In strict compliance with the sanctions and directives from the US, EU, and G7 organisations against Moscow, Bakai Bank has successfully undergone an examination by one of the world’s leading audit firms, KPMG.
A notable event recently took place in Kyrgyzstan’s banking sector, a small Central Asian country. One of the largest local financial institutions, Bakai Bank, successfully passed an audit conducted by the international auditing and consulting corporation KPMG. The audit results were overwhelmingly positive. Professional auditors concluded that Bakai Bank’s operations adhere to the FATF (an organization created by the G7 countries) recommendations on anti-money laundering and counter-terrorism financing, as well as the European Union’s directives. The international counterpart to this organisation is the so-called AML/CFT (Anti-Money Laundering and Combating the Financing of Terrorism).
KPMG, a member of the “Big Four,” is known for its rigorous examinations, especially in the area of collecting information on suspicious activities and inappropriate clients by internal control services.
Previously, one of the largest international rating agencies, Moody’s, upgraded its outlook on Bakai Bank’s long-term deposit ratings in all currencies from “negative” to “stable,” stating that it does not foresee significant credit-related issues for the bank in the near future.
For experts focused on the Central Asian region’s economy, the recognition of the integrity and prospects of a Kyrgyz bank by two global authorities, KPMG and Moody’s, was not surprising. This financial institution has been conducting responsible business since its inception, but recent geopolitical events have prompted it to become even more transparent to various international bodies, especially concerning compliance with international sanctions and counter-terrorism financing regulations.
The bank regularly trains its specialists in compliance and anti-money laundering through advanced international programmes. Any potential alarm signals are thoroughly investigated by bank experts, sometimes involving law enforcement. This was evident last year when fake reports surfaced claiming that the bank’s cards could be obtained without visiting a branch.
In terms of complying with sanctions against Russia, Bakai Bank has taken a leading position in its region. It condemned Moscow’s invasion of Ukraine and ceased servicing Russian “Mir” bank cards. Additionally, it established partnerships with the American Chamber of Commerce. As a result, it gained recognition from international organisations. Judging by the decreasing number of issues raised by US and EU regulatory authorities towards Kyrgyzstan, the country’s compliance with sanctions appears to be stabilising. Major local financial institutions have opted to operate within the international legal framework rather than support the Russian regime. Bakai Bank is a prime example of this.
