How S&P and Moody’s Price Freedom Financial institution’s Reliability

A better take a look at what the assigned rankings imply and which components the worldwide businesses’ analysts took under consideration

Freedom Financial institution Kazakhstan is rated by two worldwide credit standing businesses directly: Moody’s Rankings and S&P World Rankings. In 2026, Moody’s started overlaying Freedom Financial institution for the primary time and assigned the establishment a long-term ranking of Ba3. One other member of the “Huge Three,” S&P, raised the financial institution’s long-term ranking to BB- in June. We clarify what the assessments from the most important worldwide ranking businesses imply.

In late June, S&P World Rankings raised Freedom Financial institution’s long-term credit standing to “BB-” with a “Secure” outlook, and likewise improved its national-scale ranking to “kzA-”. Earlier, in March, Moody’s Rankings assigned the financial institution a long-term deposit ranking of “Ba3” with a steady outlook for the primary time. It is also value being attentive to the commentary the businesses’ analysts present of their ranking motion bulletins.

Not like rankings, which order banks by a particular metric — capital dimension, belongings, deposits, and so forth — a ranking captures the general image and offers a sign of a credit score establishment’s stability. Within the case of long-term rankings, this refers to a horizon of greater than a yr. Score businesses assess a financial institution’s creditworthiness, that’s, its means to satisfy its debt obligations to prospects, buyers, and counterparties absolutely and on time.

Every company makes use of its personal methodologies and ranking scales, so within the case of S&P and Moody’s, for instance, “BB-” from one and “Ba3” from the opposite are usually not two scores on the identical scale however unbiased opinions that complement one another. It is vital to grasp that having rankings, in itself, will not be a assure of absolute reliability, but it surely does give shoppers and companions an unbiased benchmark for assessing the financial institution’s monetary stability.

In Kazakhstan, solely 6 out of 23 working banks maintain an S&P ranking. In getting ready its ranking, S&P considers, amongst different issues, the financial institution’s market place, capital and profitability, asset high quality and danger, funding and liquidity, in addition to the financial and trade dangers going through the nation’s banking system.

Over the course of a yr and a half, S&P raised Freedom Financial institution’s worldwide credit standing twice: from B to B+ in December 2024, and to BB- in June 2026. Reaching the brand new BB- stage signifies comparatively low publicity to danger within the quick time period, together with a doable sensitivity to important modifications in key areas going ahead.

The truth that the worldwide company has repeatedly raised the corporate’s ranking is primarily linked to the event of its danger administration system. S&P’s analysts famous a big strengthening of the financial institution’s compliance operate — the system of guidelines and checks that retains operations inside the legislation. Consultants additionally word that Freedom Financial institution has improved its management over sanctions-related dangers. As well as, Freedom Financial institution pays shut consideration to information-system and cybersecurity threats, in addition to to controlling regulatory and reputational dangers.

S&P’s “Secure” outlook signifies that, within the company’s view, a ranking change is unlikely over the following 12–18 months. The company defined that the steady outlook displays a balanced danger profile, in addition to the truth that stronger danger administration and compliance will enable the financial institution to adequately monitor and management dangers because the broader Freedom group’s enterprise continues to develop.

In March 2026, Moody’s Rankings assigned Freedom Financial institution long-term local- and foreign-currency deposit rankings of “Ba3” with a “Secure” outlook. This evaluation applies particularly to the financial institution as a standalone authorized entity, to not the Freedom Holding Corp. group as a complete, though analysts did have in mind the financial institution’s function inside the holding’s ecosystem.

Moody’s ranking differs from S&P’s not solely in scale but in addition in calculation methodology and emphasis. Moody’s, for example, centered on the financial institution’s means to satisfy its obligations to depositors over the long run (usually greater than a yr), whereas S&P positioned better emphasis on danger. Moody’s particularly highlighted the fast progress of the financial institution’s buyer base and deposit portfolio, in addition to its strong capitalization (the tangible widespread fairness to risk-weighted belongings ratio reached 16.1% as of September 2025).

The “Ba3” stage itself means the company views the financial institution’s obligations as carrying average credit score danger. For an investor or consumer, such a ranking signifies that the financial institution has enough capitalization and liquidity to service its obligations, regardless that it operates amid a level of market volatility. As with S&P, Moody’s steady outlook displays the company’s expectation that the financial institution will keep balanced monetary efficiency over the following 12–18 months.

Businesses base their selections on the credit score establishment’s monetary statements, which cowl belongings, funds raised, fairness capital and its adequacy, the extent of credit score danger, and so forth. Analysts additionally have in mind proprietary details about the corporate and private information, together with information obtained from the rated entity itself — for instance, data on its largest debtors, collateral, and the like. Businesses additionally assess the financial institution’s place relative to its rivals.

In keeping with monetary statements for the primary half of 2026, Freedom Financial institution’s belongings reached 2.94 trillion tenge, up 13.9% in contrast with the identical interval in 2025. The financial institution’s fairness capital grew by 4.6%, to 258.4 billion tenge. The deposit base reveals a gradual development: consumer funds grew by 17.4%, to 1.77 trillion tenge.

Credit score dangers are presently low, in accordance with Moody’s commentary: non-performing loans stood at 2.9% of the whole mortgage portfolio as of September 2025. Reserve protection, in the meantime, is excessive, at 116%. In consequence, the company expects dangers to stay manageable over the forecast interval.

Past the rankings, what issues essentially to particular person depositors is the financial institution’s participation within the Kazakhstan Deposit Insurance coverage Fund (KDIF). Freedom Financial institution is a member of this technique, which ensures the return of funds belonging to people and sole proprietors inside the established limits (as much as 20 million tenge for financial savings deposits, as much as 10 million tenge for present accounts and playing cards in tenge, and as much as 5 million tenge in international foreign money) within the occasion of an insured occasion.

The S&P ranking improve to “BB-” and Moody’s “Ba3” ranking broaden the set of unbiased assessments that shoppers, buyers, and counterparties can use to guage the financial institution’s monetary stability. For a well-rounded evaluation, rankings ought to be thought-about along with different monetary indicators and components.