Against the backdrop of increased geopolitical risks and volatility in the financial markets, in order to ensure the stability of the financial market and maintain the attractiveness of tenge deposits, the National Bank of the Republic of Kazakhstan, together with the Government of the Republic of Kazakhstan, will implement the Tenge Deposit Protection Program, which provides accrual of compensation (premium) on deposits of individuals at the expense of the budget.

Individuals' deposits in tenge opened in one or more second-tier banks – participants of the deposit guarantee system and Otbasy Bank JSC as of the end of the day on Feb. 23, 2022, are allowed to participate in the Program. The Program does not apply to current and card accounts, as well as demand deposits and conditional deposits.

Compensation (premium) in the amount of 10% is accrued to 1 person in each bank 1 time on the specified deposits in the total amount within the balances at the end of the day on Feb. 23, 2022, but not more than 20 million tenge (not more than the actual deposit amount, if it does not exceed 20 million tenge) 12 months after the start of the Program. Compensation (premium) will not be subject to personal income tax.

A prerequisite for accruing the premium is to keep the deposit in a second-tier bank until the end of its term, but not less than 12 months from the moment the mechanism was introduced, that is, until Feb. 24, 2023. If the term of the deposit expires before the payment of compensation (premium), the deposit must be extended until the end of the Program. In case of partial withdrawal of the deposit, payment of compensation (premium) is carried out for the amount of the balance of the deposit after the withdrawal of money, taking into account the above limits.

Relevant acts of the Government and the National Bank will be adopted in the near future. To participate in the Program, depositors will need to contact their second-tier bank, where the deposit is placed.