Development trends of the banking sector 

(as of March 31, 20241) 

As of March 31, 2024 (hereinafter referred to as the reporting date), 23 commercial banks and 316 branches of the commercial banks operated in the Kyrgyz Republic. 

The banking system received net profit in the amount of KGS 6121.3 million year-to-date2. 

Aggregate assets of the banking sector increased by 7.3 percent year-to-date and totaled KGS 658.9 billion (at the end of 2023 – KGS 614.3 billion). 

Volume of the credit portfolio3 of clients of the banking sector increased by 1.9 percent year-to-date and amounted to KGS 262.7 billion (at the end of 2023 – KGS 257.8 billion), including the sectors as follows: 

- loans for industry amounted to KGS 13.8 billion (increased by 3 percent); 

- loans for agriculture amounted to KGS 42.4 billion (increased by 0.4 percent); 

- loans for commerce amounted to KGS 74.5 billion (increased by 0.7 percent); 

- loans for construction amounted to KGS 11.7 billion (decreased by 1.9 percent); 

- loans for mortgage amounted to KGS 30.8 billion (increased by 2.7 percent); 

- consumer loans amounted to KGS 58.8 billion (increased by 5.3 percent); 

- other loans amounted to KGS 30.7 billion (increased by 0.9 percent). 

The share of non-performing loans in the credit portfolio of the banking system made 10.5 percent or KGS 27.4 billion (at the end of 2023 – 9.2 percent, or KGS 23.8 billion). The volume of overdue loans increased by KGS 0.5 billion year-to-date, or 8 percent and amounted to KGS 6.9 billion or 2.6 percent of the credit portfolio of the banking system. 

Total liabilities of the banking sector increased by 7.7 percent year-to-date and amounted to KGS 549.3 billion (at the end of 2023 – KGS 510 billion). 

Aggregate deposit base of clients of the banking sector4 increased by 8 percent year-to-date and amounted to KGS 465.7 billion (at the end of 2023 – KGS 431.3 billion), including: 

- deposits of the legal entities totaled KGS 178.9 billion (increased by 9.3 percent); 

- deposits of the individuals totaled KGS 168 billion (increased by 2.5 percent); 

- deposits of the authorities totaled KGS 50.5 billion (increased by 29.4 percent); 

- deposits of the non-residents totaled KGS 65.8 billion (increased by 5.8 percent); 

- deposits of other financial-credit organizations totaled KGS 2.6 billion (increased by 1.6 percent). 

The level of dollarization of the credit portfolio of the banking sector has decreased by 0.3 percent since the beginning of 2024 and made 21.7 percent. The level of dollarization of the deposit base of the banking sector decreased by 0.2 percentage points compared to the beginning of 2024 and made 45.52 percent. 

The net total capital of the banking sector being applied to calculate the prudential standards set by the NBKR increased by 4.4 percent year-to-date and amounted to KGS 110.9 billion (at the end of 2023 – KGS 106.3 billion). The share of foreign participation in capital of the banking sector made 20.2 percent or KGS 12.3 billion of the paid-up authorized capital of the banking sector (at the end of 2023 – 20.3 percent or KGS 12.2 billion). 

The total capital adequacy ratio of the banking sector made 24.9 percent (at the end of 2023 – 24.8 percent) with the standard of 12 percent, the leverage ratio of the banking sector made 15 percent (at the end of 2023 – 12.4 percent) with the standard of 6 percent. 

The liquidity ratio of the banking system made 82.1 percent (at the end of 2023 – 77.4 percent) with the standard of 45 percent. 

Return on assets of the banking sector (ROA) was 3.9 percent (at the end of 2023 – 4.4 percent) and return on equity (ROE) made 25.1 percent (at the end of 2023 – 32.4 percent). 

The level of financial intermediation was as follows:  

- (assets / GDP) made 52 percent (at the end of 2023 – 50 percent); 

- (loans3 / GDP) made 20.7 percent (at the end of 2023 – 21 percent); 

- (deposits4 / GDP) made 36.8 percent (at the end of 2023 – 35.1 percent). 

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1 Preliminary data. 

2 For reference: in the same period of 2023, the amount of profit totaled KGS 5414.1 million. 

3 Excluding loans extended to the banks and other financial-credit organizations. 

4 Excluding monetary funds of the banks and other financial-credit organizations on the deposit and settlement accounts.