Web Content Display

"KazAgro" National holding" started financing of sowing works in village.    
"KazAgro" National management holding started financing of sowing campaign of 2017. In the current year to support and timely conducting of spring sowing and harvesting works from the Republican budget through structure of "KazAgro" Holding short-term loan is planned in sum of 60 billion tenge.
          Besides budget funds "KazAgro" Holding will support main agricultural activity from other financing sources. For example, in 2016 for sowing and harvesting campaigns the Holding directed with account of budget loan 114.9 billion tenge, in 2015 – 101.3 billion tenge.
       In this year to achieve more coverage of agricultural producers with state financing the first priority as in the previous year will be given to agricultural cooperatives.
Besides, to improve efficiency of state funds use and increase loading of domestic processing enterprises the mechanism of financing is forced into application with account of priority of crops, which is financing with priority of crops determined by the Ministry of agriculture. We talk about such crops as oil (sunflower, rape, flax, soya), barley, sugar beet, rice, corn for grain, cotton, oats, potato.
Lending for spring sowing and harvesting works will be implemented within the following direction:
•Direct lending of agricultural producers with submission of bank guarantees through branch network of "Agrarian credit corporation" JSC;
•Funding of second-tier banks for further financing of agricultural cooperatives and agricultural producers.
•Financing of agricultural producers through credit cooperatives, microfinancial organizations and Regional investment centers.
          Additionally from non-budget funds it is planning to direct for financing of agricultural machines purchasing to fulfil spring sowing and harvesting works through "KazAgroFinance" JSC about 35 billion tenge.

Lending of spring sowing and harvesting works in 2017

      On 6 February 2017 onsite presentations started on renewed program for lending of spring sowing and harvesting works. The first who knew about new lending rated and financing term were farmers of Karaganda region. The presentations are made by management of subsidiary company of "KazAgro" Holding – "Agrarian credit corporation" JSC, and directors of branches.
In 2017 to implement spring sowing and harvesting 60 billion tenge were allocated from the funds of the republican budget. 40 billion tenge "Agrarian credit corporation" JSC will grant through second-tier banks. 15 billion tenge are planned to grant to agricultural producers directly, and 5 billion tenge will be realized through credit cooperatives, microfinancial organizations and regional investment centers.
         "KazAgro" National management holding and its subsidiaries constantly works to optimize loan rates under programs for agrarians financing, and this year the rates to implement spring sowing and harvesting were significantly reduced.
       To diversify planted areas, the Ministry of agriculture of the Republic of Kazakhstan determined a range of priority agricultural crops for which the lending will be implemented. Firstly they are oil crops (*sunflower, rape, flax, soya), planted areas of which shall comprise not less than 407.7 thousand ha. The second in preference is barley with amount of planted area not less than 95 thousand ha. Besides, in the list of priority crops are: sugar beet, rice, corn for feed, cotton, oats and potato.
      Lending of spring sowing on priority crops will continue till 1 April 2017. After this date, all the rest of crops will be financed. Acceptance of applications has already started.
Presentation of renewed program for lending of spring sowing and harvesting is implementing in all regions of Kazakhstan till 20 February 2017.

First Tractor for Spring Field Campaign of 2017    Supplied to Akmolinskaya Oblast
      An active phase of preparation for sowing campaign of 2017 got off the mark in Kazakhstan. Following the start of financing announced by the National Holding "KazAgro" of the upcoming spring field and harvesting works, the national agrarians have started obtaining a new agricultural machinery. In the beginning of February, the first tractor "Kirovets" has been supplied under the leasing program "Master-leasing" being implemented through "KazAgroFinance" JSC. The purchased machinery will be forwarded to the fields owned by "KDK Agro" LLP in Astrakhanskiy region, Akmolinskaya oblast.
           The Head of Farm, Valery Nikishin expressed his appreciation to KazAgroFinance for the prompt efforts since the main key to rich harvest is the timely and proper agro technical measures.
Moreover, on the eve of upcoming spring field and harvesting works of 2017, "KazAgroFinance" JSC, a company within the National Holding "KazAgro", has announced reduction of interest rates on leasing of agricultural machinery and loans.
          As explained by the Company, for the purpose of lightening of cost loading on the borrowers, KazAgroFinance has reduced the interest rates of financing to 17.3% from 19% p.a. The effective rate under the new terms will be from 17.7% p.a.
        The new terms of financing apply to leasing of agricultural, special machinery and equipment, implementation of special programs and some trends of Investment Projects.
It is also worth noting that KazAgroFinance carries on the financing of machinery under the Program "Made in Belarus", where the Government of the Republic of Belarus reimburses 3.6% of interest rate. This Program does not exclude the possibility of obtaining the Kazakhstani subsidies as well.
        Today, KazAgroFinance is implementing the special financing programs: "Express-Leasing" providing for the accelerated consideration of applications, "Harvest" that makes possible to obtain the machinery before the first leasing payment, "Secondary Leasing" that is leasing of used machinery, "Master Leasing" that is opening of a credit line for client, which is disbursed during a year, at that a set of documents is provided once.
       According to the new terms of financing you may apply to the Head Office located in Astana city or the branches and representative offices throughout Kazakhstan.
In 2016, KazAgroFinance leased 3 119 units of machinery to the total amount of KZT55.8 mlrd., including 464 harvesters, 962 tractors, 56 seeding complexes, 104 seeders and  533 units of other domestic and foreign machinery to the republic's agricultural sector.
     More detailed information on programs and terms of financing is available at "Products" tab of KazAgroFinance JSC's website (http://www.kaf.kz/products_company/products/financing-terms/).