ASTANA – AIFC Insights has published the first region-wide comparative study of capital markets in Kazakhstan, Uzbekistan, the Kyrgyz Republic and Azerbaijan. According to the report, Kazakhstan has the most developed capital market ecosystem among the four countries, supported by more than $110 billion in sovereign savings and a comparatively mature market infrastructure.
Photo credit: AIFC
The report analyzes market structure, institutional and regulatory frameworks, and investment trends across the four economies, while identifying common challenges that continue to hinder capital market development in the region, reported AIFC.
“This report provides an overview for stakeholders, including investors, financial institutions, regulators, industry experts, and market participants, who seek to understand the dynamics shaping capital markets in Central Asia and the Caucasus,” said AIFC Governor Renat Bekturov.
“Structural reforms, growing macroeconomic resilience, and increasing integration with global financial systems are reshaping how capital is mobilized, allocated, and invested across the region. At the AIFC, we view regional cooperation, transparency, and investor confidence as essential foundations for capital market development,” he said.
Retail investors continue to play an increasingly significant role in Kazakhstan’s capital market, according to the report.
As of the end of September, the number of brokerage accounts reached 4.62 million at the Kazakhstan Central Securities Depository (KCSD) and 2.17 million at the Astana International Exchange’s Central Securities Depository.
The report indicated that in 2024, retail investors accounted for 62.1% of trading volume on the secondary stock market, and 55.2% for the first nine months of 2025. During the same period, the number of stock trades rose to 4.5 million, compared with 3.6 million for all of 2024.
The debt market remains the backbone of the economy’s financing system. As of the end of September, the total volume of corporate and government bonds stood at approximately $81 billion, or roughly 43% of the country’s GDP.
In Uzbekistan, the combined market capitalization of listed equities stands at approximately $22 billion, but the value of shares available for public trading is estimated at just $350 million. The report noted this limits the depth and liquidity of the secondary market.
Kyrgyzstan’s market is showing gradual infrastructure development and growth in trading activity. By June 2025, trading volume on the Kyrgyz Stock Exchange reached $573.9 million, nearly double the figure for all of 2023.
As of September 2025, shares of 23 issuers with a combined market capitalization of approximately $2.6 billion were listed on the Kyrgyz Stock Exchange.
In Azerbaijan, while the hydrocarbons sector remains the main driver of the country’s GDP, exports and fiscal revenues, the country’s first-ever IPO (Initial Public Offering) in 2024 marked a milestone for its capital market development.
According to the report, debt instruments continue to dominate the domestic market. Activity on the Baku Stock Exchange rose in the first three quarters of 2025 after government bond placements worth roughly $2.3 billion.
To provide a comparative perspective, the report also examines the experiences of Poland, Vietnam and Abu Dhabi in the United Arab Emirates, highlighting how these markets have achieved significant growth and scale since the 1990s.
