Recall that on December 30, 2022, President Kassym-Zhomart Tokayev signed the law "On the restoration of solvency and bankruptcy of citizens of the Republic of Kazakhstan."
The law introduces three types of bankruptcy procedures for individuals. All three procedures are initiated only by the debtor, that is, the creditor does not have the right to apply these procedures against the debtor.
The first procedure is out-of-court bankruptcy, it can be applied exclusively for debts to banks, MFIs and collection agencies.
A million Kazakhstanis can apply for help under the bankruptcy law
Out-of-court bankruptcy can be applied by citizens under the following conditions:
debt to banks, microfinance organizations and collectors does not exceed 4.9 millions tenge (1600 MCI);
there is no repayment for obligations to banks, IFIs, collectors within 12 consecutive months as of the date of application;
there is no property, including property in common ownership;
settlement of overdue debts with the bank;
bankruptcy has not been applied for 7 years.
Out-of-court bankruptcy will start on the e-government web portal. Then, through the information system, an automatic reconciliation with the data of the interested state and other bodies will be carried out to determine whether the debtor meets the entry criteria. For debts over 4.9 million tenge and for other types of debts, citizens will be able to apply for judicial bankruptcy.
