Moody’s Ratings has assigned a long-term credit rating of Ba3 with a stable outlook to Freedom Bank Kazakhstan, a subsidiary of Freedom Holding Corp.
This is the first time Moody’s, one of the “big three” global rating agencies, has evaluated a credit institution within Freedom Holding Corp. The rating provides additional confirmation of the bank’s international recognition and places it just one step away from investment grade, opening the door to greater attention from global capital markets.
In its rating press release, Freedom Bank is described as “a fast-growing universal bank specializing in retail and digital services.” Moody’s highlights the bank’s central role within the Freedom Holding ecosystem, calling it the core around which other digital services are built – including consumer services, brokerage, insurance, and telecommunications.
According to Moody’s, the credit rating reflects the bank’s baseline credit assessment of b1, along with an uplift due to the moderate probability of support from the Government of the Republic of Kazakhstan.
The agency describes Freedom Bank’s lending model as “sound but still developing.” It notes that the bank continues to maintain a significant share of trading and investment operations in its business, although this share is gradually declining. Moody’s believes that a large securities portfolio on the bank’s balance sheet increases its exposure to market risks and puts pressure on the rating. However, this dependence is decreasing rapidly: as of December 2024, securities accounted for 56% of total assets, compared to 40% just nine months later.
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At the same time, the bank’s core business – lending to individuals and corporate clients – is expanding. Moody’s considers the quality of the loan portfolio a supportive factor for the rating. Analysts note that credit risks remain low: as of September 2025, the share of non-performing loans stood at 2.9%, while loan loss reserves coverage reached 116%. Although risks may increase due to aggressive growth in consumer lending, Moody’s expects them to remain under control thanks to Freedom Bank’s traditionally proactive approach to provisioning.
The bank’s deposit base is also growing, according to Moody’s analysts. In the first nine months of 2025, deposits increased by 24%, compared to an average growth rate of 15% in Kazakhstan. The agency expects this trend to continue, with the bank outpacing the market.
Moody’s forecasts that the bank’s profitability will improve over the next 12 to 18 months. However, margins may decline due to high costs associated with its growth strategy.
“High customer acquisition and operating expenses will weigh on profitability during the bank’s growth phase over the next 12–18 months,” the rating agency said in its press release.
The bank’s liquidity is assessed as sufficient to meet refinancing needs and other short-term obligations.
The stable outlook reflects Moody’s expectation that the bank will maintain its current credit rating over the next 12 to 18 months.
Earlier in March, another member of the “big three,” S&P Global Ratings, affirmed the credit rating of Freedom Holding Corp., the parent financial technology company, at “B-” with a stable outlook. In addition, S&P confirmed ratings of “B+/B” with a positive outlook for Freedom Bank and the group’s brokerage subsidiaries.
Like Moody’s, S&P analysts emphasized the key role of the ecosystem built around the Freedom SuperApp in driving the group’s business growth. The app provides a single access point to a wide range of digital services and is built on the banking infrastructure of Freedom Bank. The bank’s impressive client growth – up 77.2% in 2025 to 5 million customers – is largely driven by the development of this application. Each user of services within the SuperApp ecosystem automatically becomes a client of Freedom Bank, as all transactions are processed through it. Overall, Freedom Holding Corp. now serves more than 11 million clients across 21 countries.
Freedom Bank’s strategy includes active expansion into international markets, in line with the group’s overall growth model. The bank’s “digital bank” operations are already active in neighboring Tajikistan. A banking license was obtained in Georgia at the end of 2025. In early March, it was announced that Freedom Holding Corp. had acquired a credit institution in Turkey (Turkish Bank). According to the company’s owner and CEO, Timur Turlov, the group is “entering Turkey with a digital product, with an ecosystem centered around the SuperApp.” Plans also include expanding subsidiary financial companies in the UAE and Pakistan.
In a February interview with Bloomberg, Timur Turlov said that the company is also considering acquiring another bank in Kazakhstan. The corporation is also exploring the possibility of obtaining a license in one of the countries of Western Europe.
In international markets, Freedom Bank and its SuperApp are becoming a key gateway for deploying the group’s fintech ecosystem.
