Kazakhstan revises debt burden ratio calculation for consumer loans
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Kazakhstan has introduced a new debt burden ratio calculation procedure, now required before consumer loan approvals, credit line openings, and loan modifications that increase periodic payments. The rules apply to both consumer loans and some business-purpose loans to individuals, while exempting state educational and inherited loans from the maximum ratio requirement.
New Calculation Requirements
Kazakhstan’s financial regulator now requires banks to calculate the debt burden ratio before granting consumer loans, opening credit lines, issuing additional loans, or changing terms that increase periodic payments. The rule also applies to loans to individuals for purposes related to business activity, unless the borrower documents their entrepreneurial operations. Banks must retain the analysis results in their software or the borrower's credit dossier.
Exemptions and Exceptions
The maximum debt burden ratio does not apply to loans under the National Bank’s mortgage refinancing program, the State Educational Savings System, or inherited obligations. The regulator also exempted from the maximum ratio requirement loans for purchasing new vehicles — first registered in Kazakhstan and serving as collateral — issued from January 1, 2025 to December 31, 2026.
Auto Loan Conditions
For used vehicles, the exemption applies if the down payment is at least 50% of the vehicle’s cost, or at least 30% for vehicles aged up to 3 years. Loans within the housing construction savings system are also exempt. Banks, including branches of non-resident banks, must still calculate the ratio for credit line openings and additional loans for credit risk monitoring.
What's Next
The new rules take effect immediately, with banks required to update their internal systems to comply. It remains unclear how the expanded exemptions will impact overall household indebtedness and credit market growth in Kazakhstan.
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Kazakhstan revises debt burden ratio calculation for consumer loans
