On March 13 a ceremonial signing of the loan agreements between the "Damu" Fund and the second-tier banks took place at office of "Damu" Fund to place the third tranche of the National Fund of the Republic of Kazakhstan in the amount of 50 bln. tenge for on-lending to SMEs engaged in the manufacturing industry.
These funds were allocated through JSC "NMH "Baiterek", which carried out the loan from the National Fund of the Republic of Kazakhstan through the issuance of bonds, and provided a loan of $ 50 billion tenge to the “Damu” Fund. In turn "Damu" Fund allocates these means to partner banks in the form of a loan with a 20-year repayment term, to be settled by a single amount at maturity.
According to the terms of financing the banks during the year must send these means for lending to entrepreneurs of small and medium-sized enterprises, implementing projects in the manufacturing sector. The allocated funds will be brought to end-use borrowers at a nominal interest rate of not more than 6% per annum and lending up to 10 years.
The maximum loan amount that an enterprise can get within the program is 1 billion 850 million tenge, including previously received funds from the National Fund. A loan can be obtained for the acquisition, development and modernization of fixed assets, as well as for working capital financing and refinancing of existing loans.
This is the third installment of the National Fund, aimed at financing manufacturers. The first tranche of 100 billion tenge was placed in banks in April last year and fully disbursed by November 2014; the second tranche of 50 billion tenge was received from the National Fund on December 10, 2014, and now the process of disbursement continues.
"Allocation of additional 50 billion tenge, taking into account the turnover, according to the 20 years forecast will allow funding the projects of SMEs in general for the amount of 176.8 billion tenge. Forecasted number of funded enterprises in 20 years will be more than 800," Chairwoman of the Board of "Damu" Fund Lyazzat Ibragimova reported. "We also expect that as a result of such lending in the sector of small and medium-sized enterprises more than 7.7 thousand new jobs will be created, and the volume of Kazakhstani products will be increase by 835 billion tenge."