Halyk Bank Business Model Canvas

Collaboration with eGov portals and state registries streamlines onboarding and verification, shortening KYC cycles and scaling access across Kazakhstan’s ~19.6 million population. It enables public service payments, tax collections and social disbursements through Halyk’s channels, reinforcing its role as the country’s largest bank by assets in 2024. Consent-driven data sharing improves credit decisioning and deepens financial inclusion, positioning Halyk as a national utility.

Partnerships with regulators and card schemes ensure compliance and card interoperability, supporting millions of transactions monthly. Tech and fintech partners drive API-led digital services and cloud scalability, reducing time-to-market. eGov, telecoms and merchant acquirers expand onboarding and reach across Kazakhstan’s ~19.6M population; Halyk held ~35% domestic market share in 2024.

Processing card, QR and account-to-account payments is central to Halyk Bank’s daily engagement, driving customer touchpoints across retail and corporate channels in 2024. Merchant acquiring and POS services monetize transaction flows by converting acceptance into fee income and cross-sell opportunities. Cash management solutions deepen corporate stickiness through liquidity, payroll and collection services. Real-time rails and ISO 20022 alignment future-proof the platform for regional interoperability.

Origination, deposit funding and credit portfolio management underpin Halyk Bank, Kazakhstan's largest bank by assets in 2024. Digital channels serve 3.5 million active customers and handle over 60% of retail transactions, with UX/automation cutting manual touchpoints ~40% and platform uptime at 99.95%. Treasury, ALM, risk, payments, e-KYC/AML and cybersecurity sustain operations and regulatory compliance.

Modern core systems, mobile apps, and open APIs enable scale and speed, reducing time-to-market for new products and digital onboarding. Data warehouses and analytics drive personalization and credit/risk models with real-time scoring. Integration layers connect ecosystem partners efficiently via standardized APIs and messaging. High-availability infrastructure (targeting 99.99% uptime) ensures always-on access.

Halyk Bank’s key resources include a strong capital adequacy (~20.7% FY2024), LCR ~145% and retail+corp deposits ~KZT 9.2 trillion supporting lending and liquidity. Assets KZT 13.5 trillion and ~13,000 employees enable scale across banking, insurance, leasing and brokerage. A nationwide network across 17 regions plus modern digital platforms and open APIs drive distribution and product agility.

Segment-based pricing aligns rates and fees to customer value, enabling Halyk Bank, Kazakhstan's largest bank by assets in 2024, to price retail, SME and corporate segments distinctly. Risk-based credit models offer fairer terms by tying interest to borrower risk profiles, supporting portfolio quality. Bundled SME and payroll packages boost client savings and reduce churn, while tailored offers increase adoption and loyalty across segments.

Halyk offers universal one-stop services—banking, insurance, leasing, brokerage, asset management—serving >6 million customers and largest assets in Kazakhstan (2024). Digital-first onboarding and 24/7 self-service boost convenience and engagement, with integrated clients showing ~35% higher product penetration. Risk-based pricing and sector specialists enhance credit fairness, retention and LTV.

Card rewards, cashbacks, and partner discounts drive engagement by incentivizing transactions and boosting average ticket size; Halyk leverages these to deepen retail relationships. Tiered benefits recognize tenure and balance levels, unlocking higher cashback and exclusive rates for premium segments. Perks tied to insurance and investment products encourage cross-sell, reducing churn and lifting customer lifetime value.

Halyk delivers omnichannel support (app, web, branches, 24/7 call center) with CRM of 4.2M retail profiles (2024). Named RMs serve corporate/public/affluent clients, driving cross-sell; Halyk is Kazakhstan's largest bank by assets (2024). Bots resolve ~70% simple queries, cutting wait/errors up to 50%; humans handle complex cases. Rewards and 120k webinar attendees (2024) boost engagement and reduce delinquency.

Halyk Bank operates over 200 branches and 1,000+ ATMs (2024), providing essential advisory, cash handling and complex servicing for corporate and retail clients. Regional branch presence improves accessibility and trust across Kazakhstan’s urban and rural markets. ATMs handle deposits and withdrawals cost-effectively, reducing teller load and operating costs. Branch staff drive sales of higher-value products like mortgages, corporate loans and wealth management.

Halyk Bank’s mobile app (3.9M active users in 2024) is the main retail touchpoint for payments, onboarding, loans and investments, with biometrics and push-driven engagement.

Internet banking provides CFO-grade dashboards, payroll APIs and treasury workflows for corporates, complementing the app for complex services.

Physical network (200+ branches, 1,000+ ATMs) plus call center, embedded banking and open APIs extend reach across Kazakhstan (≈150% mobile penetration, 2024).

Small and medium-sized enterprises require working capital, acquiring, and cash management solutions; fast decisions and simple onboarding drive conversion and retention. Leasing and insurance products de-risk operations and expand cross-sell. In 2024 SMEs account for roughly 32% of Kazakhstan GDP, making this segment a primary engine for Halyk Bank’s fee income and lending growth.

Retail mass market: accounts, payments, cards and small loans drive volumes; Kazakhstan pop ~19.4M, mobile/internet ~85% (2024).

SMEs: working capital, cash mgmt, leasing; SMEs ≈32% of Kazakhstan GDP (2024), key for lending growth.

Large corporates/public sector: trade finance, payroll, liquidity; Halyk is Kazakhstan’s largest bank by assets (National Bank of Kazakhstan, 2024).

Wealth & underbanked: >4 million retail clients (2024); agent networks and digital channels expand inclusion.

Core systems, cloud leasing, software licenses and in-house development absorb a large portion of Halyk Bank’s IT budget, funding modern banking platforms and API ecosystems. Cybersecurity tooling, 24/7 monitoring and disaster recovery are budget priorities to protect customer data and ensure service continuity. Targeted investments enhance scalability and operational resilience while strict vendor management and contract renegotiation control total cost of ownership.

Deposit interest and wholesale funding remain the largest variable costs; 2024 funding emphasized retail deposits and term wholesale lines.

Salaries and benefits for ~10,800 employees drive personnel costs; branch operations add fixed retail-network expenses.

IT, cybersecurity and vendor contracts absorb significant CapEx/Opex; productivity programs since 2022 lowered unit costs.

IFRS9 ECL provisioning, collections and capital buffers shape credit-related charges in 2024.

Premiums from Halyk Bank’s life and non-life offerings create diversified income streams across retail and corporate segments. Underwriting margins are shaped by rigorous risk selection and reinsurance partnerships. Cross-selling through Halyk’s branches and digital channels reduces acquisition costs and boosts persistency. Efficient claims management preserves profitability by containing loss ratios and operational expenses.

Net interest income drives core revenue—Halyk reported NII of KZT 621bn in 2024, supported by a diversified loan mix (retail/SME/corporate). Fee income from accounts, interchange and cash‑management provides recurring revenue while scale (≈40% of Kazakhstan banking assets in 2024) lowers unit costs. Insurance, leasing, asset management and treasury trading add diversified, higher‑margin streams enhancing resilience.