Consumer lending slows down in Kazakhstan

ALMATY. KAZINFORM – Chairwoman of the Agency for Financial Market Regulation and Development Madina Abylkasymov pointed to the slowdown in consumer lending in Kazakhstan, Kazinform correspondent reports.

During the round table on the development of financial second during the coronavirus pandemic, Ms Abylkasymov said that consumer lending has significantly slowed down in the country, adding that one of the reasons is the reduced demand and income of the population.

«The amount of consumer lending by banks rose by a mere 0.7% to KZT4.2tln in 9 months,» she said, noting that the 2019 year saw an 18.6% increase.

According to her, in order to prevent growth in non-performing loans the ban on penalties and commissions on unsecure consumer credits and micro credits of individuals who are 90 days late on a payment is in place since January 1.

She went on to say that measures to reduce the debt burden had allowed to avoid increasing number of non-performing loans, which peaked at 9.4% in May, and fell to 8.4% in October.