We have already looked at two dimensions of the banking landscape: who is the largest (asset ranking) and who is the most efficient (profitability, ROA and ROE). The next question is which banks strike the best balance between scale and performance, where both size and operational strength matter.
The top-ranked banks are:
1️⃣ JSC Citibank Kazakhstan – 87.0 points. The bank leads the ranking thanks to exceptional profitability (ROA of 7.3% and ROE of 84.9%), a strong net interest margin of 12.1%, and zero non-performing loans. It is one of the few banks where every major component of the index contributes positively.
2️⃣ JSC Halyk Bank of Kazakhstan – 79.3 points. The bank climbed from third to second place. Its greatest strengths are the largest asset base and the highest profit in the sector. With ROA of 5.0%, ROE of 29.1%, and a net interest margin of 7.1%, it maintains a consistently resilient profile. Its higher non-performing loan ratio of 7.5% compared with the top-ranked banks slightly limits its overall score.
3️⃣ JSC Kaspi Bank – 79.1 points. Despite slipping one position, the bank remains among the sector’s most balanced institutions. It delivers the second-highest profit in the system, ROA of 5.9%, ROE of 39.6%, and a strong net interest margin of 9.3%. Its non-performing loan ratio of 9.8% weighs on the index, but the combination of scale and profitability keeps Kaspi Bank firmly in the top three.
4️⃣ VTB Bank Kazakhstan JSC Subsidiary – 68.6 points. The bank posts the highest ROA in the sector at 18.7%, an ROE of 49.6%, and one of the strongest net interest margins at 12.2%. However, its non-performing loan ratio of 15.1% significantly reduces its overall score.
5️⃣ JSC Industrial and Commercial Bank of China in Almaty – 67.3 points. Although relatively small in scale, the bank scores highly on efficiency, with ROA of 4.5%, ROE of 26.8%, and zero non-performing loans. Its main constraint is its comparatively modest asset base and profit.
6️⃣ JSC Bank CenterCredit – 64.8 points. A sizeable balance sheet, solid earnings, and a relatively low non-performing loan ratio of 3.5% support its position. At the same time, ROA of 2.7% and a net interest margin of 6.0% remain below those of the leading banks.
7️⃣ JSC ForteBank – 61.1 points. The ranking reflects a well-balanced profile across profit, ROA, ROE, and a non-performing loan ratio of 6.4%. Its main weakness is a comparatively lower net interest margin of 5.5%.
8️⃣ Bank of China Kazakhstan JSC – 58.4 points. The bank benefits from solid ROA, a net interest margin of 6.0%, and no reported non-performing loans under the methodology used. Its relatively small scale remains the key limiting factor.
9️⃣ JSC Otbasy Bank – 57.0 points. A large balance sheet, strong profitability, and a minimal non-performing loan ratio of just 0.4% support its score. More moderate ROA, ROE, and net interest margin, however, constrain its overall index result.
🔟 Kazakhstan-Ziraat International Bank JSC – 55.7 points. The bank stands out for its strong efficiency, with ROA of 7.2% and a net interest margin of 10.5%. A low level of non-performing loans also supports its performance, but its relatively small scale prevents it from moving into a higher tier of the ranking.
The composite index is particularly useful because it quickly explains why some banks fall outside the top tier:
▫️JSC Bank RBK – 47.7 points (14th place). Despite solid profit, an ROE of 26.1%, and a moderate level of non-performing loans, its interest-rate model is the weakest link, with a net interest margin of just 0.2%.
▫️JSC Islamic Bank Zaman-Bank – 39.1 points (18th place). Strong ROA of 6.6% and a net interest margin of 8.5% are overshadowed by an exceptionally high non-performing loan ratio of 75.2%, which sharply reduces its overall score.
▫️JSC KMF Bank – 16.1 points (22nd place) and JSC BNB Commercial Bank – 1.4 points (23rd place). Weak or negative trends in profitability and efficiency translate into minimal scores across the index’s key components.
The practical value of the composite index lies in showing that the strongest banks are not necessarily the largest or the most profitable. Instead, they are the institutions that consistently perform well across multiple dimensions while avoiding weaknesses that materially erode their overall performance.
This article was translated with the assistance of artificial intelligence.
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