ABOUT US

In the second half of 2008, the Kyrgyz Republic introduced a Deposit Protection System following the world process of building relevant systems by establishing the Deposit Protection Agency of the Kyrgyz Republic by the Resolution of the Government of the Kyrgyz Republic No. 387 dated 18 July 2008. For the effective functioning of the Deposit Protection System, it was crucial to adopt the Law of the Kyrgyz Republic «On Protection of Bank Deposits», which became effective on 13 August 2008.

The Deposit Protection Agency of the Kyrgyz Republic operates in order to ensure the effectiveness of the deposit protection system in the Kyrgyz Republic.

The Agency is a legal entity — an independent non-profit organization with the right of operational management, not pursuing the purpose of profit extraction, vested with powers, rights, and obligations established by the Law of the Kyrgyz Republic «On Protection of Bank Deposits» and the Regulation «On the Deposit Protection Agency of the Kyrgyz Republic».

Independence of the Agency means independence in decision making and forming the Agency’s budget.

The legal status of the Agency is determined by the Law of the Kyrgyz Republic «On Protection of Bank Deposits»

The Board of Directors of the Agency consists of 7 members, including 3 representatives of the Cabinet of Ministers, 3 representatives of the National Bank of the Kyrgyz Republic, and an independent expert in the banking sphere.

The executive body (Management) of the Agency is headed by the Executive Director and includes 2 deputies appointed by the President of the Kyrgyz Republic.

The Agency is entitled to:

• enter into agreements and contracts necessary for the performance of its activities;
• contact the National Bank for the information necessary to fulfill the tasks defined by the Law “On Protection of Bank Deposits”;
• apply to the National Bank for assistance in considering the applications of problematic borrowers;
• to participate in the resolution process of problem banks following the procedure agreed with the National Bank
• to participate in the selection process of candidates to act as a liquidator of banks
• fulfill other tasks as may be necessary to effectively perform its activity.

The Agency became a member of the International Association of Deposit Insurer’s (IADI) in 2013. IADI currently has 98 Members (deposit insurers), 11 Associates (central banks and other national authorities), and 17 Partners (not-for-profit national and international organizations). The membership benefits include the possibility to participate in the development of standards, guidance, and assessment methodologies to enhance the effectiveness of deposit insurance systems; share expertise and information on deposit insurance and bank resolution issues through training, development, and educational programs; engage in technical assistance workshops and the unique Self-Assessment Technical Assistance Program (SATAP).

Development stages of the Deposit Protection System: