1. Definitions

In these Regulations:

AFSA means the Astana Financial Services Authority.

AIFC means the Astana International Financial Centre.

AFSA means the Astana Financial Services Authority.

AIFC Bodies has the meaning given by article 9 of the Constitutional Statute and the document entitled The Structure of the Bodies of the Astana International Financial Centre adopted by the Management Council on 26 May 2016.

AIFC Regulations means regulations adopted by the Management Council or the Governor, and includes, for example, these Regulations.

AIFC Rules means rules adopted by the Board of Directors of the AFSA, the Board of Directors of the AFSA or the Governor, and includes, for example, the Rules made under these Regulations.

Central Bank means the Central Bank of the Republic of Kazakhstan.

Collateral Instruction, in relation to a payment system, means an instruction by a participant in the payment system that:

• (a) is made in accordance with the Payment System Rules; and
• (b) results, or is intended to result, in the provision of Collateral Security being effected.

Collateral Security, in relation to a payment system, means any realisable assets (including money) provided under a charge, repurchase or similar agreement, or otherwise, for the purpose of securitising rights and obligations potentially arising under the Payment System Rules.

Constitutional Statute means Constitutional Statute of the Republic of Kazakhstan dated 7 December 2015 entitled On the Astana International Financial Centre.

Contravene includes Fail to comply with.

Court means the Astana International Financial Centre Court.

Designated Contract, in relation to a Designated Payment System, has the meaning given by section 10(2)(c).

Designated Payment System means a payment system that is declared to be a Designated Payment System under section 10(1)(a).

Exercise a Function includes perform the Function.

Fail includes refuse.

Failure includes refusal.

Function includes authority, duty and power.

Insolvency Proceeding means any procedure or proceeding under any law relating to bankruptcy, liquidation (including any compulsory winding up procedure or proceeding), reorganisation, composition with creditors, receivership or conservatorship, or any other similar procedure or proceeding.

Jurisdiction means any jurisdiction in any country, and includes the AIFC.

Liquidator, in relation to a participant in a Designated Payment System, means any liquidator, provisional liquidator, receiver, administrative receiver, receiver and manager, liquidation committee, nominee, trustee, conservator, supervisor or other Person who administers the affairs of the participant under or for an Insolvency Proceeding or is appointed under or for an insolvency procedure or proceeding of any kind in relation to the participant.

Management Council means the Management Council of the Astana International Financial Centre.

Management Council Resolution on AIFC Bodies means The Structure of the Bodies of the Astana International Financial Centre, adopted by resolution of the Management Council on 26 May 2016, as amended by resolution of the Management Council, The Amendments and supplementations to the Structure of the Bodies of the Astana International Financial Centre, adopted on 9 October 2017.

Netting, in relation to a payment system, means the conversion into one net claim or obligation, or the set-off of different claims or obligations between participants in the payment system, that results from the issue and receipt of Payment Instructions involving 2 or more participants in the payment system, or that is otherwise provided for under the Payment System Rules:

• (a) whether on a bilateral or multilateral basis; and
• (b) whether or not through the interposition of an operator of the payment system; and
• (c) whether or not the obligations or claims constitute mutual credits, mutual debts or other mutual dealings; and
• (d) irrespective of the currency in which the obligations or claims are denominated.

Payment Instruction, in relation to a payment system, means an instruction by a participant in the payment system that:

• (a) is made in accordance with the Payment System Rules; and
• (b) results, or is intended to result, in 1 or more Settlements being effected.

Payment System Rules means:

• (a) in relation to a payment system that is a Designated Payment System—the rules of the payment system that are contained in the documents specified in the declaration under section 10(2)(b) (Decision on application for designation) in relation to the payment system, as amended by any amendments of the rules that have been notified in Writing to, and agreed to in Writing by, the AFSA; and
• (b) in relation to a payment system not covered by paragraph (a)—the rules of the payment system (whether made under by-laws, agreements, procedures, contracts or other documents) that are evidenced in Writing and that provide, among other things, for the following:

(i) the basis on which Payment Instructions are given;

(ii) the basis on which payments are calculated;

(iii) the basis on which Settlements are effected (whether on a gross basis or using Netting);

(iv) any action to be taken if a participant in the payment system is unable, or likely to become unable, to meet the participant’s obligations to any or all of the following:

(A) an operator of the payment system;

(B) another participant in the payment system;

(C) any other party to the rules.

Person includes any natural person or incorporated or unincorporated body, including a company, partnership, unincorporated association, government or state.

Rules means rules adopted by the Board of Directors of the AFSA under section 26 (Power to adopt rules).

Settlement, in relation to a payment system, means:

• (a) the making of a payment:

(i) that is done in accordance with a Payment Instruction; and

(ii) that is on a gross basis or that uses Netting; and

(iii) whether by way of book entry on the accounts of a central bank, another bank, the operator of the payment system or otherwise; or

• (b) anything else that discharges a payment obligation in accordance with a Payment Instruction or as contemplated by the Payment System Rules.

Writing includes:

• (a) in relation to a certificate, instrument, notice or other thing—the thing in any form that preserves a record of the information contained in it and is capable of being reproduced in tangible form, including by electronic means; and
• (b) in relation to a communication—any method of communication that preserves a record of the information contained in it and is capable of being reproduced in tangible form, including by electronic means.