As Japarova explained, amendments have been made to the legislation on the protection of bank deposits, allowing banks that issue electronic money to be under the protection of the Deposit Protection Agency. In the current conditions of the financial market, in addition to traditional bank accounts, the active use of electronic wallets is also on the rise.
“It is proposed to extend the inheritance practice regarding bank accounts to electronic wallets, as the number of their owners is growing, and the amount of funds in such accounts is already quite significant,” Japarova noted.
She added that this decision was made considering the increase in citizens' funds in electronic wallets, and the National Bank supported the changes proposed by the Ministry of Justice. The draft law will now be submitted for consideration to the Jogorku Kenesh.
Reference
LAW OF THE KYRGYZ REPUBLIC
“On Amendments to Certain Legislative Acts of the Kyrgyz Republic on Inheritance of Electronic Money”
Article 1
Amend part II of the Civil Code of the Kyrgyz Republic (Bulletin of the Jogorku Kenesh of the Kyrgyz Republic, 1998, No. 6, Art. 226):
1) part 1 of article 1120 shall be stated in the following wording:
“1. The inheritance includes all rights and obligations, including rights to electronic money and other digital assets that have monetary expression, which belong to the testator at the time of the opening of the inheritance, and which do not cease with his death.”;
Article 2
1. Amend the Law of the Kyrgyz Republic “On the Payment System of the Kyrgyz Republic” (Bulletin of the Jogorku Kenesh of the Kyrgyz Republic, 2015, No. 1, Art. 21):
1) supplement article 6 with parts 12 and 13 of the following content:
“12. In the event of the death of the owner of electronic money, the rights to the return of funds are included in the inheritance according to the civil legislation of the Kyrgyz Republic.
13. The issuer of electronic money is obliged, upon receiving official notification of the death of the owner:
1) to cease all operations on the deceased's electronic wallet;
2) to provide the notary, upon request, with information about the availability of funds, their volume, and the wallet details;
3) to issue or transfer the funds in the deceased's electronic wallet to the heirs or their legal representatives based on documents confirming inheritance rights, in accordance with the legislation of the Kyrgyz Republic.”;
Article 3
Amend the Law of the Kyrgyz Republic “On Banks and Banking Activities” (newspaper “Erkin-Too” dated August 17, 2022, No. 72-74) as follows:
1) in paragraph 5 of part 3 of article 67, replace the words “deceased depositors” with “the presence of electronic money in the electronic wallets of deceased persons.”
Article 4
This Law shall enter into force ten days after its official publication.
