The Astana Financial Services Authority (AFSA) has introduced amendments to the AIFC Insolvency framework to enhance clarity, alignment, and functionality of insolvency proceedings for entities registered in the Astana International Financial Centre (AIFC). These changes address identified gaps concerning some aspects of the winding-up procedure.[1]
The amendments will come into force on 1 January 2025 and will apply to all relevant insolvency cases within the AIFC jurisdiction. AFSA will continue to monitor the framework’s implementation and ensure the new provisions contribute to the development of the AIFC ecosystem.
AFSA has amended the AIFC Insolvency Regulations and the AIFC Insolvency Rules, both adopted in 2017, to align the roles of the Registrar of Companies and AFSA with the practices established under the AIFC Companies Regulations and AIFC Financial Services Framework Regulations, particularly regarding the winding-up of Authorised Persons and Ancillary Service Providers.
Key changes include:
The introduced amendments are critical as they provide clear delineation of roles and responsibilities and reduces ambiguity in insolvency proceedings; harmonise with other AIFC Acts by ensuring consistent application and support regulatory integrity. They also streamline processes to enhance the effectiveness of insolvency procedures, benefiting all stakeholders.
The main beneficiaries of the framework include:
The relevant amendments have been published in the AIFC Insolvency Rules and the AIFC Insolvency Regulations.
Reference:
The Astana Financial Services Authority (AFSA) is the independent regulator of the Astana International Financial Centre (AIFC), which is established in accordance with the Constitutional Law of the Republic of Kazakhstan “On the Astana International Financial Centre” for the purposes of regulating financial services and related activities in the AIFC. AFSA administers the AIFC Regulations and Rules and is responsible for the authorisation, registration, recognition and supervision of financial firms and market institutions in the AIFC.
Over 3,500 firms from over 80 countries are registered in the AIFC. These firms provide banking, insurance, investment, professional and other services. The range of financial services offered at the AIFC is comparable to the list of services available in long-established financial centers of the world, such as London, Hong Kong, Singapore, Dubai and others. www.afsa.kz
The Astana International Financial Centre (AIFC) is an independent jurisdiction with a favourable legal and regulatory environment and a developed infrastructure for starting and doing business, attracting investment, creating jobs and developing Kazakhstan's economy. https://aifc.kz/
Contact information:
Public Relations and Communications Division of AFSA: +7 (717) 264 73 43; +7 7172 61-37-45 email: [email protected]
[1] Winding-up refers to the process of dissolving a company by settling its liabilities and distributing its assets to stakeholders. It can occur voluntarily or through compulsory procedures.
[2] An individual or entity liable to contribute towards the assets of the company in the event of its being wound-up.