Kazakhstan’s largest bank is preparing to enter the Islamic banking market. Halyk Bank’s management plans to obtain the relevant license and launch specialized Sharia-compliant products.
What happened
The issue of obtaining a license for Islamic banking operations has been submitted to an extraordinary general meeting of Halyk Bank shareholders, scheduled for September 25, 2026. Kapital.kz reports this, citing the bank’s official notice on the Kazakhstan Stock Exchange (KASE).
To launch the new division, the bank will need to build internal infrastructure. At the September meeting, shareholders must approve the creation of a special board on Islamic finance principles, determine its size and term of office, and select specific members.
Country and market
Until recently, only specialized Islamic banks could provide Sharia-compliant services in Kazakhstan—currently, ADCB Islamic Bank (formerly Al Hilal) and Zaman Bank operate in the country.
The situation changed in March 2026 when amendments to the law “On Banks and Banking Activity” took effect. The document officially allowed traditional financial institutions to open so-called “Islamic windows.” This means universal banks can now provide Islamic financial services through specialized divisions without creating a separate legal entity.
The Agency for Regulation and Development of the Financial Market (ARDFM) chose a liberal regulatory model. It allows close interaction between the traditional part of the bank and its “Islamic window” but requires full autonomy for the internal Sharia board. The main regulatory condition is strict separation: all operations related to Islamic banking must be accounted for separately from core activities.
Why it matters
As Kazakh banks reduced net profit by 16% in January-July 2026, finding new growth points and expanding the product line looks like a logical step to retain corporate and retail audiences.
The entry of a systemic player the size of Halyk Bank tests the new regulatory model in practice and moves Islamic financial products from a narrow niche to the mass segment.
What’s next
The first step will be the corporate shareholder decision on September 25. After forming the dedicated board, the bank must go through the ARDFM licensing procedure and set up separate accounting for operations before the first Islamic products become available to clients.
