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Development trends of the banking sector 

(as of January 31, 20241

As of January 31, 2024 (hereinafter referred to as the reporting date), 23 commercial banks and 319 branches of the commercial banks operated in the Kyrgyz Republic. 

The banking system received net profit in the amount of KGS 2265.8 million year-to-date2

Aggregate assets of the banking sector increased by 1.1 percent year-to-date and totaled KGS 621.2 billion (at the end of 2023 KGS 614.3 billion). 

Volume of the credit portfolio3 of clients of the banking sector decreased by 0.3 percent year-to-date and amounted to KGS 256.9 billion (at the end of 2023 KGS 257.8 billion), including the sectors as follows: 

- loans for industry amounted to KGS 13.7 billion (increased by 2.5 percent); 

- loans for agriculture amounted to KGS 41.7 billion (decreased by 1.2 percent); 

- loans for commerce amounted to KGS 73.5 billion (decreased by 0.7 percent); 

- loans for construction amounted to KGS 11.8 billion (decreased by 0.9 percent); 

- loans for mortgage amounted to KGS 29.9 billion (decreased by 0.3 percent); 

- consumer loans amounted to KGS 56.1 billion (increased by 0.6 percent); 

- other loans amounted to KGS 30.2 billion (decreased by 0.8 percent). 

The share of non-performing loans in the credit portfolio of the banking system made 9.5 percent or KGS 24.5 billion (at the end of 2023 9.2 percent, or KGS 23.8 billion). The volume of overdue loans increased by KGS 0.2 billion year-to-date, or 2.9 percent and amounted to KGS 6.6 billion or 2.6 percent of the credit portfolio of the banking system. 

Total liabilities of the banking sector increased by 0.9 percent year-to-date and amounted to KGS 514.7 billion (at the end of 2023 KGS 510 billion). 

Aggregate deposit base of clients of the banking sector4 amounted to KGS 431.3 billion (at the end of 2023 KGS 431.3 billion) and did not change compared to the beginning of the year, including: 

- deposits of the legal entities totaled KGS 162.2 billion (decreased by 0.9 percent); 

- deposits of the individuals totaled KGS 159.7 billion (decreased by 2.6 percent); 

- deposits of the authorities totaled KGS 44.5 billion (increased by 13.9 percent); 

- deposits of the non-residents totaled KGS 62.1 billion (decreased by 0.2 percent); 

- deposits of other financial-credit organizations totaled KGS 2.9 billion (increased by 11.9 percent). 

The level of dollarization of the credit portfolio of the banking sector has increased by 0.1 percent since the beginning of 2024 and made 22.1 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 45.42 percent. 

The net total capital of the banking sector being applied to calculate the prudential standards set by the NBKR increased by 2 percent year-to-date and amounted to KGS 108.4 billion (at the end of 2023 KGS 106.3 billion). The share of foreign participation in capital of the banking sector made 20.3 percent or KGS 12.2 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 25.1 percent (at the end of 2023 24.8 percent) with the standard of 12 percent, the leverage ratio of the banking sector made 16.1 percent (at the end of 2023 12.4 percent) with the standard of 6 percent. 

The liquidity ratio of the banking system made 79.4 percent (at the end of 2023 77.4 percent) with the standard of 45 percent. 

Return on assets of the banking sector (ROA) was 4.4 percent (at the end of 2023 4.4 percent) and return on equity (ROE) made 30.3 percent (at the end of 2023 32.4 percent). 

The level of financial intermediation was as follows:  

- (assets / GDP) made 50.1 percent (at the end of 2023 50.0 percent); 

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

- (deposits4 / GDP) made 34.8 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 1726 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.