those typically available to professional investors using Exempt funds[2].
Unlike exempt funds, Non-Exempt Funds are subject to more rigorous regulatory oversight and transparency requirements. They enhance the diversity of investment offerings by providing a broader range of financial products that cater to different investor categories. Additionally, they facilitate wider market participation, which ultimately contributes to the development of financial markets. Non-Exempt Funds generally impose fewer restrictions on investor participation, making them accessible to a wider audience, including retail investors. This inclusivity helps increase liquidity and market activity within the AIFC.
AFSA is enabling retail investors to explore advanced investment strategies, which could include more flexibility in terms of asset allocation, risk exposure, and potential returns. This could also lead to a more dynamic retail investment market in Kazakhstan.
AFSA Chief Executive Officer Nurkhat Kushimov said: “This is a significant development that offers a lot more opportunities for retail clients and while I know that it is a step forward, I would also like to remind that customers wishing to use this new opportunity should be aware of the higher risks that go with it. And while AFSA has the protections in place that retail clients should use, consumers should ensure that they make informed and well-researched decisions and make sure that any AIFC financial services firms they deal with have appropriate licences from AFSA.”
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 authorization, registration, recognition and supervision of financial firms and market institutions in the AIFC.
Over 3,000 firms from 82 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 favorable 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]
[1] A Non-Exempt Fund is any Collective Investment Scheme whose Units are Offered in the AIFC and which is not an Exempt Fund.
[2] An Exempt Fund is a Collective Investment Scheme whose Units are Offered in the AIFC only by way of a private placement to Professional Clients and in the minimum subscription amounts of US$50,000.
