Damu Fund fully repaid the Asian Development Bank (ADB) loan in the amount of 47 billion tenge, attracted in 2017 for the implementation of the Investment Program for the Development of Micro, Small and Medium Enterprises in Kazakhstan through STBs and MFIs.
Damu Fund and the Asian Development Bank have been cooperating since 2011. During this period, 4 loan agreements were signed for a total amount of USD 700 million, or KZT 179,229 million.
Tranche 4, the final loan in ADB Investment Program, was concluded in 2017 under the state guarantee of the Ministry of Finance of the Republic of Kazakhstan. JSC Bank CenterCredit, JSC Nurbank, JSC Kassa Nova Bank and JSC Forte Bank, as well as LLP MFI KMF and LLP MFI Arnur Credit took part in the implementation of final tranche of the Investment Program for the Development of Micro, Small and Medium-Sized Businesses in Kazakhstan.
“ADB loans to Damu provided MSMEs with the liquidity to help financing their business operations,” said Nariman Mannapbekov, ADB Country Director for Kazakhstan. “Damu remains ADB’s key partner in supporting MSMEs in Kazakhstan. We are looking forward to working with Damu on similar projects in the future.”
“The successful implementation of the project became possible thanks to the active participation of banks and microfinance organizations. Tranche 4 resulted in 36 000 supported projects for the amount of 363 billion tenge, more than 11 000 jobs created, products released for the amount of 4.4 trillion tenge, and 281 billion tenge in paid taxes. Damu expresses appreciation to ADB for the support in carrying out the project. ADB is Damu’s one of the most important international partners” commented Gaukhar Buribayeva, Chairwoman of the Management Board of Damu Entrepreneurship Development Fund JSC.
Dai Chang Song, ADB’s Principal Financial Sector Specialist commented on the level of the implementation of the program:“ADB is pleased to have provided increased access to finance for MSMEs focusing on lending to women entrepreneurs, especially in the provinces. It has also been supporting capacity-building workshops for women entrepreneurs in all 14 provinces of Kazakhstan to improve the financial, legal and business literacy of women. ADB will look forward to further cooperation with Damu, especially for green investments and micro-financing».