Resolution of the Board of the National Bank of the Kyrgyz Republic No. 21/16 of May 31, 2017 on Amendments to the Resolution of the Board of the National Bank of the Kyrgyz Republic No. 50/1 of September 3, 2015

NATIONAL BANK OF THE KYRGYZ REPUBLIC

RESOLUTION

Bishkek, May 31, 2017 No. 21/16

On Amendments to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Temporary Regulation 'On Credit for Liquidity Support'" of September 3, 2015 No. 50/1

In accordance with Articles 7 and 43 of the 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. To make amendments and additions to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Temporary Regulation 'On Credit for Liquidity Support'" of September 3, 2015 No. 50/1 (attached).

2. This Resolution enters into force on June 22, 2017.

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 Monetary Operations Department to bring this Resolution to the attention of commercial banks, corresponding structural subdivisions of the National Bank of the Kyrgyz Republic, regional departments, and the representation of the National Bank of the Kyrgyz Republic in the Batken Region.

5. Control over the execution of this Resolution is entrusted to the Deputy Chairman of the National Bank of the Kyrgyz Republic N. Zhenish.

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

| | | Application to the Resolution of the Board of the National Bank of the Kyrgyz Republic of May 31, 2017 No. 21/16 |

AMENDMENTS to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Temporary Regulation 'On Credit for Liquidity Support'" of September 3, 2015 No. 50/1

To make the following amendments to the Resolution of the Board of the National Bank of the Kyrgyz Republic "On Approval of the Temporary Regulation 'On Credit for Liquidity Support'" of September 3, 2015 No. 50/1:

in the title, replace the words "Temporary Regulation" with the word "Regulation";

• in paragraph 1, replace the words "Temporary Regulation" with the word "Regulation";

in the Temporary Regulation on credit for liquidity support, approved by the aforementioned Resolution:

• in the title, replace the words "Temporary Regulation" with the word "Regulation";

• rewrite paragraph 1 as follows:

"1. This Regulation 'On Credit for Liquidity Support' (hereinafter - the Regulation) defines the general conditions and procedure for the provision of credit by the National Bank of the Kyrgyz Republic (hereinafter - the National Bank) to a commercial bank of the Kyrgyz Republic holding a license of the National Bank (hereinafter - the Bank).";

• in paragraph 2, replace the words "in accordance with Article 28 of the Law of the Kyrgyz Republic 'On the National Bank of the Kyrgyz Republic'" with the words "in accordance with the Law of the Kyrgyz Republic 'On the National Bank of the Kyrgyz Republic, Banks and Banking Activity'";

• in paragraph 4, replace the word "insiders" with the words "persons associated with the bank";

• rewrite paragraph 6 as follows:

"6. The decision to provide credit, the terms of provision, the number of extensions, as well as the terms and volume of credit are decided by the Board of the National Bank.";

• recognize paragraph 8 as having lost force;

• rewrite paragraph 12 as follows:

"In the event of the Board of the National Bank deciding to refuse to provide the Bank with credit, the National Bank notifies the Bank in writing thereof.";

• in sub-paragraph 2 of paragraph 14, replace the words "other financial-credit institution, acceptable" with the words "other financial-credit organization, acceptable";

• in paragraph 18, replace the words "up to six months" with the words ", determined by the Board of the National Bank";

• supplement paragraph 21 with the following sub-paragraph:

"21.1. In the event of the non-target use of funds provided by the National Bank and/or the provision of unreliable information regarding collateral and the use of provided funds, the National Bank has the right to apply impact measures provided for by the regulatory acts of the National Bank, as well as to demand the early return of the provided funds.";

• in Appendix 1 to the Temporary Regulation:

in the preamble, replace the words "Law 'On the National Bank of the Kyrgyz Republic'" with the words "order of the National Bank of the Kyrgyz Republic '____' of '' ______ 20__ year No. ___";

in the third paragraph of section 1 "Terms and Definitions" and in sub-paragraph "v" of paragraph 8.1, replace the words "Temporary Regulation" in various cases with the word "Regulation" in the corresponding cases;

in paragraph 2.6, replace the words "with insiders" with the words "with persons associated with the bank";

in paragraph 4.1, replace the word "pay out" with the word "pay";

rewrite sub-paragraph 5.1.5 as follows:

"5.1.5. The National Bank has the right to unconditionally (without acceptance) without the approval and consent of the Bank to withdraw in any currency (regardless of the currency of the credit/tranche issued to the Bank) from the correspondent account of the Bank, opened in the National Bank, all amounts of overdue debt on the principal amount of loans/tranches, accrued interest on them, penalties in the form of fines and penalties, and other amounts provided for by this Agreement and Credit agreements on the issuance of credit/tranche, including losses and expenses of the National Bank incurred as a result of violations of the Bank's performance of obligations under this Agreement and Credit agreements on the issuance of credit/tranche or violations by the Bank of the terms and provisions of pledge agreements concluded between the Bank and the National Bank to secure this Agreement and Credit agreements on the issuance of credit/tranche.".

rewrite sub-paragraph 5.1.6 as follows:

"5.1.6. In the event that the Bank fails to comply with the requirements of the National Bank regarding the provision of additional collateral or the replacement of the collateral item provided by the Bank to secure this Agreement and Credit agreements on the issuance of credit/tranche, the National Bank has the right to unconditionally (without acceptance) debit from the correspondent account of the Bank, opened in the National Bank, the entire or partial amounts of the Bank's debt under this Agreement, Credit agreements on the issuance of credit/tranche, including the principal amount of loans/tranches, accrued interest on it, penalties and sanctions or the corresponding amount equivalent to the missing collateral.";

rewrite sub-paragraph 5.1.7 as follows:

"5.1.7. In the event of unconditional (without acceptance) debit/withdrawal of funds in foreign currency, the conversion (transfer) of withdrawn/debited funds into the currency of the credit/tranche issued by the National Bank to the Bank is carried out in accordance with the official exchange rate established by the National Bank on the date of debit/withdrawal.";

in section 11 "Legal Addresses, Details and Signatures of the Parties", replace the words and numbers "Bishkek, Umetalieva St., 101" with the words and numbers "720001, Bishkek, Chuy Ave., 168";

• in Appendix 2 to the Temporary Regulation:

in the preamble, replace the words "Law 'On the National Bank of the Kyrgyz Republic'" with the words "order of the National Bank of the Kyrgyz Republic '____' of '' ______ 20__ year No. ___";

in section 6 "Legal Addresses, Details and Signatures of the Parties", replace the words and numbers "Bishkek, Umetalieva St., 101" with the words and numbers "720001, Bishkek, Chuy Ave., 168";

• in Appendix 3 to the Temporary Regulation:

in the preamble, replace the words "Law of the Kyrgyz Republic 'On the National Bank of the Kyrgyz Republic'" with the words "order of the National Bank of the Kyrgyz Republic '____' of '' ______ 20__ year No. ___";

in section 7 "Legal Addresses, Details and Signatures of the Parties", replace the words and numbers "Bishkek, Umetalieva St., 101" with the words and numbers "720001, Bishkek, Chuy Ave., 168";

• in Appendix 4 to the Temporary Regulation:

in the preamble, replace the words "Law 'On the National Bank of the Kyrgyz Republic'" with the words "order of the National Bank of the Kyrgyz Republic '____' of '' ______ 20__ year No. ___";

in section 6 "Legal Addresses, Details and Signatures of the Parties", replace the words and numbers "Bishkek, Umetalieva St., 101" with the words and numbers "720001, Bishkek, Chuy Ave., 168";

in the Appendix to the Pledge Agreement:

in the preamble, replace the words "Law 'On the National Bank of the Kyrgyz Republic'" with the words "order of the National Bank of the Kyrgyz Republic '____' of '' ______ 20__ year No. ___";

in the section "Legal Addresses, Details and Signatures of the Parties", replace the words and numbers "Bishkek, Umetalieva St., 101" with the words and numbers "720001, Bishkek, Chuy Ave., 168";

• in Appendix 5 to the Temporary Regulation:

in the preamble, replace the words "Law 'On the National Bank of the Kyrgyz Republic'" with the words "order of the National Bank of the Kyrgyz Republic '____' of '' ______ 20__ year No. ___";

in sub-paragraph 1 of paragraph 2.2, replace the word "insider" with the words "associated person";

in section 8 "Legal Addresses, Details and Signatures of the Parties", replace the words and numbers "Bishkek, Umetalieva St., 101" with the words and numbers "720001, Bishkek, Chuy Ave., 168".