The shareholders of Kazakhstan’s Tengri Bank and Capital Bank Kazakhstan have signed a memorandum of intent to merge, the press-services of two banks said in a message on March 15.
The bank’s consolidated capital will be 43.2 billion tenge and the bank will rise to the 17th place among second tier banks in Kazakhstan.
Currently, both Tengri Bank and Capital Bank Kazakhstan provide full range of investment and banking services for corporate financing and retail banking.
In early Februar Kazakh President Nursultan Nazarbayev urged Kazakhstan’s weak banks to merge. Nazarbayev noted that four banks of the country possessed 80% of the total bank assets and other banks were weak.
“The economy does not need these banks. They should merge or their shareholders should invest their own money if they want to save the banks. There is no other way,” he said.