Guide to Licensing in the AIFC
Astana International Financial Centre (AIFC) offers companies the opportunity to operate within a special jurisdiction based on the principles of English common law. The advantages of the AIFC include a high level of legal protection, flexible regulation, transparent procedures, and tax incentives.
The AIFC is primarily designed for companies engaged in regulated activities related to the provision of financial services. Such activities include, in particular, investment management, insurance, Islamic banking, conventional banking, and other financial services. To carry out these operations, companies are required to obtain a license from the AIFC financial regulator - the Astana Financial Services Authority (AFSA). The licensing procedure in the AIFC is referred to as authorization.
Authorization is a mandatory review process conducted by AFSA to ensure that a company meets the established requirements, has a sustainable business model, sufficient resources, and a transparent governance structure.
The average duration of the authorization process is between five and seven months; however, it may vary depending on the complexity of the project and the quality of the submitted documentation.
Key Stages of Authorization
1. Preparation
At this stage, the company develops a regulatory business plan describing its strategy, organizational structure, planned services, target markets, and financial projections. In addition, internal policies and procedures are prepared, such as:
- Anti-Money Laundering (AML) policy
- Risk management policy
- Compliance procedures
- Other required policies
It is also recommended to seek preliminary consultation with the AIFC to align the proposed approach.
2. Application Submission
After all documents are prepared, the application is submitted through the AIFC digital residency portal. AFSA conducts an initial review of the application package, confirms receipt, and assigns a case officer.
3. Review and Assessment
AFSA analyzes the submitted information and may request additional details or conduct interviews with candidates for key positions. Approval is required for key individuals (Approved Individuals), such as the CEO, CFO, compliance officer, etc. In addition, designated individuals (Designated Individuals), such as AML officers or responsible executives, must be notified to AFSA. At this stage, AFSA assesses the business model, team competence, reputation, and availability of adequate resources.
4. In-Principle Approval and Registration
After the assessment is completed and preliminary conditions are met, the applicant receives In-Principle Approval, allowing the incorporation of a legal entity in the AIFC. The company must then fulfill any remaining conditions (e.g., capital requirements) before receiving the full license. Once authorized, the company becomes subject to ongoing regulatory supervision by AFSA.
Thus, authorization in the AIFC is a structured, multi-stage and strictly regulated process that requires strategic preparation and careful compliance with all formal requirements. The key success factors are high-quality documentation, a competent team, and timely communication with AFSA throughout the review process.
| Are you considering entering the AIFC? The Revera Kazakhstan team is ready to advise you on AFSA requirements, assess licensing prospects, and provide full support throughout the authorization process. |
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