Moody"s upgrades Kaspi Bank to investment grade in Kazakhstan

On September 13, 2024, Moody's upgraded Kaspi Bank's long-term deposit ratings to investment grade Baa3 from Ba1, reflecting a stable outlook. This upgrade is attributed to the bank's strong profitability, liquidity, and the resilience of its business model, which encompasses Fintech, Payments, and Marketplace Platforms. The positive assessment comes amid an improving economic environment in Kazakhstan, which is diversifying its economy and enhancing its growth outlook. Moody's also upgraded Kazakhstan's government rating to Baa1 from Baa2 on September 9, 2024, indicating a stable outlook for the country. The upgrade highlights the progress made by the government in fostering a modern digital economy with solid financial fundamentals. Kaspi.kz, a core part of Kaspi Bank, has demonstrated resilience throughout various economic cycles, showcasing sound fundamentals such as capitalisation and liquidity. Mikhail Lomtadze, CEO and co-founder of Kaspi.kz, expressed gratitude for the recognition of the team's hard work and the government's efforts in promoting a fast-growing digital economy. The upgrade is seen as a validation of the company's successful business strategies and its role in driving Kazakhstan's economic progress. Kaspi.kz has been listed on Nasdaq since January 2024 and has been the subject of two case studies by Harvard Business School, indicating its significance in the fintech sector. The company remains optimistic about its future, although it acknowledges the potential risks associated with operating in Kazakhstan's competitive environment.