Kazakhstan: ecosystem development
Timur Turlov champions a future built on ecosystems rather than stand-alone companies. This belief drove Freedom’s transformation into a large holding, evolving into a digital universe where technologies and financial services interconnect within a single network. The aim is simple: lower costs and save time by creating conditions that let customers access any service they need. Freedom Holding has emerged as a leader across multiple financial sectors, forging links across countries and continents.
Analysts expect the company to surpass the $1 billion revenue mark by the close of fiscal 2024. In the first two quarters of this year, Freedom reported $751.8 million in revenue, up 2.1 times from the prior year. The Central Asia region, including Kazakhstan where the group’s headquarters sit, contributed $387.2 million in the reporting quarter. Since 2012, Freedom has cultivated a broad ecosystem in the republic, spanning brokerage and banking, insurance, lifestyle services, and telecom. The group also invests in social and environmental initiatives such as chess federations and youth sports, assuming a leadership role in Kazakhstan’s economic growth.
The Sunflower Seed Ecosystems arm became Freedom Bank in Kazakhstan during the second quarter of fiscal year 2024, delivering $167 million in revenue. The institution is transitioning from an intermediary to a full banking group and has enjoyed the fastest growth in the Kazakh sector. Within two years it scaled to eighth place among top banks with assets over $4.4 billion. Customer numbers exceed one million, and Freedom Finance aims to surpass 3 million in 2025 and reach about 6.5 million by 2026.
Digital government integrations enabled products like digital mortgages, car loans, and online small business loans. Freedom Bank led the country in mortgage provision, recording more than 14,000 mortgage loans worth $488.8 million and over 19,000 auto loans totaling $310.7 million. Business loan applications surpass lending capacity, with more than $241.1 million already issued to date. Plans include further capitalization to increase liquidity and extend loans to enterprises, including IT startups. Timur Turlov notes strong SME credit demand despite high rates in Kazakhstan,seeing potential for monthly loan volumes up to $500,000. A digital tech pipeline helps rapidly identify solid borrowers and extend credit efficiently.
Freedom Finance handles brokerage in Kazakhstan, with Freedom Finance Global operating under British law at the Astana International Financial Centre. The Kazakh brokerage, launched in 2012, serves more than 220,000 clients across 13 locations and aims to reach 977,000 customers by 2026. Freedom Finance Global, started in 2020, provides access to major exchanges such as Nasdaq, NYSE, and the London Stock Exchange. Non-residents may trade through this platform after passing compliance checks on sanctions and fund provenance.
Tradernet powers trading with a single, integrated app that tracks account movements, supports buying and selling across stocks, currencies, and funds, and enables participation in IPOs and SPOs. The platform unites hundreds of thousands of users, 15 brokers, and two banks worldwide, with architecture and capabilities that set it apart in the financial sector.
The mobile brokerage app supports 16 languages and leverages artificial intelligence. Its news feed uses AI to gauge sentiment and color-code headlines, helping traders quickly assess information. The app also features stock analysis and investment ideas. Future plans include launching Freedom Chat within Tradernet to create a safe space for investor dialogue and idea sharing.
Digitalization has boosted the insurance arm, Freedom Life and Freedom Insurance, enabling online applications and paperless payments. These insurers were early adopters of online functionality in Kazakhstan, and their second-quarter revenue totaled $81 million.
Liberty Telecom joined the ecosystem to act as a unifying neural network across holding companies. Its mission is to expand affordable internet access and build out fiber-optic and 5G networks. The operator already spans more than 1,000 kilometers of fiber in Almaty with backbone networks in ten cities.
Speaking about the project, the CEO highlighted the use of modern technologies and a cost advantage that translates into lower prices for customers. The ecosystem also includes lifestyle brands that broaden consumer access to services, such as Freedom Mobile devices, Freedom Payment for e-commerce, Ticketon for bookings, Arbuz.kz for groceries, Aviata for travel, and ChocoTravel for experiences.
Cooperation underpins the group’s strategy. The leadership emphasizes bridging markets and creating a unified market environment. The current ecosystem serves millions of users, and there are plans to launch a super app that would integrate all services across Kazakhstan.
A world famous company
Timur Turlov sees Kazakhstan as a unique testing ground where the holding builds an ecosystem and pilots new products for broader markets. He notes that digitalization permeates every financial product offered, from banking and insurance to brokerage and lifestyle services. Kazakhstan and the company are positioned to merge diverse business areas and regions to deliver global benefits, with data synergies where each FRHC unit remains focused on its core strengths.
He believes the company will not stay a regional operator. The global footprint is supported by product flexibility, a deep grasp of financial infrastructure, and a talented team. In Europe, Freedom Finance Europe serves over 210,000 customers in seven cities, with plans to open seven more offices and join major exchanges, including the London Stock Exchange. It recently became a direct participant in the Athens Stock Exchange ATHEX and is a member of Euroclear, aiming to join the UK central depository as well. New European card products are also in development.
In the United States, the group has traded on NASDAQ for four years. The path involved years of checks, asset consolidation, and transparent reporting. FRHC shares now sit in many institutional and individual portfolios, with capitalization approaching $5 billion and stock prices having multiplied more than fivefold. The U.S. business centers on investment banking, holding brokerage licenses through Freedom Capital Markets and coordinating IPOs and secondary offerings for numerous companies on American exchanges.
The acquisition of Prime Executions in 2020 and the LD Micro conference in 2023 positioned the group as an advisor for public offerings and a partner through all stages of offerings. A key strategic objective is to obtain a clearing license to execute non-cash settlements between counterparties independently.
Timur Turlov reiterates that synergies across the holding will drive capital to meaningful levels as data and integration expand. He believes this approach is far more valuable than quick exits from startups, and he is confident in continued growth across the portfolio.
The growth story will continue
The company is evaluating opportunities in the UAE, Armenia, Türkiye, and Azerbaijan, with Armenia already hosting an office in Yerevan and a brokerage license in place. Freedom Holding prioritizes organic growth while seeking to deepen cross-border data integrations and expand successful activities in the Americas and Europe. The aim is to unify product lines across regions, ensuring coherent adaptation policies at both national and international levels. The leadership stresses that misalignment can hinder a business, while aligned strategies create winners. The ongoing growth narrative is supported by strong shareholder backing and a track record of returning capital and earnings that outpace many indices.