AFS characterized the banking sector of Kazakhstan as at November 1, 2009 (ON PRELIMINARY DATA)

/IRBIS, Dinara Mukasheva, November 26, 09/ - Agency of Republic of Kazakhstan on Regulation and Supervision of Financial Market and Financial Organizations (AFS) in its regulating press-release, dedicated to state of financial market and financial organizations of the republic, have characterized the banking sector of Kazakhstan as at November 1, 2009. As at November 1, 2009, according to AFS, the banking sector of the republic was represented by 37 second level banks. Changing of main characteristics of condition of Kazakhstan banking sector (in bn. KZT) --------------------------------------------------------------------------- Changing (in %) relative to values -------------------- As at Since Indicator 01.11. 09 for a month 2009 for a year --------------------------------- --------- ----------- -------- ---------- Joint assets 11,941.6 -1.1 +0.4 +1.4 Joint rated shareholders equity* -945.5 +1.9 - - Loan portfolio 10,027.4 -1.1 +8.5 +10.0 Loans for RK nonresidents 1,914.0 -2.2 +24.5 - Doubtful of 5th category and hopeless 3,595.9 +2.2 4.8times 5.9times Overdue debt more than 90 days 1,978.3 +11.3 4.1times 4.4times provision volume on loans 3,733.5 +1.2 3.7times 4.2times Total sum of deposits incl.: 8,300.1 +0.5 +20.8 +22.3 Legal entities 4,289.9 +3.0 -20.1 -19.1 subsidiaries 2,168.6 -2.6 -4.7 - individuals 1,841.7 -1.4 +22.8 +24.0 The joint liabilities 12,950.8 -0.9 +24.0 +22.5 Before nonresidents 4,688.8 -3.1 +0.03 -1.0 The joint sum of revenues 5,972.7 +8.1 2.0times 2.5times The sum of charges 8,819.7 +5.7 3.0times 3.9times Undistributed net income (loss)** -2,856.3 +1.1 - - --------------------------------------------------------------------------- * on 01.01.09 Joint rated shareholders equity made KTZ 1, 953.9 billion; on 01.11.08 - KTZ 1,919.9 billion. ** on 01.01.09 the net profit made KTZ 15.4 billion; on 01.07.08 - KTZ 82.4 billion. As of 1st of November, 2009 assets denominated in foreign currencies amounted to 51.9% of total assets (KTZ 6,195.0 bn.), loans granted in foreign currency - 59.4 % (KTZ 5,956.4 billion), liabilities denominated in foreign currency - 57.6 % (KTZ 7,465.5 billion), deposits denominated in foreign currency by 52.9 % (KTZ 3,243.3 billion). In the structure of the economy, share of loans by sectors were: construction - 27.4%, trade - 26.5%, non-production sphere - 22.8%, industry - 15.0%, agriculture - 3.8%, transport - 3.1%; individual activities - 0.6%; connection - 0.8%. The share of highly liquid assets to total assets of banks amounted to 20.1%. For violation of banking legislation in October, banks had been rendered on 15 written prescriptions, 3 letters of commitment, 1 written warning letter and 1 concluded a written agreement. As of November 1, 2009 in the process of forced liquidation by court there are 5 banks (Valyt Transit Bank JSC, Nauryz Bank Kazakhstan JSC, Businessbank JSC, Kazpochtabank JSC, Komirbank JSC). At the meeting of the Board of FSA, which was held on November 2, 2009, on the regulation of second-tier banks and banking conglomerates adopted a number of decisions: - On Amendments and Additions to the Resolution of the Board of the Agency of the Republic of Kazakhstan on Regulation and Supervision of Financial Markets and Financial Institutions on February 25, 2006 # 40 "On the Rules of forced liquidation of banks in the Republic of Kazakhstan"; - On Making Addenda and Amendments to the Resolution of the Board of the Agency of the Republic of Kazakhstan on Regulation and Supervision of Financial Market and Financial Institutions from September 30, 2005 # 359 "On approval of Instruction on the requirements for the availability of risk management and internal control of the second-level banks and Amending in the Resolution of the Board of the Agency of the Republic of Kazakhstan on Regulation and Supervision of Financial Market and Financial Institutions on March 26, 2005 # 116 "On amending some normative acts of the Republic of Kazakhstan on Regulation and Supervision of Financial Markets and Financial Institutions''. Also, the FSA Board Resolution # 232 from November 2, 2009 to December 15, 2009 extended the term of the restructuring of the obligations of Alliance Bank. [2009-11-26]