Kazakhstan has limited the validity period of bank cards for non-residents. Acsour experts spoke about the main objectives of the innovation and clarified its key features.
The Agency for Regulation and Development of the Financial Market has made significant changes to the legislation of Kazakhstan: thus, from 19 January, the validity of bank cards for non-residents in Kazakhstan will be limited to one year.
The measures taken are aimed at strengthening the financial security of the country and preventing the use of the banking system for illegal transactions. In particular, the law was adopted to minimise the risks of banks' involvement in drug trafficking and digital assets.
What has changed?
Kazakhstan is one of the countries where Russians massively apply for Visa and Mastercard cards. The card requires proof of legal entry, a local SIM card and an individual identification number, which is obtained at population service centres.
The Agency for Regulation and Development of the Financial Market has made significant changes to the legislation of Kazakhstan: thus, from 19 January, the validity of bank cards for non-residents in Kazakhstan will be limited to one year.
The measures taken are aimed at strengthening the financial security of the country and preventing the use of the banking system for illegal transactions. In particular, the law was adopted to minimise the risks of banks' involvement in drug trafficking and digital assets.
What has changed?
- Limitation of the validity period of cards for non-residents. Now the validity period of bank cards issued for non-residents of Kazakhstan will be only one year. Acsour experts note that there are exceptions: cards issued to business entities, diplomats and investors are not subject to the restriction. The new rule also does not apply to existing cards.
- Tougher scrutiny of transactions. The legislator has set limits on the number of cards that can be issued to one client. In addition, individuals who hold more than five cards and have accounts with three banks with more than three cards issued to each will be subject to more rigorous scrutiny.
- Automation of control over banking operations. According to the innovation, banks in Kazakhstan are required to automate the processes of identifying suspicious transactions that may be related to money laundering or terrorist financing.
Kazakhstan is one of the countries where Russians massively apply for Visa and Mastercard cards. The card requires proof of legal entry, a local SIM card and an individual identification number, which is obtained at population service centres.