Kyrgyz lawmaker seeks simpler bank transfer rules for PEPs

A member of Kyrgyzstan's parliament is calling for a review and simplification of banking regulations that impose stringent checks on politically exposed persons (PEPs) during financial transactions. Gulshar Khan Kultaeva, a deputy of the Jogorku Kenesh, expressed her concerns during a committee meeting discussing the National Bank of Kyrgyzstan's (NBKR) 2025 performance report.

Kultaeva highlighted that current regulations, stemming from a NBKR resolution, mandate extensive verification processes for individuals holding political positions. She noted that banks require PEPs to complete detailed questionnaires even for routine operations, such as sending money to a child. While acknowledging the laws' intent to combat money laundering and the financing of criminal activities, Kultaeva argued that these checks are excessively burdensome and should be reserved for large sums.

“

Banks require questionnaires even when sending money to a child. These checks should only apply to large sums.

Azat Kozubekov, deputy chairman of the National Bank, responded that the stringent measures are not internal requirements but rather mandates from international organizations focused on compliance control. He explained that verifying the source of funds is crucial for maintaining Kyrgyzstan's correspondent banking network, which is essential for facilitating both domestic and international transactions, including exports and imports.

Kozubekov emphasized that failing to comply with these international demands would severely limit the country's ability to conduct financial transactions. He further stated that the verification of funds' origins for PEPs and the completion of questionnaires are integral components of the global effort to combat terrorism financing. Adhering to these requirements, he concluded, is necessary to preserve the country's access to international financial systems.

“

This is not a requirement of the NBKR, but of international organizations dealing with compliance control. If we do not comply, our ability to conduct such settlements will be severely limited.