Under current legislation, commercial banks in Kyrgyzstan are allowed to invest no more than 15 percent of their regulatory capital in non-banking organizations. However, the National Bank has proposed lifting these restrictions.
The draft law was approved by the Committee on Budget, Economic, and Fiscal Policy of Parliament in all three readings at once.
According to Deputy Chairman of the National Bank, Bektur Aliev, banks will now be allowed to invest not only in financial and banking institutions but also in any other companies. However, in order to do so, a commercial bank has to submit the necessary documents to the National Bank, which will then review the request and give its official conclusion.
