Client alert: change affecting grounds for refusing recognition in Kazakhstan under the AIFC Court

Alert: Change affecting grounds for refusing recognition in Kazakhstan under the AIFC Court Effective: March 2027

The AIFC Court has revised its approach to the grounds on which recognition of foreign court judgments and arbitral awards may be refused in Kazakhstan. The change affects both the procedural threshold for challenging recognition applications and the substantive basis on which the AIFC Court will decline to give effect to a foreign decision.

Foreign creditors holding judgments or arbitral awards against Kazakhstani counterparties — and creditors whose debtors have assets in Kazakhstan — are directly affected. Under the revised approach, the AIFC Court applies a narrower reading of the public policy exception and a more defined procedural standard for raising jurisdictional objections to recognition. Creditors who obtained foreign judgments in proceedings that did not follow the AIFC Court's notification and service requirements may face new procedural obstacles that were not present under the previous framework. Equally, creditors with strong awards from recognised institutional arbitral bodies should find the revised framework more predictable, since the grounds for refusal are now more precisely circumscribed.

Recommended action:

• Review any existing judgment or arbitral award you intend to enforce against assets in Kazakhstan and assess whether the award was obtained in a forum and manner consistent with the AIFC Court's updated recognition standards.
• If enforcement proceedings have not yet been initiated, instruct Kazakhstan-qualified counsel to advise on the revised procedural requirements before filing — in particular, on notification formalities and the scope of the public policy exception as currently interpreted.
• If proceedings are already under way, request a review of the jurisdictional objections your counterparty may now raise under the revised grounds.

[CTA: For an assessment of how this change affects your enforcement position in Kazakhstan — make an enquiry: info@vetrovpartners.com | WhatsApp/Telegram: +7 (983) 510-38-76]

This alert is for informational purposes only and does not constitute legal advice. Vetrov & Partners is a Russian-qualified law firm. Contact info@vetrovpartners.com for advice on your specific situation.

— Daniyar Abenov Contributing Regional Analyst — Kazakhstan · Enforcement, Asset Recovery and AIFC Procedure vetrovpartners.com/contributions/