Household microloans in Kazakhstan reach 1.4 tn tenge

As of July 1, the assets of Kazakhstan’s microfinance sector stood at 3.5 trillion tenge, up 0.2% in the second quarter but down 0.1% since the beginning of the year. The quarterly growth was mainly driven by an increase in pawnshop assets, largely consisting of property accepted as collateral for microloans.

Microfinance organizations held the largest share of total assets at 1.7 trillion tenge, or 49.4%, followed by credit partnerships with 1.1 trillion tenge, or 31.7%, and pawnshops with 0.7 trillion tenge, or 18.9%.

The sector’s loan portfolio declined by 0.6% in the second quarter to 3.1 trillion tenge, mainly due to lower lending by pawnshops. Despite the quarterly decline, the portfolio has grown by 0.8% since the beginning of 2026.

Business microloans accounted for 54.7% of the total portfolio, while loans to individuals made up 45.3%. The business microloan portfolio fell by 1% during the quarter to 1.7 trillion tenge, largely due to repayments of seasonal loans issued by credit partnerships.

Meanwhile, loans to individuals declined by 0.2% to 1.4 trillion tenge as of July 1, primarily reflecting a decrease in consumer microloans issued by pawnshops.

The share of loans overdue by more than 90 days (NPL90+) improved over the past year, falling to 3.9% from 4.9% as of July 1, 2025. Among individual borrowers, the ratio declined more significantly, from 7.4% to 5.1%.

The sector’s liabilities rose by 0.2% in the second quarter to 2.3 trillion tenge, driven by an increase in other liabilities. Borrowings remained the main source of funding, accounting for 61.5% of total liabilities, or 1.4 trillion tenge.

Equity reached 1.3 trillion tenge as of July 1, rising by 0.2% during the quarter, mainly due to higher retained net income. Since the beginning of the year, equity has increased by 0.6%.

Earlier, Qazinform News Agency reported that the Kazakh Government had announced the formation of a pool of 215 investment projects totaling $78.6 billion, marking the start of a new investment cycle.