IMF urges Kazakhstan to monitor banking sector vulnerabilities

ALMATY. May 30 (Interfax) - Kazakhstan continues its efforts to limit banking sector risks to financial stability, though maintaining vigilance over potential vulnerabilities remains essential, the International Monetary Fund (IMF)'s press service said following the conclusion of an IMF mission to Kazakhstan.

While banks remain financially sound and work continues to contain risks to financial stability, ongoing monitoring of vulnerability factors remains necessary," the IMF said.

Banks overall continue to demonstrate strong capitalization, liquidity and profitability, the IMF said.

Consumer lending remains elevated, it said.

"Although overall lending growth slowed to 20% in March 2025 (year-on-year), consumer lending remains elevated at around 31% (YoY). The volume of non-performing assets related to consumer loans has increased, though their share of total assets has changed only marginally," it said.

"Plans to tighten macroprudential policy deserve positive recognition, as these measures should help mitigate financial stability risks stemming from rapid consumer lending growth," it said.

An IMF mission worked in Kazakhstan from May 15 to 23, 2025.

Kazakhstan's banking sector comprises 21 institutions.