BAKU, Azerbaijan, December 15. Kazakhstan's Halyk Bank continues to demonstrate strong fundamentals, blending disciplined risk management with cutting-edge technology to drive growth and profitability, said Nariman Mukushev, Deputy CEO and Member of the Management Board of Halyk Bank, in an interview with Trend.
Mukushev highlighted that the bank's credit ratings reflect its robust position in the market. "We combine disciplined risk management with advanced technology to ensure strong fundamentals," he said, noting that Halyk Bank holds the highest credit ratings among privately-owned banks in Kazakhstan—Moody’s Baa1, Fitch BBB-, and S&P BB+. He also pointed out the bank's solid profitability, with a three-year average Return on Average Assets (ROAA) of 4.4% and Return on Average Equity (ROAE) of 31.5%, underscoring its financial strength.
"Our approach exemplifies the principle that Kazakhstan’s success is Halyk’s success: by remaining a reliable partner for our customers, we foster financial stability and growth opportunities for businesses and individuals alike," Mukushev added.
Halyk Bank's commitment to its shareholders is evident in its dividend policy. Over the past five years, the bank has paid out an average of 48% of its net profit to shareholders, offering investors both strong returns and growth potential. Mukushev explained, "We believe that Halyk Bank offers investors the dual advantage of being both a growth stock and one that offers industry-leading returns through dividends."
The bank's impressive financial performance continued in 3Q2024, with net income rising by 53.7% compared to the same period last year, reaching 259.7 billion Kazakh tenge (approximately $558 million). This growth is attributed to strong performance in digital banking and fintech innovations. "Our interest income rose by 31.5%, contributing to an impressive 7.3% net interest margin," Mukushev noted.
Looking ahead, Halyk Bank’s strategic vision is focused on expanding its digital ecosystem to meet the evolving needs of both retail and corporate customers. "We are leveraging AI and other advanced technologies to improve operational efficiency and customer satisfaction," Mukushev said, emphasizing the bank’s commitment to staying at the forefront of the digital transformation in banking.
Regionally, Halyk is focusing on expanding its presence in Uzbekistan and Georgia, reinforcing its role in fostering regional economic ties. "Our focus on Uzbekistan and Georgia underscores our commitment to exploring new growth avenues in the region," Mukushev explained. Domestically, the bank plans to deepen its engagement with small and medium-sized enterprises (SMEs) and retail clients to ensure that all sectors of Kazakhstan’s economy benefit from Halyk’s innovative services and financial expertise.