NATIONAL BANK OF THE KYRGYZ REPUBLIC

RESOLUTION

of August 15, 2018 No. 2018-P-14/33-4-(PS)

On Amendments and Additions to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation 'On Bank Payment Cards of the Kyrgyz Republic' dated December 9, 2015 No. 76/8"

In accordance with Articles 20 and 68 of the Law of the Kyrgyz Republic "On the National Bank of the Kyrgyz Republic, Banks and Banking Activity", the Board of the National Bank of the Kyrgyz Republic

RESOLVES:

1. Make amendments and additions to the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 9, 2015 No. 76/8 "On Approval of the Regulation 'On Bank Payment Cards in the Kyrgyz Republic'" (attached).

2. The Legal Department:

• publish this resolution on the official website of the National Bank of the Kyrgyz Republic;

• after official publication, send this resolution to the Ministry of Justice of the Kyrgyz Republic for inclusion in the State Register of Regulatory Legal Acts of the Kyrgyz Republic.

3. This resolution enters into force from the day of official publication.

4. The Payment Systems Department shall bring this resolution to the attention of commercial banks and CJSC "Interbank Processing Center".

5. Control over the execution of this resolution is entrusted to the Deputy Chairman of the National Bank of the Kyrgyz Republic L.Dj. Orozbaeva.

Chairman of the Board of the National Bank of the Kyrgyz Republic		T. Abdygulov

		Appendix to the Resolution of the National Bank of the Kyrgyz Republic dated August 15, 2018 No. 2018-P-14/33-4-(PS)

AMENDMENTS AND ADDITIONS in the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation 'On Bank Payment Cards in the Kyrgyz Republic' dated December 9, 2015 No. 76/8"

I. Make the following amendments and additions to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation 'On Bank Payment Cards in the Kyrgyz Republic' dated December 9, 2015 No. 76/8":

in the Regulation "On Bank Payment Cards in the Kyrgyz Republic", approved by the aforementioned Resolution:

• in paragraph 5:

• rewrite the twenty-seventh paragraph as follows:

"POS (point-of-sale) terminal - a terminal - banking equipment installed in a trade and service enterprise for accepting payment for goods and services via payment cards, electronic wallets and/or other remote service tools, as well as for issuing cash from bank cards";

• in the thirty-second paragraph, after the words "operations via the internet", add the following sentence: "in accordance with the requirements of this Regulation and legislation on AML/CFT";

• rewrite the forty-first paragraph as follows:

"Trade and service enterprise (TSE) - a legal entity or individual entrepreneur that, in accordance with a contract concluded with the acquirer, accepts cards for payment for goods or services, issuance of cash with the preparation of documents confirming the completion of card operations. Funds held on a bank card may be issued only in the presence of an agency agreement with commercial banks and in accordance with limits established by regulatory legal acts of the National Bank, provided that the requirements of the legislation of the Kyrgyz Republic on AML/CFT are met regarding the agent's performance of corresponding simplified identification and verification measures for the cardholder";

• supplement the paragraph with the following paragraphs:

"Virtual POS terminal - a web interface replacing a physical POS terminal and interacting with the bank's system.

Virtual card - a special card linked to a bank account, intended for e-commerce and issued electronically without a physical carrier, for purchasing goods on the internet. A virtual card is not intended for paying for purchases in TSEs via POS terminals or for withdrawing cash from an ATM.

Mobile POS terminal (mPOS) - a device and software for smartphones or tablet computers that allows cashless payment using a bank card.";

• rewrite paragraph 15 as follows:

"15. The cardholder, in accordance with the contract concluded with the issuer, may via the card:

• pay for purchased goods and services in TSEs, make online purchases;

• receive cash in ATMs/ATMs and from bank agents;

• transfer funds from their bank account to the recipient's account in accordance with the legislation of the Kyrgyz Republic;

• make money transfers through money transfer systems in accordance with the legislation of the Kyrgyz Republic;

• make payments via remote/distant service systems;

• replenish the card through bank cash desks, bank cash-in terminals, and agents of extended spectrum of bank retail services, ATMs, money transfer systems, and electronic wallets.";

• supplement the Regulation with paragraph 15-1 as follows:

"15-1. The limit for cashing out funds from a bank card through a bank agent must not exceed 150 calculation indicators per day for one cardholder.";

• rewrite paragraph 24 as follows:

"24. Payment of salaries within the framework of salary projects of budget organizations, as well as pensions, benefits, and other receipts/payments of budget funds, must be carried out by the bank only via the national Elkart card.";

• supplement paragraph 30 with the following second paragraph:

"When issuing a card, the bank must identify and verify the client in accordance with the legislation of the Kyrgyz Republic.";

• in paragraph 33:

rewrite sub-paragraphs 1 and 2 as follows:

"1) personal data of the account holder (surname, first name, patronymic, passport data (or other documents confirming identity in accordance with the legislation of the Kyrgyz Republic) and other personal data of the account holder for conducting client identification and beneficial owner (beneficiary) identification in accordance with the legislation of the Kyrgyz Republic);

2) personal data of the cardholder (surname, first name, patronymic, passport data (or data of another document confirming identity in accordance with the legislation of the Kyrgyz Republic) and other personal data of the cardholder for conducting client identification and beneficial owner (beneficiary) identification in accordance with the legislation of the Kyrgyz Republic).";

• in sub-paragraph 8, after the words "unauthorized person", add the words "including fraudulent operations";

• rewrite the fifteenth paragraph as follows:

"The issuer must inform cardholders about the presence of high-risk operations for which, according to system rules, a refund of funds is impossible and/or claim work is not provided. The possibility of conducting such operations must be blocked by default and provided only upon request by the cardholder. For the segmentation of card products and promotion, the issuance of specialized cards (virtual) with the default connection of high-risk operations is allowed in the presence of a notification on the card itself and the written consent of the cardholder. Such cards cannot be used within the framework of regular payments (salary projects, pensions, benefits, deposit payments, etc.).";

• in paragraph 48, after the word "Appendix 3", add the word "and Appendix 4";

• in Appendices 1 and 2, recognize the abbreviations "National Bank of the Kyrgyz Republic Payment Systems Department" as having lost force;

• rewrite Appendix 3 as follows:

		"Appendix 3 to the Regulation 'On Bank Payment Cards in the Kyrgyz Republic'"

REPORT on the registry of peripheral devices (ATMs, terminals and automated self-service terminals, other devices constituting the technical infrastructure for accepting and servicing bank payment cards)

Bank Name: ______

Bank TIN: ______

Bank OKPO: ______

As of "_" ______ 20 year

No.	Type of peripheral device	ID of peripheral device	Location of peripheral device				Name of payment systems serviced by the peripheral device	Currency	Working hours
Location	Region	City, urban-type settlement, village	Street
1	2	3	4	5	6	7	8	9	10
	Indicates the type of peripheral device: (POS terminal-TSE, POS terminal-ATM, cash-in terminal, ATM cash out, ATM cash out + cash-in, virtual POS terminal, mPOS, other peripheral device)	Device IDs are indicated according to bank registration numbers	Indicates the name of the place where the device is installed (TSE, organization, etc.) (web address - for virtual POS terminals (V-POS/mPOS))	Indicates the name of the region of the Kyrgyz Republic (data from "Classifier of Administrative Territorial Units - SOATE")	Indicates the name of the city, district centers, urban-type settlement, village (data from "Classifier of Administrative Territorial Units - SOATE")	Indicates the name of the street	Indicates the names of payment systems	Indicates the currency code	Indicates the working hours of the device, data is indicated in numeric format: HH.MM-HH.MM., in case of round-the-clock work, indicate 24/7

Chairman of the Board (signature, seal)

Deciphering of signature";

• supplement the Regulation with Appendix 4 as follows:

		"Appendix 4 to the Regulation 'On Bank Payment Cards in the Kyrgyz Republic'"

RULES for filling out the report on the registry of peripheral devices (ATMs, terminals and automated self-service terminals, other devices constituting the technical infrastructure for accepting and servicing bank payment cards)

1. The registry of peripheral devices reflects information about peripheral devices providing remote access to the client's bank account via payment cards, as well as without using payment cards (cash-in terminals) with indication of their specific location and minimal information about the device itself.

2. In column 2 "Type of peripheral device", the type of device is indicated: POS terminal-TSE, POS terminal-ATM, cash-in terminal, ATM cash out, ATM cash out + cash-in, virtual POS terminal, mPOS, and other peripheral device.

3. In column 3 "ID of peripheral device", the identification numbers of the device are indicated, according to bank registration numbers.

4. In column 4 "Location", the name of the place where the device is located (TSE, organization, etc.) is indicated. For virtual POS terminals (V-POS), the web address is indicated.

5. In column 5 "Region", the name of the region of the Kyrgyz Republic is indicated in accordance with the reference book of the National Statistical Committee of the Kyrgyz Republic "Classifier of Administrative Territorial Units - SOATE".

6. In column 6 "City, urban-type settlement, village", the name of the city, district centers, urban-type settlement, village is indicated in accordance with the reference book of the National Statistical Committee of the Kyrgyz Republic "Classifier of Administrative Territorial Units - SOATE".

7. In column 7 "Street", the name of the street is indicated. In the event that peripheral devices are installed in places without a specific address (name of the street, No.), more detailed information is indicated in column 4 "Location", i.e., the name of the organization, structural subdivision of this organization, etc.

8. In column 8 "Name of payment systems serviced by the peripheral device", the names of payment systems serviced by this card device are indicated, according to the reference book "Type of payment system" (names of systems must be indicated in one cell).

9. In column 9 "Currency", the currency codes issued or accepted by this device are indicated (currency codes must be indicated in one cell).

10. In column 10 "Working hours", the working hours of the device are indicated.

A cover letter must be attached to the Report, which reflects information on changes made (opening/closing and relocation of banking equipment).

Reports/notices must be provided in the form and timeframes established by the National Bank. Commercial banks are responsible for strict compliance with all conditions and requirements of this Regulation, including providing timely and accurate information.".