Press room

Halyk and Ailat startup company have signed a partnership memorandum to develop Islamic financial services in Kazakhstan. Thanks to this agreement, Kazakhstanis, who have previously limited themselves to Islamic deposits, will soon have another tool to grow their funds.

A new section for Shariah-compliant stocks has already appeared in Halyk Invest service within Halyk SuperApp, which is currently operating in pilot mode. The available securities will be regularly screened for compliance with Sharia criteria, and investors will be able to choose shares based on their investment goals and risk appetite.

“We continue developing Halyk Invest, considering the needs of various customer groups. Using Ailat’s screening, we are launching a special selection of stocks that have been vetted in accordance with Islamic norms. This is another significant step toward making investment opportunities more accessible for each and every one of our customers,” noted Nazar Yerdossov, Head of Brokerage Division at Halyk, commenting on the agreement signed.

As Azat Otepbai, Ailat founder, notes, the collaboration with Halyk has become a crucial milestone for the accessibility of ethical, including Islamic, investments in Kazakhstan.

“The country’s largest bank, with a customer base of millions, is making securities screening and conscious investing accessible to a wide range of people. Today, investors want to understand what they are investing in and whether it aligns with their principles. Ailat addresses this demand through AI screening, expert methodology, and constant data quality control. We see this partnership as an opportunity to direct capital into instruments linked to the real economy and sustainable development,” noted Azat Otepbai, commenting on the memorandum signed.

What are Shariah-compliant stocks?

These are shares of companies the activities and financial indicators whereof comply with Islamic norms. Such securities are selected based on the requirements for the company’s field of activity, and the permissible level of debt and interest income.

How will the stocks be selected?

Investors will not have to independently analyze companies for Sharia compliance. Ailat will conduct reviews quarterly following the publication of the companies’ audited financial statements, and based on the results, the list of stocks meeting the established criteria will be updated.

The screening methodology is based on the international standards of the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI).

Companies associated with the following shall be automatically excluded:

– traditional banking activities;

– insurance;

– alcohol;

– pork;

– gambling;

– pornography;

– music;

– hotel business;

– film industry;

– human cloning.

What happens to impure income

It is possible to invest in companies with mixed activities provided that the share of income from prohibited activities does not exceed 5% of the company’s total income, Halyk Invest explained.

If a company receives no more than 5% of its income from activities that do not comply with Sharia standards, the corresponding share of dividends is considered “impure income”. This amount is donated to charity, which allows the investor’s income to be “purified” in accordance with the principles of Islamic finance.