After establishment in November 2014
By Business Editor joy cho
In November 2014, Shinhan Card established Shinhan Finance Limited (Shinhan Finance) in Almaty, Kazakhstan, the first overseas subsidiary of Shinhan Card.
Shinhan Finance operates its main product, automobile installment financing (95% of total assets), and other credit and mortgage products (5% of total assets) through its head office in Almaty and three network offices (Astana, Shymkent and Aktau).
In 2021, Shinhan Card entered into a partnership relationship with Aster, a top-tier local automobile dealership, which has delivered remarkable results over the past two years.
Based on this, in December 23, Shinhan Card laid the foundation for growth through a joint partnership agreement with Aster, and grew to the 5th largest company among 237 local MFOs (Micro Finance Organizations).
The signing of the joint venture agreement is the first time a domestic financial company has attracted direct investment from a top-tier dealer in the Republic of Kazakhstan. The joint venture agreement will be transformed into a joint venture (JV) company with an equity capital of approximately KRW62 billion through an investment of approximately KRW31 billion from Astor over the next five years, and Astor is expected to eventually acquire a 49.9% stake in the JV.
Shinhan Kazakhstan Bank, the Kazakh subsidiary of Shinhan Bank, was established in December 2008. Currently, it is the only Korean bank in Kazakhstan that handles banking services such as deposits, loans, and foreign exchange, and plays an important role in helping Korean companies entering Kazakhstan.
Shinhan Financial Group's future vision in Kazakhstan's financial market:
In 2024, Shinhan Finance (the local subsidiary of Shinhan Card in Kazakhstan) is 10 years old and has entered a new leap forward stage by evolving from a partnership with a top-tier automobile dealership to a joint venture. Based on the synergies between the two companies, it will become a leading 'specialized retail lender' in Kazakhstan's retail banking market.
In addition, the Shinhan Finance plans to grow into a top multi-finance company representing the Central Asian region within three years by expanding its business in the regions of products, channels, and markets by combining the financial know-how of Shinhan Card (Korea).
Shinhan Bank Kazakhstan (local subsidiary of Shinhan Bank in Kazakhstan) will not only help Korean business companies enter Kazakhstan but also contribute to strengthening efforts to attract funds from MNCs (multi-national corporations).
Furthermore, the Shinhan Bank Kazakhstan will strive to become a financial institution that can contribute to the economic development of Kazakhstan by providing loans to local customers in Kazakhstan in conjunction with MDBs (Multilateral Development Bank) and other organizations.