Resolution of the Board of the National Bank of the Kyrgyz Republic No. 2021-P-12/70-2-(NPA) of December 15, 2021 on Amendments to Certain Regulatory Legal Acts of the National Bank of the Kyrgyz Republic

NATIONAL BANK OF THE KYRGYZ REPUBLIC

RESOLUTION

of December 15, 2021 No. 2021-P-12/70-2-(NPA)

On Amendments to Certain Regulatory Legal Acts of the National Bank of the Kyrgyz Republic

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 changes to the following resolutions of the Board of the National Bank of the Kyrgyz Republic (attached):

• "On Approval of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" dated July 21, 2004 No. 18/1;

• "On Approval of the Instruction "On Credit Limitations" dated September 15, 2004 No. 24/4;

• "On Approval of the Instruction "On Accounting for Payment Assignments in Banks" dated November 25, 2004 No. 30/5;

• "On Certain Regulatory Legal Acts of the National Bank of the Kyrgyz Republic" dated August 25, 2005 No. 26/5;

• "On Approval of the Regulation "On the Periodic Regulatory Report of Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance" dated March 30, 2011 No. 20/4;

• "On Approval of the Instruction "On the Limits of Financing Carried Out in Accordance with Islamic Principles of Banking and Finance" dated October 12, 2012 No. 40/1;

• "On Approval of the Minimum Requirements for the Formation of a Credit Portfolio Accepted as Collateral" dated December 27, 2017 No. 2017-P-15/54-4-(NPA).

2. This resolution enters into force upon the expiration of three months from the date of official publication.

3. 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.

4. The Department of Supervision and Licensing Methodology shall bring this resolution to the attention of commercial banks, the NGO "Union of Banks of Kyrgyzstan", regional departments, and the representative office of the National Bank of the Kyrgyz Republic in the Batken region.

5. Control over the implementation of this resolution is entrusted to the member of the Board of the National Bank of the Kyrgyz Republic, who oversees the Department of Supervision and Licensing Methodology.

Chairman	K. Bokontaev

Appendix to the Resolution of the Board of the National Bank of the Kyrgyz Republic of December 15, 2021 No. 2021-P-12/70-2-(NPA)

On Amendments to Certain Regulatory Legal Acts of the National Bank of the Kyrgyz Republic

1. Make the following change to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" dated July 21, 2004 No. 18/1:

in the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic", approved by the aforementioned Resolution:

• paragraph two of point 6.5 is to be worded as follows:

"This report is submitted to the relevant structural subdivision of the National Bank in electronic format, signed by the electronic signature of the responsible official of the bank."

2. Make the following change to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Instruction "On Credit Limitations" dated September 15, 2004 No. 24/4:

in the Instruction "On Credit Limitations", approved by the aforementioned Resolution:

• the note to Appendix 1 is to be worded as follows:

"* If the bank has no large risks or there are fewer than 15, then in the remaining rows, after filling in, the largest aggregate debt is indicated in descending order. If the bank has more than 15 large risks, then it is necessary to submit their list separately in electronic format, signed by the electronic signature of the responsible official, in the same order and form."

3. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Instruction "On Accounting for Payment Assignments in Banks" dated November 25, 2004 No. 30/5:

in the Instruction "On Accounting for Payment Assignments in Banks", approved by the aforementioned Resolution:

• point 2.1 is to be worded as follows:

"2.1. Reports on forms PB-1 and PB-2 are submitted to the National Bank in electronic format, signed by the electronic signature of the responsible official in accordance with the requirements of this instruction.";

• the first sentence of point 2.3 is to be worded as follows:

"Information on balances of funds at the beginning and end of the reporting period on forms PB-1K, PB-1N, PB-1SI is submitted in electronic format, signed by the electronic signature of the responsible official and must contain the following:";

• the second sentence of point 2.4 is to be worded as follows:

"This reporting form is submitted in electronic format, signed by the electronic signature of the responsible official.";

• point 3.16 is to be worded as follows:

"3.16. Reporting forms provided in electronic format, signed by the electronic signature of the responsible official, must include the following:";

• the fourth sentence of point 3.17 is to be worded as follows:

"The report on form PB-2 is submitted in electronic format, signed by the electronic signature of the responsible official."

4. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Certain Regulatory Legal Acts of the National Bank of the Kyrgyz Republic" dated August 25, 2005 No. 26/5:

in the Regulation "On the Periodic Regulatory Banking Report", approved by the aforementioned Resolution:

• point 4.1 is to be worded as follows:

"4.1. An employee must be appointed in each bank responsible for the completeness of content, submission deadlines, and correct completion of the PRBR. This employee is also responsible for interaction with the National Bank on all issues concerning the information contained in the PRBR, and for conducting internal approval of reports where the signature of several officials is required when submitting reports in electronic format.

The bank's management bears full responsibility for reports signed by the electronic signature of the responsible official.";

• point 4.2 is to be worded as follows:

"4.2. The PRBR is submitted to the National Bank in the form according to Appendix 2 to this Regulation and in accordance with the requirements of the Regulation "On the Activity of the National Bank of the Kyrgyz Republic as a Certification Center for Open Key Electronic Digital Signature", approved by the Resolution of the Board of the National Bank of June 15, 2016 No. 25/6, within the deadlines established for each report via the electronic communication system (electronic information carriers), signed by the electronic signature of the responsible official.";

• point 4.3 is to be worded as follows:

"4.3. Reports in electronic format, signed by the electronic signature of the responsible official, are submitted to the National Bank within the established deadlines.";

• point 4.4 is to be worded as follows:

"4.4. Electronic versions of sections 1-37 of the PRBR are transmitted to the National Bank. At the same time, electronic versions of sections 19-37 of the PRBR must be accompanied by an electronic signature (ES). Cover letters of the established format for all sections of the PRBR must also be signed with ES and submitted in electronic format.";

• the seventh sentence of point 4.5 is to be worded as follows:

"Corrected reports in electronic format, signed by the electronic signature of the responsible official, must be submitted to the National Bank: daily and weekly reports - within 2 working days, all other reports - within 5 working days.";

• in the first sentence of point 4.7, the words "and paper" are to be excluded;

• point 4.11 is to be worded as follows:

"4.11. The Periodic Regulatory Banking Report must be submitted in the established form with the electronic signature of the responsible official."

5. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation "On the Periodic Regulatory Report of Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance" dated March 30, 2011 No. 20/4:

in the Regulation "On the Periodic Regulatory Report of Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance", approved by the aforementioned Resolution:

• the second sentence of point 9 is to be worded as follows:

"This employee is also responsible for interaction with the National Bank on all issues concerning the information contained in the PRBR, and for conducting internal approval of reports where the signature of several officials is required when submitting reports in electronic format.";

• point 10 is to be worded as follows:

"10. The PRBR is submitted to the National Bank in the form according to Appendix 2 to this Regulation and in accordance with the requirements of the Regulation "On the Activity of the National Bank of the Kyrgyz Republic as a Certification Center for Open Key Electronic Digital Signature", approved by the Resolution of the Board of the National Bank of June 15, 2016 No. 25/6, within the deadlines established for each report via the electronic communication system (electronic information carriers), signed by the electronic signature of the responsible official.";

• point 11 is to be worded as follows:

"11. Reports in electronic format, signed by the electronic signature of the responsible official, are submitted to the National Bank within the established deadlines.";

• point 12 is to be worded as follows:

"12. Electronic versions of sections 1-31 of the PRBR are transmitted to the National Bank. Electronic versions of sections 19-31 of the PRBR must be accompanied by an electronic signature (ES). Cover letters of the established format for all sections of the PRBR must also be signed with ES and submitted in electronic format."

6. Make the following change to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Instruction "On the Limits of Financing Carried Out in Accordance with Islamic Principles of Banking and Finance" dated October 12, 2012 No. 40/1:

in the Instruction "On the Limits of Financing Carried Out in Accordance with Islamic Principles of Banking and Finance", approved by the aforementioned Resolution:

• the note to Appendix 1 is to be worded as follows:

"* If the Islamic bank has no large risks or there are fewer than 15, then in the remaining rows, after filling in, the largest aggregate debt is indicated in descending order. If the Islamic bank has more than 15 large risks, then it is necessary to submit their list separately in electronic format, signed by the electronic signature of the responsible official in the same order and form."

7. Make the following change to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Minimum Requirements for the Formation of a Credit Portfolio Accepted as Collateral" dated December 27, 2017 No. 2017-P-15/54-4-(NPA):

in the Minimum Requirements for the Formation of a Credit Portfolio Accepted as Collateral, approved by the aforementioned Resolution:

• point 12 is to be worded as follows:

"12. In the event that the rights to claim under a credit portfolio are accepted as collateral by the National Bank, the bank must submit a report on the credit portfolio to the National Bank in accordance with the terms of the pledge agreement, in electronic format, signed by the electronic signature of the responsible official, no later than the 5th day of the month following the reporting period."