Resolution of the Board of the National Bank of the Kyrgyz Republic No. 2025-P-12/46-1-(NPA) of September 12, 2025 on Amendments to Certain Regulatory Legal Acts of the National Bank of the Kyrgyz Republic

RESOLUTION OF THE BOARD OF THE NATIONAL BANK OF THE KYRGYZ REPUBLIC

of September 12, 2025 No. 2025-P-12/46-1-(NPA)

ON AMENDMENTS TO CERTAIN REGULATORY LEGAL ACTS OF THE NATIONAL BANK OF THE KYRGYZ REPUBLIC

In accordance with Articles 5, 9 and 64 of the Constitutional Law of the Kyrgyz Republic "On the National Bank of the Kyrgyz Republic", the Board of the National Bank of the Kyrgyz Republic resolves:

1. Make amendments to the following resolutions of the Board of the National Bank of the Kyrgyz Republic (attached):

1. "On the Main Requirements for the Audit Committee" of November 20, 2003 No. 32/7;

2. "On the List of main documents generated in the activities of commercial banks and financial-credit organizations licensed by the National Bank of the Kyrgyz Republic, indicating storage periods" of August 27, 2004 No. 22/9;

3. "On the Instruction "On the procedure for complying with limits of open currency position and open position in precious metals by banks carrying out operations in accordance with Islamic principles of banking and financing" of October 14, 2009 No. 41/4;

4. "On approval of the Instruction on determining capital adequacy (adequacy) standards for banks carrying out operations in accordance with Islamic principles of banking and financing" of December 28, 2009 No. 51/4;

5. "On certain regulatory legal acts of the National Bank of the Kyrgyz Republic" of December 28, 2009 No. 51/6;

6. "On approval of the Instruction "On the limits of financing carried out in accordance with Islamic principles of banking and financing" of October 12, 2012 No. 40/1;

7. "On approval of the "Regulation on minimum requirements for credit risk management in carrying out operations in accordance with Islamic principles of banking and financing" of September 25, 2013 No. 35/13;

8. "On approval of the Regulation on minimum requirements for credit risk management in microfinance organizations not attracting deposits (deposits)" of September 25, 2013 No. 35/14;

9. "On approval of the "Regulation on minimum requirements for credit risk management in credit unions carrying out operations in accordance with Islamic principles of banking and financing" of December 23, 2013 No. 52/7;

10. "On approval of the "Rules for regulating the activities of microfinance organizations carrying out operations in accordance with Islamic principles of banking and financing" of May 30, 2014 No. 24/11;

11. "On approval of the Regulation "On requirements for the formation of financial reporting of commercial banks carrying out operations in accordance with Islamic principles of banking and financing" of May 31, 2017 No. 21/13;

12. "On approval of the Rules for forming the system of internal control and internal audit in banks and non-bank financial-credit organizations licensed and regulated by the National Bank of the Kyrgyz Republic" of June 15, 2017 No. 2017-P-12/25-3-(NPA);

13. "On approval of the Regulation "On minimum requirements for risk management in banks carrying out operations in accordance with Islamic principles of banking and financing" of July 18, 2018 No. 2018-P-12/30-3-(BS);

14. "On approval of the Instruction on the distribution of profit/loss on bank accounts, accounts for bank deposits (deposits) in accordance with Islamic principles of banking and financing" of November 25, 2020 No. 2020-P-12/67-3-(NPA);

15. "On approval of the Regulation "On requirements for the formation, publication and submission to the National Bank of the Kyrgyz Republic of financial reporting by non-bank financial-credit organizations carrying out operations in accordance with Islamic principles of banking and financing" of February 14, 2024 No. 2024-P-12/5-4-(NPA).

2. From the date of entry into force of this resolution, recognize as having lost force:

1. resolution of the Board of the National Bank of the Kyrgyz Republic "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project" of October 30, 2006 No. 32/2;

2. resolution of the Board of the National Bank of the Kyrgyz Republic "On amending the Resolution of the Board of the NBKR No. 32/2 of 30.10.2006 "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project" of November 15, 2006 No. 36/1;

3. resolution of the Board of the National Bank of the Kyrgyz Republic "On amending the resolutions of the Board of NBKR No. 32/2 of 30.10.2006 "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project" No. 36/1 of 15.11.2006 "On amending the Resolution of the Board of NBKR No. 32/2 of 30.10.2006 "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project" of November 30, 2006 No. 38/1;

4. resolution of the Board of the National Bank of the Kyrgyz Republic "On amending the resolution of the Board of the National Bank of the Kyrgyz Republic of 30.10.06 No. 32/2 "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project" of June 29, 2007 No. 33/1;

5. resolution of the Board of the National Bank of the Kyrgyz Republic "On adding to the resolution of the Board of the National Bank of the Kyrgyz Republic of 30.10.06 No. 32/2 "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project", registered in the Ministry of Justice of the Kyrgyz Republic on 30.11.06, registration number 120-06" of April 25, 2008 No. 18/2;

6. resolution of the Board of the National Bank of the Kyrgyz Republic "On amending and adding to the resolution of the Board of the National Bank of the Kyrgyz Republic of October 30, 2006 No. 32/2 "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project", registered in the Ministry of Justice of the Kyrgyz Republic on November 30, 2006, registration number 120-06" of December 17, 2008 No. 47/3;

7. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On amending and adding to certain regulatory legal acts of the National Bank of the Kyrgyz Republic" of August 28, 2013 No. 32/8:

• second paragraph of paragraph 1;

• paragraph I of the appendix;

8. resolution of the Board of the National Bank of the Kyrgyz Republic "On adding to the resolution of the Board of the National Bank of the Kyrgyz Republic "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project" of October 30, 2006 No. 32/2" of June 11, 2014 No. 25/9;

9. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On amending certain regulatory legal acts of the National Bank of the Kyrgyz Republic" of July 16, 2014 No. 32/6:

• third paragraph of paragraph 1;

• paragraph 2 of the Appendix;

10. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On amending and adding to certain resolutions of the Board of the National Bank of the Kyrgyz Republic" of February 10, 2016 No. 7/2:

• twenty-fifth paragraph of paragraph 1;

• paragraph 24 of the Appendix;

11. resolution of the Board of the National Bank of the Kyrgyz Republic "On adding and amending the resolution of the Board of the National Bank of the Kyrgyz Republic "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project" of October 30, 2006 No. 32/2" of September 28, 2016 No. 40/4;

12. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On amending and adding to certain resolutions of the Board of the National Bank of the Kyrgyz Republic" of December 21, 2016 No. 49/8:

• fourth paragraph of paragraph 1;

• paragraph 3 of the Appendix;

13. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On amending and adding to certain regulatory legal acts of the National Bank of the Kyrgyz Republic" of May 31, 2017 No. 21/10:

• sixth paragraph of paragraph 1;

• paragraph 4 of the Appendix;

14. resolution of the Board of the National Bank of the Kyrgyz Republic "On amending the resolution of the Board of the National Bank of the Kyrgyz Republic "On the Regulation "On the implementation of Islamic financing principles in the Kyrgyz Republic within the framework of a pilot project" of October 30, 2006 No. 32/2" of December 27, 2017 No. 2017-P-12/54-12-(BS);

15. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On amending and adding to certain regulatory legal acts of the National Bank of the Kyrgyz Republic" of March 28, 2018 No. 2018-P-12/10-6-(BS):

• second paragraph of paragraph 1;

• paragraph 1 of the Appendix;

16. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On approving the Regulation "On minimum requirements for organizing internal control in commercial banks for the purpose of combating terrorist financing and legalization (money laundering) of criminal income", the Regulation "On the procedure for conducting exchange operations with cash foreign currency in the Kyrgyz Republic" and amending and adding to certain regulatory legal acts of the National Bank of the Kyrgyz Republic on issues of combating terrorist financing and legalization (money laundering) of criminal income" of August 14, 2019 No. 2019-P-12/42-1-(NPA):

• fourteenth paragraph of paragraph 3;

• paragraph 13 of Appendix 3;

17. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On amending certain regulatory legal acts of the National Bank of the Kyrgyz Republic" of September 23, 2020 No. 2020-P-12/51-1-(NPA):

• second paragraph of paragraph 1;

• paragraph 1 of the Appendix;

18. in the resolution of the Board of the National Bank of the Kyrgyz Republic "On amending certain regulatory legal acts of the National Bank of the Kyrgyz Republic" of November 16, 2022 No. 2022-P-12/70-1-(NPA):

• third paragraph of paragraph 1;

• twelfth paragraph of paragraph 1;

• paragraph 2 of the Appendix;

• paragraph 11 of the Appendix;

19. resolution of the Board of the National Bank of the Kyrgyz Republic "On approving the Regulation "On requirements for the formation of financial reporting of CJSC "EcoIslamicBank" on the results of operations carried out within the framework of the implementation of the pilot project for the introduction of Islamic financing principles in the Kyrgyz Republic" of May 31, 2017 No. 21/14.

3. The Legal Department:

• from the date of receipt of the corresponding documents, within 3 (three) working days, 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. This resolution shall enter into force after 15 (fifteen) days from the date of official publication.

5. The Supervision Methodology Department shall, within 3 (three) working days from the date of official publication, bring this resolution to the attention of commercial banks, non-bank financial-credit organizations, CJSC "Union of Banks of Kyrgyzstan", CJSC "Association of Microfinance Organizations", JSC "Financial Company of Credit Unions", CJSC "National Association of Credit Unions and Cooperatives".

6. The "Secretariat of the Board" Department shall, within 3 (three) working days, bring this resolution to the attention of the Banking Supervision Department, the Non-Bank Organizations Supervision Department, the Licensing Department, regional departments, and the Representation of the National Bank of the Kyrgyz Republic in the Batken Region.

7. Control over the implementation of this resolution shall be entrusted to a member of the Board of the National Bank of the Kyrgyz Republic overseeing the Supervision Methodology Department.

Chairman		M. Turgunbaev

		Appendix to the Resolution of the Board of the National Bank of the Kyrgyz Republic of September 12, 2025 No. 2025-P-12/46-1-(NPA)

AMENDMENTS

to certain regulatory legal acts of the National Bank of the Kyrgyz Republic

1. Make the following amendments to the resolution of the Board of the National Bank of the Kyrgyz Republic "On the Main Requirements for the Audit Committee" of November 20, 2003 No. 32/7:

in the Main Requirements for the Audit Committee approved by the aforementioned resolution:

• paragraph five of point 2.2 shall be worded as follows:

"- the procedure for interaction with the Board of Directors, bank management, internal and external auditors, and for banks carrying out operations in accordance with Islamic principles of banking and financing, also with the Committee for the Management of Funds of Investment Account Holders, the authorized structural unit for internal Shariah audit (or authorized internal auditor), the Shariah Council;";

• paragraph nineteen of point 6.1 shall be worded as follows:

"- in banks carrying out operations in accordance with Islamic principles of banking and financing - analyze and evaluate the bank's activities for compliance with Shariah standards, as well as based on reports from the authorized structural unit for internal Shariah audit (or authorized internal auditor).";

• point 7.1 shall be worded as follows:

"7.1. The procedure for interaction of the Committee with the Board of Directors, bank management, internal and external auditors, and for banks carrying out operations in accordance with Islamic principles of banking and financing, also with the Committee for the Management of Funds of Investment Account Holders, the authorized structural unit for internal Shariah audit (or authorized internal auditor), the Shariah Council shall be determined by each bank independently and in accordance with the regulatory legal acts of the National Bank.";

• the third paragraph of point 7.2 shall be worded as follows:

"- interaction of the Committee with bank management, internal and external auditors, and for banks carrying out operations in accordance with Islamic principles of banking and financing, also with the Committee for the Management of Funds of Investment Account Holders, the authorized structural unit for internal Shariah audit (or authorized internal auditor), the Shariah Council shall be determined based on the rights and duties of the Committee.".

2. Make the following change to the resolution of the Board of the National Bank of the Kyrgyz Republic "On the List of main documents generated in the activities of commercial banks and financial-credit organizations licensed by the National Bank of the Kyrgyz Republic, indicating storage periods" of August 27, 2004 No. 22/9:

in the List of main documents generated in the activities of commercial banks and financial-credit organizations licensed by the National Bank of the Kyrgyz Republic, indicating storage periods, approved by the aforementioned resolution:

• in point 7, after the words "supervisory board;", add the words "Shariah Council;".

3. Make the following change to the resolution of the Board of the National Bank of the Kyrgyz Republic "On the Instruction "On the procedure for complying with limits of open currency position and open position in precious metals by banks carrying out operations in accordance with Islamic principles of banking and financing" of October 14, 2009 No. 41/4:

in the Instruction on the procedure for complying with limits of open currency position and open position in precious metals by banks carrying out operations in accordance with Islamic principles of banking and financing, approved by the aforementioned resolution:

• sub-point 3.1.1 shall be worded as follows:

"3.1.1. As of the end of the business day, the bank's open long/short currency position for each foreign currency shall not exceed:

a) for currencies of states that are members of the OECD and/or for currencies of countries that have signed Article 8 of the Articles of Agreement with the IMF - 15% of the bank's net total capital.

Note: OECD - Organization for Economic Cooperation and Development.

The list of OECD member states is posted on the official website www.oecd.org. The list of countries that have signed Article 8 of the "Articles of Agreement" with the IMF is posted on the official website www.imf.org;

b) for currencies of countries that have not signed Article 8 of the Articles of Agreement with the IMF - 0% of the bank's net total capital (closed position).";

• the seventh paragraph of point 6.2, after the words "internal audit", add the words "and internal Shariah audit".

4. Make the following changes to the resolution of the Board of the National Bank of the Kyrgyz Republic "On approval of the Instruction on determining capital adequacy (adequacy) standards for banks carrying out operations in accordance with Islamic principles of banking and financing" of December 28, 2009 No. 51/4:

in the Instruction on determining capital adequacy (adequacy) standards for banks carrying out operations in accordance with Islamic principles of banking and financing, approved by the aforementioned resolution:

in point 24:

• the third paragraph shall be worded as follows:

"a) banknotes and coins of the Kyrgyz Republic, states that are members of the EAEU and OECD, and states having a long-term sovereign credit rating not lower than level "A", which is assigned by the rating agency Standard & Poor's, or an equivalent rating assigned by one of the rating agencies Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service and other rating agencies meeting the criteria established by point 3 of the Regulation "On economic standards and requirements mandatory for commercial banks of the Kyrgyz Republic", approved by the resolution of the Board of the National Bank of the Kyrgyz Republic of December 14, 2022 No. 2022-P-12/78-7-(NPA).";

• paragraphs seven and eight shall be worded as follows:

"g) claims on central (national) banks of states having a long-term sovereign credit rating not lower than level "A", which is assigned by the rating agency Standard & Poor's, or an equivalent rating assigned by one of the rating agencies Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service and other rating agencies meeting the criteria established by point 3 of the Regulation "On economic standards and requirements mandatory for commercial banks of the Kyrgyz Republic", approved by the resolution of the Board of the National Bank of the Kyrgyz Republic of December 14, 2022 No. 2022-P-12/78-7-(NPA), or being members of the OECD;"

d) requirements for governments of states having a long-term sovereign credit rating of at least "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or being members of the OECD (Islamic securities issued by governments);";

• paragraph eleven is to be worded as follows:

"zh) assets (or part thereof) secured by currency of states that are members of the EAEU and OECD, as well as states having a long-term sovereign credit rating of at least "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), as well as those held in a separate deposit account;";

• paragraph fifteen is to be worded as follows:

"b) assets (or part thereof) secured by Islamic securities at current market price and issued by governments of states having a long-term sovereign credit rating of at least "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or being members of the OECD;";

• paragraph nineteen is to be worded as follows:

"v) monetary assets in settlements with banks and other financial and credit organizations of states having a long-term sovereign credit rating of at least "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or being members of the OECD;";

• paragraph twenty-one is to be worded as follows:

"d) claims on banks and other financial and credit organizations of states having a long-term sovereign credit rating of at least "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or being members of the OECD, which are not affiliated organizations in relation to the reporting bank, as well as all assets based on guarantees of these institutions;";

• paragraphs thirty-two, thirty-three, thirty-four, and thirty-five are to be worded as follows:

"b) claims on governments and central banks of states having a long-term sovereign credit rating below level "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or not being members of the OECD (securities issued by governments of these states and other claims);

v) monetary assets in settlements with banks and other financial and credit organizations of states having a long-term sovereign credit rating below level "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or not being members of the OECD;

g) claims on banks and other financial and credit organizations of states having a long-term sovereign credit rating of at least "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or being members of the OECD, which are affiliated organizations in relation to the reporting bank;

d) claims on banks and other financial and credit organizations of states having a long-term sovereign credit rating below level "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody's Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or not being members of the OECD;."

5. 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 December 28, 2009 No. 51/6:

in the Regulation "On Classification of Assets and Corresponding Provisions to Cover Potential Losses and Losses in Operations in Accordance with Islamic Principles of Banking and Financing", approved by the aforementioned Resolution:

• paragraph two of paragraph 27 is to be recognized as having lost force;

• paragraph 27-1 is to be recognized as having lost force;

• paragraph 27-2 is to be supplemented with a second sentence as follows:

"In the event of a decrease in the markup/income (in annual, nominal percentage terms) for an existing asset carrying credit risk (without deterioration of the client's financial position) to a level not exceeding the maximum permissible interest rate established by the Law of the Kyrgyz Republic "On Limiting Usurious Activity in the Kyrgyz Republic" on the day of the decrease, classification of this asset from the day of the decrease in markup/income (in annual, nominal percentage terms) must be carried out in accordance with the requirements of this Regulation.";

• Chapter 9 is to be supplemented with paragraphs 36-1, 36-2, and 36-3 as follows:

"36-1. For the purposes of this Regulation, bank investments in securities and/or company capital are divided into market and non-market.

36-2. Market securities are not subject to classification if the bank can provide relevant reliable documentation proving that the markets on which they are listed and the market of these securities themselves are developed, effective, and transparent, allowing for the determination of the fair value of these securities.

Other securities included in the listings of stock exchanges of the Kyrgyz Republic under the highest and next-to-highest listing categories are not subject to classification, provided that the minimum requirements established by Appendix 1 to this Regulation are met.

36-3. Non-market investments in securities and/or company capital are classified as at least doubtful in the absence of information about the invested company, including financial statements, analysis of future cash flows, market position, company business plan, and other information that would allow assessment of the quality of these investments.

Non-market investments in securities are classified as at least "assets under observation" with the creation of a Provision for Potential Losses and Losses (PPLP) in the amount of 5% to 15% in the case of the presence of information about the invested company, its financial statements, and if an analysis of future cash flows, the company's market position, business plan, and other information allowing assessment of the quality of these investments with documentary confirmation has been conducted;";

• paragraph two of paragraph 40 is to be worded as follows:

"Note: Equivalent rating assigned by Standard & Poor's (USA), or an equivalent rating assigned by one of the Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Ratings Service (DBRS), and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA).";

• paragraph 1 of Appendix 1 is to be worded as follows:

"1. The presence of an investment rating of at least "BBB" or "Baa2" assigned by one of the rating agencies Standard & Poor’s, Fitch Ratings, Moody’s Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA).".

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

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

in paragraph 8:

• sub-paragraph 2 is to be worded as follows:

"2) funds placed in commercial banks having a long-term credit rating of at least "BBB" assigned by Standard & Poor’s, or an equivalent rating assigned by one of the rating agencies Fitch Ratings, Moody’s Investors Service, Japan Credit Rating Agency (JCR), Dominion Bond Rating Service (DBRS), and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), as well as loans guaranteed by such banks. In order to fall under this exception, the Islamic bank must have relevant documentation confirming the assigned rating, in particular the name of the rating agency, dates of initial assignment of the rating and last confirmation of the assigned rating, an acceptable source of information about the rating, as well as the last annual report of the correspondent bank;";

• sub-paragraph 4 is to be worded as follows:

"4) claims on governments or central banks having a long-term sovereign credit rating of at least level "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the rating agencies Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody’s Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA).";

• sub-paragraphs 5 and 6 of paragraph 9 are to be worded as follows:

"5) claims guaranteed by governments or central banks having a long-term sovereign credit rating of at least level "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the rating agencies Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody’s Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA), or guaranteed by international financial institutions (EBRD, ADB, etc.);

6. off-balance sheet obligations accepted by the Islamic bank, for which the beneficiary is central banks or governments having a long-term sovereign credit rating of at least level "A" assigned by Standard & Poor's, or an equivalent rating assigned by one of the rating agencies Japan Credit Rating Agency (JCR), Fitch Ratings, Dominion Bond Rating Service (DBRS), Moody’s Investors Service, and other rating agencies meeting the criteria established by paragraph 3 of the Regulation "On Economic Norms and Requirements Mandatory for Commercial Banks of the Kyrgyz Republic" approved by the Resolution of the Board of the National Bank of the Kyrgyz Republic dated December 14, 2022 No. 2022-P-12/78-7-(NPA);.".

7. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation on Minimum Requirements for Credit Risk Management in Operations in Accordance with Islamic Principles of Banking and Financing" dated September 25, 2013 No. 35/13:

in the Regulation "On Minimum Requirements for Credit Risk Management in Operations in Accordance with Islamic Principles of Banking and Financing", approved by the aforementioned Resolution:

• in the first sentence of paragraph 12, after the words "internal audit", add the words "and internal Shariah audit";

in paragraph 16:

• paragraph four is to be worded as follows:

"- procedure for interaction with the Board of Directors, the Board of Directors, and bank committees;";

• paragraphs five and six are to be supplemented as follows:

"- procedure for holding meetings, which may be held in person or in absentia. In this case, it should be determined that meetings with the physical participation of Shariah Council members must be held no less than once a year, and the Shariah Council has the authority to consider and decide on agenda items if 2/3 of the Shariah Council members are present at the meeting;

• procedure for early termination of the powers of Shariah Council members.";

• the second sentence of paragraph 71 is to be worded as follows:

"Independent assessment of assets for compliance with Shariah standards must be conducted by the department of internal Shariah audit (or authorized internal auditor).".

8. Make the following change to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation on Minimum Requirements for Credit Risk Management in Microfinance Organizations Not Attracting Deposits (Deposits)" dated September 25, 2013 No. 35/14:

in the Regulation "On Minimum Requirements for Credit Risk Management in Microfinance Organizations Not Attracting Deposits (Deposits)", approved by the aforementioned Resolution:

• Section 8 "Features of Credit Risk Management in MFOs Carrying Out Operations in Accordance with Islamic Principles of Banking and Financing" is to be supplemented with paragraph 45-1 as follows:

"45-1. The Shariah Council Regulation must define:

• organization of the Shariah Council's work (regulation) - composition of the council, procedure for holding meetings;

• powers and responsibilities of the Shariah Council;

• procedure for interaction with management bodies and the Credit Committee (or authorized official);

• procedure for holding meetings, which may be held in person or in absentia. In this case, it should be determined that meetings with the physical participation of Shariah Council members must be held no less than once a year, and the Shariah Council has the authority to consider and decide on agenda items if 2/3 of the Shariah Council members are present at the meeting;

• procedure for early termination of the powers of Shariah Council members.".

9. Make the following change to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation on Minimum Requirements for Credit Risk Management in Credit Unions Carrying Out Operations in Accordance with Islamic Principles of Banking and Financing" dated December 23, 2013 No. 52/7:

in the Regulation on Minimum Requirements for Credit Risk Management in Credit Unions Carrying Out Operations in Accordance with Islamic Principles of Banking and Financing, approved by the aforementioned Resolution:

• paragraph 8 is to be worded as follows:

"8. The Shariah Council Regulation must define:

• organization of the Shariah Council's work (regulation) - composition of the council, procedure for holding meetings;

• powers and responsibilities of the Shariah Council;

• procedure for interaction with the Board of Directors and the Financing Committee;

• procedure for holding meetings, which may be held in person or in absentia. In this case, it should be determined that meetings with the physical participation of Shariah Council members must be held no less than once a year, and the Shariah Council has the authority to consider and decide on agenda items if 2/3 of the Shariah Council members are present at the meeting;

• procedure for early termination of the powers of Shariah Council members.".

10. Make the following change to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Rules for Regulating the Activity of Microfinance Organizations Carrying Out Operations in Accordance with Islamic Principles of Banking and Financing" dated May 30, 2014 No. 24/11:

in the Rules for Regulating the Activity of Microfinance Organizations Carrying Out Operations in Accordance with Islamic Principles of Banking and Financing, approved by the aforementioned Resolution:

• the first sentence of paragraph 8 is to be worded as follows:

"8. The MFO conducts internal audit for the purpose of verifying the accuracy of accounts, assessing the adequacy and effectiveness of its internal control system and its compliance with the regulatory legal acts of the Kyrgyz Republic, as well as Shariah standards.".

11. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation "On Requirements for the Formation of Financial Statements of Commercial Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Financing" dated May 31, 2017 No. 21/13:

in the Regulation "On Requirements for the Formation of Financial Statements of Commercial Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Financing", approved by the aforementioned Resolution:

• in the seventh sentence of paragraph 8, replace the word "conclusion" with the word "report";

• in the title of Chapter 8 "Shariah Council Conclusion", replace the word "Conclusion" with the word "Report";

• in paragraph 56, replace the word "Conclusion" with the word "Report";

• paragraph 57 is to be worded as follows:

"57. The Shariah Council Report must include information:

• on issued Shariah rulings (fatwas), conclusions;

• on the review and monitoring of bank contracts, transactions, and operations;";

---

• on the compliance of profit distribution and the accrual of losses related to investment accounts;

• on funds directed to charity;

• confirmation of the bank's compliance with Shariah standards;

• other information."

• in paragraph six of point 70, replace the word "conclusion" with the word "report";

• Appendix 2 to the Regulation "On Requirements for the Formation of Financial Reporting of Commercial Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance" is recognized as having lost force.

12. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Rules for the Formation of the Internal Control and Internal Audit System in Banks and Non-Bank Financial Credit Organizations Licensed and Regulated by the National Bank of the Kyrgyz Republic" dated June 15, 2017 No. 2017-P-12/25-3-(NPA):

in the Rules for the Formation of the Internal Control and Internal Audit System in Banks and Non-Bank Financial Credit Organizations Licensed and Regulated by the National Bank of the Kyrgyz Republic, approved by the aforementioned resolution:

point 3:

• supplement with paragraphs three and four of the following content:

"Internal Shariah audit is the activity (independent expert function) of an independent authorized structural subdivision for internal Shariah audit (or authorized auditor) (hereinafter - the internal Shariah audit service), created to conduct internal audit and assist the management bodies, the Shariah Council of the bank in ensuring effective Shariah management of the bank based on an objective assessment and recommendations for improving the bank's internal control system, on checking and assessing the sufficiency (adequacy) and effectiveness of the bank's internal control system regarding operations and activities of the bank carried out in accordance with Islamic principles of banking and finance.

Internal control for compliance with Shariah standards is a continuous process conducted by the bank to ensure the orderly and effective implementation of operations and activities carried out in accordance with Islamic principles of banking and finance, in accordance with the legislation of the Kyrgyz Republic, the bank's internal documents, and Shariah standards."

• rephrase point 4 as follows:

"4. The organization of the risk management system is formed in accordance with the requirements of the provisions "On Minimum Requirements for Risk Management in Banks of the Kyrgyz Republic" dated June 15, 2017 No. 2017-P-12/25-8-(NPA) and "On Minimum Requirements for Risk Management in Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance" dated July 18, 2018 No. 2018-P-12/30-3-(BS)."

• in point 9, replace the words "internal audit" with the words "internal audit, internal Shariah audit";

in subparagraph 3 of point 10:

• rephrase paragraph fourteen as follows:

"- on the timeliness, completeness, and quality of the elimination of violations and deficiencies identified by the bank's Board, the compliance control service, the internal auditor, the internal Shariah auditor, the external auditor, the authorized structural subdivision for control of compliance with Shariah standards, and banking supervision authorities;"

• rephrase paragraph fifteen as follows:

"- on the implementation by the Bank's Board of recommendations from the compliance control, risk management, internal audit, internal Shariah audit services, as well as external audit, the authorized structural subdivision for control of compliance with Shariah standards, and banking supervision authorities."

• supplement point 19 with paragraph three of the following content:

"- control carried out by the Shariah Council, by receiving reports from the risk management service, internal Shariah audit service, and the authorized structural subdivision for control of compliance with Shariah standards;"

• supplement point 27 with sentences of the following content:

"In a bank carrying out operations in accordance with Islamic principles of banking and finance, the internal Shariah audit service and the authorized subdivision for control of compliance with Shariah standards (hereinafter - the subdivision for control of compliance with Shariah standards) additionally operate on a permanent basis. In a bank having an "Islamic window", it may be provided that the Shariah controller and the Shariah auditor may be part of the subdivisions on condition that these subdivisions are endowed with functions of control of compliance with Shariah standards and internal Shariah audit."

• rephrase paragraph eleven of point 39 as follows:

"Employees of the internal audit service must possess knowledge of International Standards on Auditing and International Financial Reporting Standards;"

• recognize point 41 as having lost force;

• recognize section 6 as having lost force;

• supplement with section 7 of the following content:

"7. Organization of the Authorized Structural Subdivision for Control of Compliance with Shariah Standards

57. In order for the bank to effectively implement the decisions of the Shariah Council, the Bank's Board of Directors, upon the recommendation of the Shariah Council, creates a subdivision for control of compliance with Shariah standards (or appoints an employee responsible for control of compliance with Shariah standards in the bank). The Bank's Board of Directors, taking into account the recommendations of the Shariah Council, appoints the head of the subdivision for control of compliance with Shariah standards and its employees, determines the remuneration size, as well as determines the quantitative and personal composition of this service.

58. To avoid conflicts of interest, the functions of the head of the subdivision for control of compliance with Shariah standards must not include the management of the activities of subdivisions (business lines, business processes) and bank employees generating risks (except for operational, reputational, strategic risks), carrying out risk management, responsible for accounting and financial reporting in the bank, including management of the internal audit service.

59. Bank employees must assist the subdivision for control of compliance with Shariah standards in carrying out its functions. The Bank's Board, upon the submission of the head of the subdivision for control of compliance with Shariah standards, establishes the procedure for interaction between the bank's structural subdivisions and the subdivision for control of compliance with Shariah standards.

60. The Bank's Board receives information from the subdivision for control of compliance with Shariah standards regarding violations and deficiencies identified in the course of activities in accordance with Islamic principles of banking and finance, indicating the causes of their occurrence and recommendations for their elimination.

Based on the analysis of the received information, the Bank's Board ensures the adoption of corrective or disciplinary measures aimed at eliminating the identified deficiencies.

Upon completion of the work on eliminating the identified deficiencies, the head of the subdivision for control of compliance with Shariah standards provides a report to the Shariah Council, and also to the Bank's Board of Directors as necessary, but no less than once a quarter.

61. The subdivision for control of compliance with Shariah standards promptly informs the Shariah Council and the Bank's Board of Directors about any significant violations (events, transactions) that may lead to the emergence of the risk of non-compliance with Shariah.

62. The subdivision for control of compliance with Shariah standards carries out, but is not limited to, the following functions:

1. performs the functions of the secretary of the Shariah Council (preparation, organization, and introduction of the minutes of the Shariah Council meetings, control over the implementation of decisions (fatwas) of the Shariah Council);

2. provides consultation on Shariah issues based on decisions (fatwas) and resolutions of the Shariah Council (contracts, policies, internal procedures, requests and questions related to Shariah standards, advertising materials and publications, bank products, and other issues related to Shariah standards that the bank faces);

3. appeals to the Shariah Council on all issues that it considers, and on all tasks that it performs, unless decisions (fatwas) have previously been made on these issues;

4. conducts research on relevant issues and procedures at the request of the Shariah Council;

5. participates in the development of the bank's products, policies, procedures, and contracts;

6. assists the Bank's Board and the risk management service in managing the risk of non-compliance with Shariah standards;

7. controls the organization of the bank's work on considering complaints (applications) of bank clients regarding activities in accordance with Islamic principles of banking and finance;

8. controls the organization of the bank's work on familiarizing all bank employees with the requirements of the bank's internal documents regulating the procedure for providing banking services and conducting banking operations in accordance with Shariah standards;

9. organizes training for management bodies and bank employees on issues of compliance with Shariah standards, Islamic principles of banking and finance;

10. monitors compliance by the bank and its employees with decisions (fatwas) of the Shariah Council;

11. conducts current control of the compliance of operations carried out in accordance with Islamic principles of banking and finance with Shariah standards, prior to internal Shariah audit.

The function of control of compliance by the bank with Shariah standards must not be outsourced to third-party organizations."

• supplement with section 8 of the following content:

"8. Organization of Internal Shariah Audit

63. For an objective assessment of the effectiveness of the functioning of internal control systems for compliance with Shariah standards and management of the risk of non-compliance with Shariah standards in the bank's activities, in order to ensure the effective activity of the bank carried out in accordance with Islamic principles of banking and finance, and to provide effective recommendations for its improvement, the Board of Directors creates an internal Shariah audit (or appoints an employee responsible for conducting internal Shariah audit in the bank).

64. The activity of the internal Shariah audit service must be organized similarly to the activity of the internal audit service in accordance with Chapter 5 "Organization of Internal Audit of the Bank" and taking into account the requirements of this chapter.

65. In a bank carrying out operations in accordance with Islamic principles of banking and finance, the internal Shariah auditor checks operations and activities carried out in accordance with Islamic principles of banking and finance, including compliance with Shariah standards, and provides reports to the Board of Directors, the Shariah Council, the Audit Committee, and a copy to the Bank's Board.

66. The activity of the internal Shariah audit service must be regulated by an internal document of the bank, which must, at a minimum, define:

• the purpose and scope of activity of the internal Shariah audit service;

• principles (standards) and methods of activity of the internal Shariah audit service;

• tasks, functions, rights, and duties of the internal Shariah audit service, including its employees and head;

• conditions and procedure for informing the Board of Directors, the Shariah Council, the Audit Committee, the Bank's Board, as well as the head of the bank subdivision in which the internal Shariah audit was conducted, about the results of the internal Shariah audit service checks;

• the responsibility of the head of the internal Shariah audit service for non-performance (improper performance) of duties assigned to him;

• the procedure for interaction of the internal Shariah audit service with the subdivision for control of compliance with Shariah standards to coordinate and exchange their conclusions and reports;

• the procedure for interaction of the internal Shariah audit service with the internal audit service to coordinate and exchange their conclusions and reports;

• the procedure for interaction of the internal Shariah audit service with bank subdivisions and employees, the powers of the internal Shariah audit service to access bank premises, bank documents, as well as to receive information and explanations from bank employees that may be required for the internal Shariah audit service to carry out its functions.

67. The internal Shariah audit service is obliged:

• to develop a work plan for the internal Shariah audit service, submit it for approval by the Board of Directors (supervisory board) in agreement with the Shariah Council (on issues of compliance by the bank with Shariah standards), and also to inform the Board of Directors (supervisory board), the Shariah Council (on issues of compliance by the bank with Shariah standards), and the Audit Committee about its implementation;

• to determine the most risky operations and directions of activity (business lines, business processes) for preparing the work plan of the internal Shariah audit service;

• to assess the effectiveness of internal Shariah control, interaction of structural subdivisions to ensure the compliance of the bank's activities carried out in accordance with Islamic principles of banking and finance with Shariah standards and the bank's internal regulatory requirements;

• to control the compliance of the bank's activities with the bank's policies and procedures aimed at compliance by the bank with Shariah standards;

• to determine the conduct of regular on-site inspections of bank branches to check the compliance of Shariah standards by bank branches, its subdivisions;

• to check compliance with banking legislation and internal bank documents in the course of the bank's activities in accordance with Islamic principles of banking and finance;

• to check the effectiveness of measures taken to correct identified violations and deficiencies in the bank's activities based on the results of previous inspections, as well as inspections by the National Bank and external auditors, including in the organization of business processes, internal control, and risk management, and the implementation of recommendations for their improvement;

• to inform the Audit Committee, the Shariah Council, and the Bank's Board about the results of inspections conducted by the internal Shariah audit service;

• to inform the Audit Committee and the Bank's Board about the compliance with Shariah standards in the bank's activities;

• to submit its proposals for improving the effectiveness of the bank's activities, including internal control, control of compliance with Shariah standards, management of Shariah compliance risks, organization of business processes.

68. The program for conducting internal Shariah audit must be approved by the Audit Committee and the Shariah Council (on issues related to compliance with Shariah standards).

69. The audit report must:

• be sent directly to the Shariah Council for decision-making on Shariah issues. After consideration of the report with the resolution of the Shariah Council, it is sent to the Board of Directors and the Audit Committee. After consideration by the Audit Committee, this report is transferred to the Bank's Board.

70. Based on the audit report, the Audit Committee approves a plan of measures for implementing corrective measures in the bank's internal control system and provides for measures to track the effectiveness and timeliness of their implementation, which are agreed upon with the Shariah Council and approved by the Board of Directors.

71. Employees of the Shariah audit service must possess knowledge of International Standards on Auditing, International Financial Reporting Standards, and Standards of the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI).

The function of Shariah audit control must not be outsourced to third-party organizations."

• supplement with section 9 of the following content:

"9. Final Provisions

72. The Bank's Board of Directors ensures that the bank's management and employees are brought up to speed with the strategy, policies, and other internal documents of the bank. Heads of structural subdivisions of the bank must bear personal responsibility for bringing to their employees the importance of the internal control function and the necessity of executing the bank's internal documents.

73. The Board of Directors conducts an assessment of compliance with established qualification requirements and business reputation requirements for heads of compliance control, internal audit, internal Shariah audit, and risk management services with a frequency sufficient to ensure maintaining their qualifications and business reputation at the appropriate level.

74. The National Bank may conduct scheduled and unscheduled conversations with heads of compliance control, risk management, internal audit, and internal Shariah audit services on issues related to the bank's activities.

75. In the event of dismissal of heads of internal audit, internal Shariah audit, compliance control, and risk management services, the bank is obliged to notify the National Bank within three working days of the fact of dismissal with a description of the reason for dismissal."

76. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation "On Minimum Requirements for Risk Management in Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance" dated July 18, 2018 No. 2018-P-12/30-3-(BS):

in the Regulation "On Minimum Requirements for Risk Management in Banks Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance", approved by the aforementioned Resolution:

• supplement point 28 with subparagraph 8 of the following content:

"8) ensure the implementation and compliance with a reliable system of Shariah governance and Shariah standards."

• supplement point 33 with paragraph seven of the following content:

"Professional training and development should be ensured for each member of the Shariah Council, including on issues of banking activities, banking legislation, and international standards."

• supplement point 37 with subparagraph 7 of the following content:

"7) training and information on compliance with Shariah standards, oriented towards all organizational levels of the bank."

14. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Instruction on Distribution of Profit/Loss on Bank Accounts, Bank Deposit Accounts (Deposits) in Accordance with Islamic Principles of Banking and Finance" dated November 25, 2020 No. 2020-P-12/67-3-(NPA):

in the Instruction on Distribution of Profit/Loss on Bank Accounts, Bank Deposit Accounts (Deposits) in Accordance with Islamic Principles of Banking and Finance, approved by the aforementioned resolution:

• in point 35, replace the word "Distribution" with the words "Procedure for Distribution";

• rephrase point 36 as follows:

"36. On a semi-annual basis, the bank's internal Shariah audit should conduct a selective check of compliance and execution of the requirements of this Instruction. In case of non-compliance/violations being identified, the internal Shariah audit service (or authorized internal auditor) is obliged to notify the bank's management and the Shariah Council of the bank."

15. Make the following changes to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Regulation "On Requirements for the Formation, Publication, and Submission to the National Bank of the Kyrgyz Republic of Financial Reporting of Non-Bank Financial Credit Organizations Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance" dated February 14, 2024 No. 2024-P-12/5-4-(NPA):

in the Regulation "On Requirements for the Formation, Publication, and Submission to the National Bank of the Kyrgyz Republic of Financial Reporting of Non-Bank Financial Credit Organizations Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance", approved by the aforementioned resolution:

• rephrase paragraph seven of point 12 as follows:

"- report of the Shariah Council;"

• in point 37, replace the word "conclusion" in the corresponding cases with the word "report" in the corresponding cases;

• in the title of Chapter 12 "Conclusion of the Shariah Council", replace the word "Conclusion" with the word "Report";

• rephrase point 93 as follows:

"93. The Report of the Shariah Council must contain information:

• on issued Shariah decisions (fatwas), conclusions;

• on the review and monitoring of contracts, transactions, and operations of NBFCs;

• on funds directed to charity;

• confirmation of the bank's compliance with Shariah standards;

• other information."

• in point 94, replace the word "Conclusion" with the word "Report";

• rephrase point 95 as follows:

"95. The Report of the Shariah Council is formed in accordance with point 94 of this Regulation and is submitted as part of the annual financial reporting."

• rephrase paragraph six of point 98 as follows:

"- report of the Shariah Council."

• Appendix 4 to the Regulation "On Requirements for the Formation, Publication, and Submission to the National Bank of the Kyrgyz Republic of Financial Reporting of Non-Bank Financial Credit Organizations Carrying Out Operations in Accordance with Islamic Principles of Banking and Finance" is recognized as having lost force.