Banking law and implementation of islamic banking in Kazakhstan

Abstract EN

Since 2009, the National Bank of Kazakhstan has been working on creating the conditions for Islamic banks to function in the country.

A set of amendments to the Civil Code, banking and tax legislation and other laws and regulations, have been put in place to create a legal framework for Islamic banks so they can operate at the same level as conventional banks.

Despite the fact that these foundations have been created, the development of the Islamic banking industry has been modest..

The National Bank of Kazakhstan aims to make the country a regional hub for Islamic banking by 2020 and so it continues to play an active role in promoting Islamic financial institutions.

In 2015, the international law firm Fulbright Norton Rose was invited to develop a new set of legislative initiatives for the National Bank of Kazakhstan.

This paper discusses the recommendations made aimed at r enhancing the effectiveness of the regulatory framework for Islamic banking in Kazakhstani.