The National Bank of Kazakhstan Approves Digitalization Strategy for Financial Regulators Until 2029, DKnews.kz reports.
On December 26, 2024, the Board of the National Bank of Kazakhstan (NBK) held a meeting to discuss key issues related to the regulator's activities. One of the main outcomes was the approval of the Digital Transformation Strategy for Financial Market Regulators for the period 2025–2029.
Goals and Objectives of the Strategy
The strategy was developed considering modern challenges such as the development of digital assets and technologies, ESG risks management, and the transformation of the financial sector's structure. Its primary goal is to maintain Kazakhstan's leadership in financial sector digitalization and create conditions for enhancing the efficiency and resilience of the market.
Key areas of focus in the strategy include:
- Establishing a digital central bank capable of responding promptly to changes in the financial market.
- Building an accessible digital infrastructure for all financial market participants.
- Implementing data-driven approaches to improve the efficiency of oversight and management.
- Developing modern technological platforms and information and communication technology (ICT) infrastructure.
- Reducing regulatory burdens through the standardization and automation of data processing.
Scope and Coverage of Projects
The strategy encompasses over 100 projects aimed at developing next-generation infrastructure, strengthening technological foundations, and introducing modern data management methods. One initiative includes creating a unified IT services center and leveraging agile management methods to enhance efficiency.
Focus on ESG Risks
Particular attention is given to managing ESG risks, which have become an integral part of the operations of modern financial regulators. The strategy aims to introduce technologies that promote the sustainable development of the financial sector, considering environmental, social, and governance factors.
Changes to Regulatory Framework
The meeting also addressed amendments to regulatory acts concerning the reporting requirements for second-tier banks and other financial organizations. This decision aims to improve transparency and simplify interactions with regulators.
Significance for the Financial Sector
The approved strategy will not only strengthen Kazakhstan's position in financial sector digitalization but also ensure the market's resilience amid global changes. Innovative data management approaches and technological solutions will enable regulators to adapt quickly to new challenges and create favorable conditions for market participants.
The Digital Transformation Strategy for 2025–2029 demonstrates the National Bank of Kazakhstan's commitment to developing the country's financial system in line with modern trends and technologies. It ensures the system's stability, transparency, and competitiveness on a global scale.
