S&P Global Ratings and Moody’s Upgrade Ratings of Freedom Holding Corp. Subsidiaries

International rating agencies have improved their assessments of financial companies within the Freedom ecosystem. S&P Global Ratings affirmed Freedom Bank’s ratings at BB-/B, upgraded its national scale rating from kzA- to kzA, and revised the outlook from Stable to Positive. Moody’s assigned Freedom Life its first-ever Baa3 investment-grade rating, while Freedom Insurance received a Ba1 rating. Both ratings carry a Stable outlook.

Positive Outlook from S&P

S&P Global Ratings is one of the world’s leading rating agencies, assessing the creditworthiness of companies, banks and sovereigns, as well as their ability to meet debt obligations in a timely manner. Investors and creditors rely on its ratings because the agency provides independent assessments of credit risks and enables comparisons between companies.

S&P Global Ratings affirmed the long- and short-term credit ratings of Freedom Bank Kazakhstan JSC at BB-/B, while revising the outlook on the long-term rating from Stable to Positive. The bank’s Kazakhstan national scale rating was upgraded from kzA- to kzA. This means that S&P now assesses Freedom Bank’s creditworthiness more highly relative to other borrowers within Kazakhstan. The national scale reflects relative credit risk specifically within the domestic market and is not intended for direct comparison with international ratings.

The Positive outlook means that S&P Global Ratings could upgrade the bank’s rating within the next 12 months if its assessment of economic risks in Kazakhstan improves. The agency had previously upgraded Kazakhstan’s sovereign rating from BBB-/A-3 to BBB/A-2, noting the strengthening of the government’s capacity to meet its financial obligations. S&P also revised its assessment of Kazakhstan’s banking industry risk from 7 to 6.

In its assessment of the Freedom group, S&P specialists highlighted the development of a consolidated risk management and compliance framework. The agency believes that stronger controls at both the holding company and subsidiary levels will help monitor risks as the business expands. Capitalization is expected to be supported by moderate balance-sheet growth and earnings diversified across different business segments and countries.

Bank Expands Assets and Revenue

As of July 1, 2026, Freedom Bank’s assets reached $6.2 billion. In the first quarter of fiscal year 2027, the bank moved from ninth to seventh place among Kazakhstan’s banks by total assets.

In June 2026, its deposit portfolio increased by 45% year on year, the highest growth rate among the country’s ten largest banks. Customer liabilities, including deposits and accounts, reached $3.566 billion as of June 30, compared with $2.266 billion a year earlier, representing an increase of 57.4%. The loan portfolio stood at $2 billion, while non-performing loans accounted for 2.77%.

The bank’s revenue in the first quarter of fiscal year 2027 increased by 54%, from $146.242 million to $225.226 million. Net profit declined from $17.371 million to $3.685 million. For the full fiscal year 2026, revenue reached a record $689.202 million, while net profit amounted to $84.003 million.

The bank continues to develop its digital model: a mortgage can be processed in up to 24 hours, from application submission to contract signing. For entrepreneurs and companies, Freedom Bank has launched the Freedom Business application with a built-in AI assistant. The banking business is also expanding beyond Kazakhstan: the company has established a subsidiary bank in Tajikistan and received regulatory approval to open a bank in Georgia.

How Freedom Bank’s Ratings Have Changed

In March 2026, international rating agency Moody’s assigned Freedom Bank its first-ever long-term deposit rating of Ba3 with a Stable outlook. The agency highlighted the bank’s capitalization, growth in its customer base and deposits, development of its retail and digital businesses, and the bank’s role within the Freedom Holding Corp. ecosystem.

In June, S&P Global Ratings upgraded the bank’s long-term rating from B+ to BB-, affirmed its short-term rating at B, and assigned a Stable outlook. Its national scale rating was also upgraded from kzBBB+ to kzA-. The decision was based on the strengthening of the group’s overall risk management and compliance framework over the previous three years.

In September, the agency affirmed the bank’s international ratings at BB-/B, revised the outlook to Positive, and upgraded the national scale rating by another notch to kzA.

Freedom Life Receives Its First Moody’s Rating

Moody’s, which assesses the creditworthiness of companies and sovereigns, assigned Freedom Life its first Baa3 insurance financial strength rating in both local and foreign currency, with a Stable outlook.

Baa3 is an investment-grade rating and corresponds to the BBB level on the S&P and Fitch scales. Freedom Life became the first company within Freedom Holding Corp. to receive an investment-grade rating from Moody’s. In other words, the agency assesses the insurer’s ability to meet its financial obligations as relatively strong, with the associated credit risks considered comparatively low.

Among Freedom Life’s main strengths, Moody’s highlighted asset quality, capitalization, profitability and market position. In 2025, the company ranked third among Kazakhstan’s life insurers and accounted for approximately 20% of the market by insurance premiums.

At the end of 2025, approximately 90% of Freedom Life’s invested assets were allocated to fixed-income instruments. The portfolio consisted primarily of securities issued by Kazakhstan’s government, quasi-government entities and government-related issuers.

Moody’s expects Freedom Life to maintain solid profitability, supported by investment income and the spread between asset yields and guaranteed rates under insurance contracts. The Stable outlook assumes that over the next 12–18 months, the company will maintain its market position and a stable financial profile.

Among long-term risk factors, the agency highlighted the growing share of pension annuities and the related challenges of managing assets and liabilities.

Stable Outlook for Freedom Insurance

Moody’s also assigned Freedom Finance Insurance its first Ba1 insurance financial strength rating in both local and foreign currency, with a Stable outlook.

Ba1 is the highest level within the speculative-grade category, one notch below the investment-grade Baa3 rating. It corresponds to the BB+ level on the S&P and Fitch scales. The rating indicates a relatively strong ability to meet financial obligations, although the company’s resilience is more sensitive to changes in the business and economic environment than that of investment-grade insurers.

Moody’s identified Freedom Insurance’s market position, asset quality, conservative investment strategy and capital adequacy as its key strengths. In 2025, the company ranked third among Kazakhstan’s general insurers and accounted for approximately 10% of the market by gross insurance premiums.

At the end of 2025, approximately 90% of Freedom Insurance’s invested assets were allocated to fixed-income instruments. The portfolio was concentrated primarily in Kazakhstan government and government-related securities, limiting the company’s exposure to high-risk assets.

Moody’s expects Freedom Insurance’s profitability to improve over the next 12–18 months, supported by a recovery in underwriting performance and investment income, while capital adequacy is expected to remain strong. The Stable outlook assumes that the company will maintain its market position and financial profile.

The rating could be upgraded in the future if the insurer improves its risk profile and continues to strengthen its position in the Kazakhstan market.

Digital Insurance and Product Portfolio

Freedom Life’s net insurance revenue for fiscal year 2026 totaled $279 million. The company serviced more than 325,000 active policies, while a policy can be issued digitally in less than five minutes.

Freedom Life offers pension annuities, travel, health, education and sports insurance, savings products, as well as the corporate programs Freedom Security and Freedom Health. Demand for pension annuities was one of the key drivers of revenue growth.

According to Moody’s, integration into the Freedom Holding Corp. ecosystem supports brand awareness, cross-selling opportunities and access to customers through the Freedom SuperApp. By March 2026, the number of registered users of the application had exceeded 5 million.

Before Moody’s, Freedom Life’s existing rating had been assigned by S&P Global Ratings. In October 2025, the agency upgraded the rating from BB to BB+ and maintained a Stable outlook. Moody’s new Baa3 rating is investment grade and represents the agency’s first rating of the company.