There are 12 committees operating in the Bank that are reportable to the Management Board of the Bank.

 

1.    Strategy and Corporate Development Committee

The main goal of the activity of the Strategy and Corporate Development Committee (SCDC) is to lead the development and implementation of the Bank's development strategy.

The main tasks of the SCDC are:

·      definition of strategic principles, development goals, and measures of the Bank;

·      coordination and control over the execution of the Bank's strategic development plan;

·      increasing the efficiency of the current management system of the Bank.

In the reporting year, the SCDC reviewed issues regarding the draft plans for strategy, development, balanced scorecards, sustainable development, branches, as well as monitoring the execution of planning documents.

 

2.    Asset and Liability Management Committee

The main tasks of the Asset and Liability Management Committee are:

‒ definition of rules and procedures for investing and borrowing on the domestic and international markets, and conducting operations with financial instruments;

‒ definition of guidelines for the diversification of assets, liquidity, profitability of the Bank, and the adequacy of the Bank's own funds for lending purposes, within the powers defined by the Regulation on the Committee and other internal documents of the Bank.

In 2025, the Committee reviewed issues related to the management of the Bank's assets and liabilities, including issues on attracting and placing funds, issues on establishing limits on counterparties, reporting of the financial and credit risks unit and units involved in the process of asset and liability management of the Bank, as well as other issues within the powers of the Committee in accordance with the Regulation on the Committee.

 

3.    Banking Products, Processes, and Service Quality Committee

The Banking Products, Processes, and Service Quality Committee consists of 4 (four) members in the following composition:

-     Chair of the Committee, from among the members of the Management Board, overseeing the banking products and technologies unit;

-     3 (three) members of the Committee, from among the members of the Management Board overseeing structural units of the Bank, such as: the information technology and digital transformation unit, the business development unit, and the risk and internal control unit;

The main tasks of the Banking Products, Processes, and Service Quality Committee are:

-     review and adoption of decisions on issues of implementing new banking products, changing current banking products, and optimizing the business processes of the Bank;

-     review and approval of rates and tariffs for conducting banking operations, maximum interest rates on deposits and loans, maximum amounts and terms of accepted deposits and granted loans, and approval of service conditions for tariff programs and lending that do not require approval by the Board of Directors in accordance with the legislation of the Republic of Kazakhstan;

-     review and approval of proposals from employees and units of the Bank aimed at solving urgent problems in optimizing current processes and procedures, as well as proposals aimed at increasing the quality of services provided;

-     approval of individual conditions for products and tariffs for individuals, if necessary, preliminary approval of changes in business processes for such conditions with the subsequent introduction of amendments/additions to the corresponding internal documents of the Bank, with the exception of individual cases for credit applications or personified individuals;

-      conclusion and approval of agreements/contracts on cooperation/credit agreements and other transactions with legal entities within the framework of implementing the Bank's mortgage programs for individuals.

 

4.    Credit Committee

The Credit Committee of the Bank implements the internal credit and deposit policy of the Bank within its powers (since the beginning of 2019). The structure of the Committee includes (since October 31, 2023):

Committee 1, consisting of 5 (five) members in the following composition:

-     Chair of Committee 1, from among the members of the Management Board, whose job duties include risk management and internal control;

-     Deputy Chair of Committee 1, from among the members of the Management Board, whose job duties include business development;

-     3 (three) members of Committee 1, from among the heads of structural units of the Bank, such as: the non-performing loans unit, the underwriting and collateral security unit, and the legal unit, overseen by different members of the Management Board;

Committee 2, consisting of 3 (three) members in the following composition:

-     Chair of Committee 2, from among the members of the Management Board, whose job duties include business development;

-     2 (two) members of Committee 2, from among the heads of structural units of the Bank, such as the underwriting and collateral security unit and the legal unit, overseen by different members of the Management Board.

The main task of Committee 1 is the implementation, within its powers, of the provisions of the Rules on Internal Credit and Deposit Policy of the Bank and decisions of the Asset and Liability Management Committee, provided that borrowing risks are minimized and maximum income is obtained from the following banking operations: operations for granting housing loans, intermediate housing loans, and preliminary housing loans (hereinafter – credit products), as well as the review and adoption of decisions on issues related to the management and/or recovery of funds on non-performing/overdue loans, aimed at minimizing possible losses from the Bank's credit operations and reducing the share of non-performing loans in the Bank.

The main task of Committee 2 is the implementation, within its powers, of the provisions of the Rules on Internal Credit and Deposit Policy of the Bank and decisions of the Asset and Liability Management Committee, provided that borrowing risks are minimized and maximum income is obtained from operations for granting housing loans, intermediate housing loans, and preliminary housing loans (hereinafter – credit products), as well as the review and adoption of decisions on issues of releasing/replacing collateral property or a part thereof, including preliminary decisions for persons related to the Bank by special relations, on issues of excluding a guarantor when reviewing issues of releasing/replacing collateral, in cases where the pledgor is simultaneously a guarantor.

 

5.    Information Resources Committee

The main goal of the Committee's activity is to provide recommendations to the Management Board of the Bank on the implementation of the information technology development strategy and the development plan of the Bank's information infrastructure.

The main tasks of the Committee are:

-     development, control, and coordination of the information infrastructure;

-     implementation of new and improvement of existing projects for business development purposes;

-     improvement of IT project, change, and incident management processes.

In the reporting year, the Committee reviewed issues regarding the implementation of the following pilot projects on artificial intelligence integration:

-     A pilot project to implement the process of reviewing and aligning draft procurement documents for compliance with regulatory legal acts and internal documents of the IT block and the Human Resources and Organizational Activity Department using artificial intelligence "LawConform4TechSpec."

-     A pilot project to integrate AI assistants into software development.

-     A pilot project to implement speech analytics for monitoring calls of Remote Service Department operators.

-     A pilot project to integrate AI into the voice robot.

-     A pilot project using AI named "Intellectual Analysis and Distribution of New Reporting Forms."

-     A pilot project regarding the automation of the Bank's information assets categorization process and the assessment of information security and IT risks using the ZEUS platform with an embedded AI module (IRC decision No. P19-2025 dated July 1, 2025).

Also, within the framework of the Committee's tasks, the following issues were reviewed: development of the "ODS (Operational Data Store)" system, development of the corporate bus of JSC "Otbasy Bank", completion of the migration of the electronic document management system from "Documentolog" (https://doc.hcsbk.kz/) to the Business Project Management 2.0 system (http://bpm2), a pilot project on migration to the Nomad E-Learning management console, completion of the task on modernizing the information system (CRM) (the "Dealing with Non-Performing Loans" module) and approving the start of work to connect the branches of JSC "Otbasy Bank" to operate in the module, a pilot project on testing IT Service Management (ITSM) systems, moving the Housing Provision Center module into a separate application, modernization of the Bank's IT infrastructure, implementation of the BigFix endpoint management system, a pilot project of the Distance Learning System, modernization of the TSA-VIDEOBANKING information system, analysis of data storage systems (DSS), review of alternative mobile device management software solutions, implementation of microservice integration between CRM and CSC, redesign of the Baspana Market real estate portal, a pilot project on optimizing the office printing infrastructure—the printing service in branches, planning activities for the implementation of the Data Governance data management strategy for the business block, a pilot project on implementing speech analytics for monitoring calls of the Remote Service Department operators, a pilot project on implementing the "Data Analysis Platform", a pilot project on integrating the Bank's client database with the Smart Data Ukimet service, software development for converting SWIFT messages according to international ISO 20022 standards, the necessity of purchasing IDE (Integrated Development Environment) licenses for 2025 for the functioning of the development process, implementation of a telemetry module to monitor the performance and stability of the Otbasy Bank mobile application using the AppDynamics platform, organizing the automation of the software testing process of JSC "Otbasy Bank" (UI-testing of the "Baspana Market" real estate portal and the "Housing Provision Center" portal), analysis of the Bank's information infrastructure, results of the analysis on implementing IVR on the Service Desk line for automated notification of failures in IT systems, development of an API for integration with EDMS Documentolog to view archival documents on collegial bodies, the necessity of extending the subscription to the service monitoring system, a pilot project on testing the system and developing internal software of the Bank to calculate the income of Individual Entrepreneurs, the necessity of acquiring software customizations for managing and distributing payments coming from external sources, testing the Bank's Data Processing Center (DPC), transitioning to a new architecture taking into account the optimization of current processes in the "Developer's Account" systems, the "RPS" Administrative Panel, and the implementation of a program builder on the Baspana Market real estate portal based on the no-code/low-code principle, transitioning to the new Creatio UNLIM licensing model and updating the Bank's CRM platform, expanding the functionality of the "Landau Graviton" software due to the addition of cash register data processing to calculate the income of Individual Entrepreneurs, creating pre-production environments for critical information systems of the Bank, and forming the target IT architecture of the Bank.

 

6.    Budget Committee

The main goal of the Committee is to ensure the timely and high-quality development of the annual budget/Income and Expense Plan, the Investment Plan, and the Procurement Plan/Long-Term Procurement Plan of the Bank for the planning period, as well as proposals for their improvement, execution, and control.

The main task of the Committee is to review financial and non-financial information to adopt an informed decision in accordance with the Development Strategy and the Development Plan of the Bank when drawing up drafts of the annual budget/Income and Expense Plan, the Investment Plan, and the Procurement Plan/Long-Term Procurement Plan of the Bank.

In the reporting year, the Committee reviewed issues concerning the Budget, the Income and Expense Plan of the Central Office/branches, the needs of the Central Office/branches units, limits, reports on them, and the report and analysis of the execution of the Procurement Plan for goods, works, and services, etc.

 

7.    Controlling Committee

The main goal of the Committee's activity is to assist the Management Board of the Bank in implementing controlling functions in terms of reviewing, planning, and evaluating the key performance indicator maps of the heads of structural units, managing directors, and advisors to the Chair of the Management Board of the Bank.

The tasks of the Committee are:

‒      supporting the work planning process to achieve the set tasks in accordance with the Development Strategy of the Bank.

‒      organizing control over the execution of planned activities by the heads of structural units of the Bank's Central Office, managing directors, and advisors to the Chair of the Management Board of the Bank.

In the reporting year, the Committee reviewed issues regarding the approval, adjustment, and monitoring of KPIs of the Managing Directors, advisors to the Chair of the Management Board of the Bank, and heads of structural units of the Bank's Central Office, as well as the approval and adjustment of target indicators of the Bank's branches.

 

8.    Personnel Committee

The main tasks of the Personnel Committee are:

‒ implementation of the internal personnel policy of the Bank;

‒ coordination of work on the certification of employees, including the resolution of disputed issues;

‒ review of candidates for the formation of the Bank's talent pool;

‒ review of candidates for moral encouragement;

‒ review of facts of violations by the Bank's employees of the requirements of the legislation of the Republic of Kazakhstan and internal documents of the Bank.

In the reporting year, the Committee reviewed issues concerning the personnel policy of the Bank.

 

9. Information Security Committee

The main tasks of the Information Security Committee are:

-     ensuring compliance of the information security management system with the legislation of the Republic of Kazakhstan;

-     maintaining internal documents of the Bank on information security issues up to date;

-     ensuring the minimization of the probability of occurrence of information security incidents and their possible damage;

-     complete and comprehensive analysis of information security issues submitted for consideration by the Management Board of the Bank;

-     maintaining the technical means of information protection of the Bank up to date.

Within its function, the Committee reviews issues concerning IT strategy, ISMS, internal documents of the Bank on IS issues, IS incidents, technical means of information protection, reporting on IS and IT risks, the list of critical information assets of the Bank, etc.

 

10. Commission for Determining the Value and Reviewing Issues on Writing Off Fixed Assets, Intangible Assets, and Slow-Moving Inventory

The main tasks of the Commission for Determining the Value and Writing Off Fixed Assets, Intangible Assets, and Slow-Moving Inventory are the review of issues and adoption of decisions on:

‒ determining the value, terms of standard and useful service of fixed assets and intangible assets of the Bank;

‒ writing off the Bank's property according to the internal regulatory documents of the Bank regulating the disposal of the Bank's property;

‒ conducting a revaluation of fixed assets (buildings, structures) of the Bank in accordance with the Accounting Policy of the Bank on the basis of the conclusion of an independent appraiser;

‒ conducting an impairment test of fixed assets and intangible assets.

In the reporting year, the Commission reviewed issues on the sale and determination of starting and minimum prices of long-term assets, increasing the value of intangible assets, etc.

                             

11. Risk Committee

The main tasks of the Risk Committee are:

‒ preparation of recommendations and proposals on organizing and maintaining an effective risk management system (hereinafter – RMS) and internal control system (hereinafter – ICS) for the Management Board of the Bank;

‒ development of processes designed to identify, assess, monitor, and control the Bank's risks;

‒ coordination of the risk management and internal control process by structural units and branches of the Bank;

‒ ensuring the constant exchange of information on risks and internal control of the Bank among members of the Committee and bringing such information to risk owners, and risk factors with the aim of increasing the risk culture, transparency, and efficiency of the RMS and ICS;

‒ adoption of decisions on issues aimed at increasing the quality of services provided, within the framework of the report on customer appeals (complaints);

‒ coordination and control over the process of outsourcing the Bank's business processes/processes/functions/operations;

‒ assessment of the impact of facts revealed as a result of official investigations and official checks of the Security Department on the Bank's risks and taking measures on them.

In the reporting year, the Committee reviewed issues on operational risks, information technology risks, information security, and internal control, as well as other issues in accordance with the Regulation on the Risk Committee.

 

12. Credit Committee "Decision-Making Center"

The Credit Committee "Decision-Making Center" (hereinafter - DMC) implements the internal credit and deposit policy of the Bank within its powers (since the beginning of 2019).

The composition of the DMC consists of several parallelly operating teams, where the member of each team is determined automatically in the BPM system depending on the evenness of the load on each risk manager/Chief Risk Manager of the Underwriting Department (hereinafter - UD).

The structure of the DMC Committee includes (since January 13, 2025):

 

1.   The DMC composition includes two committee members – the First DMC member represented by the Chief Risk Manager or risk manager of the UD of the Underwriting and Collateral Department (hereinafter - UCD) and the Second DMC member – a member of the Management Board of the Bank, consisting of a primary and alternate Second DMC member.

In the event of the absence of the primary Second DMC member due to their vacation, absence due to illness, or business trip, the adoption of credit decisions on the application is conducted by the alternate Second DMC member.

2.    The DMC 2 team is formed from members of the Management Board of the Bank and consists of a primary and alternate composition. The DMC 2 composition includes two committee members – the First DMC 2 member and the Second DMC 2 member, as well as their alternates, who are appointed by order of the Chair of the Management Board of the Bank, or the person substituting for them.

In the event of the absence of a DMC 2 member from the primary composition due to their vacation, absence due to illness, or business trip, the adoption of credit decisions on the application is conducted by a DMC 2 member from the alternate composition.

The members of the DMC team (First and Second (primary, alternate) DMC members) are appointed by order of the Bank's executive overseeing the UCD - a member of the Management Board of the Bank, or the person substituting for them, in agreement with the Director of the UCD.

The main task of the DMC (DMC team and DMC 2 team) is the implementation of the internal credit policy of the Bank and the management of the Bank's assets and liabilities in terms of granting preliminary, intermediate, and housing loans, as well as adopting preliminary decisions on credit applications/issues of post-credit loan servicing that are received through the BPM system, reviewing and adopting decisions on granting bank loans on credit applications of branches received through the BPM system, and reviewing and adopting decisions on applications for post-credit loan servicing in the Bank received through the BPM system, with the exception of decisions related to issues of: loan restructuring in terms of writing off and canceling the amounts of fines and penalties; writing off penalties and fines on non-performing/overdue loans; releasing/replacing collateral property or a part thereof, including preliminary decisions for persons related to the Bank by special relations; reviewing and preliminarily approving the forgiveness of non-performing/bad debt on overdue/non-performing loans of the Bank; assignment of rights (claims) under bank loan agreements to collection companies, as well as interaction and work with private bailiffs.

In order to implement the internal credit policy of the Bank, the First member of the DMC team performs the following functions: conducting underwriting and assessing credit risks with the preparation of a conclusion corresponding to the internal requirements of the Bank for all credit applications of branches and post-credit loan servicing in the Bank received through the BPM system.

In order to implement the internal credit policy of the Bank, the Second member of the DMC team and members of the DMC 2 team perform functions to adopt decisions/preliminary decisions in an automated mode on credit applications/issues of post-credit loan servicing entered into the BPM system.