In Kazakhstan, a pool of projects in the agricultural sector has been identified that will receive preferential financing from commercial banks. As of February 10, Halyk bank selected 89 projects worth 275 billion tenge. This was reported by the press service of the Prime Minister of the Republic of Kazakhstan.
During the selection process at the first stage, the business reputation of company owners, their experience in implementing similar projects, industry specifics, and the provision of regions with specific types of products were assessed. A pool of projects for preferential financing through the Agricultural Credit Corporation and the Development Bank of Kazakhstan will be formed taking into account the second-tier banks included in the portfolio. Financing mechanisms are being worked out.
Among the potential are another 49 projects worth 88 billion tenge.
At the end of 2023, the Ministry of Agriculture formed a portfolio of 500 projects that could potentially receive financing through cooperation with Halyk Bank and financial institutions of the Baiterek holding agro-industrial complex. These projects are mainly focused on priority areas of development of the agro-industrial complex: construction of dairy farms, vegetable storage facilities, development of livestock farming, irrigation projects, processing of grains, meat, fruits and vegetables.
Taking into account the use of government support instruments in the form of subsidizing interest rates, the final rate for agricultural producers will be no more than 6% per annum. One of the main conditions is continuous financing of projects that meet the requirements of state policy for agricultural development.
When discussing projects in the government, Deputy Prime Minister Serik Zhumangarin suggested that financial institutions also consider the possibility of financing working capital. This is a tool to support agricultural producers for spring field work and the production of cheaper socially important food products.