JSC "Kazagromarketing" - operator on subsidizing interest rates on loans, and leasing of manufacturing equipment and agricultural machinery
From July of 2013 the JSC "Kazagromarketing" has been assigned as an operator on subsidizing interest rates on loans, and leasing of manufacturing equipment and agricultural machinery.
Functions of operator:
· Acceptance of documents from financial institutions, monitoring of documentation, and preparation of decisions on conformity/non-conformity of applications of borrowers to requirements of Rules;
· Convocation and organization of Commissions of Administrator for making decision on subsidizing;
· Acceptance and verification of applications from financial institutions for the transfer of subsidies
· Monitoring of subsidized credit agreements (target use of a loan; repayment of borrowers of a principal debt in time/advance; allocation of subsidies for corresponding financial year taking account of earlier signed agreements of subsidizing)
Main objective of the Program?
This Program is aimed to increase the availability of financial services, due to subsidizing half of the interest rates on credit/leasing agreements.
What are the conditions of subsidizing?
Subsidizing is carried out under the loan agreements with fixed nominal interest rate of no more than 14% per annum in tenge, and no more than 10% per annum in foreign currency, and it includes following conditions:
- on loan agreements for replenishment of the turnover, construction and acquisition of fixed assets, and also for obtaining a manufacturing equipment, agricultural machinery on leasing, subsidizing is carried out by lowering interest rate by 7% (seven) per annum in tenge and by 5% (five) per annum in foreign currency.
- on loan agreements for obtaining an agricultural machinery and equipment for an animal husbandry and forage production industry subsidizing is presented by lowering interest rate by 10% (ten) per annum in tenge and by 7% (seven) in foreign currency (according to the equipment list provided by Rules).
Subsidizing period is counted according to the requirements in Rules, without any reconsideration of Commission.
Which agreements are not subject to subsidizing?
!!! Loan agreements are not subject to subsidizing, on which support is carried out in a form of subsidizing interest rate with other state and/or budget programs, and also loan agreements, which have been financed at the expense of means of republican budget and National fund of the Republic of Kazakhstan.
What agreements are allowed for combined subsidizing?
!!! Subsidizing the interest rate on credit and/or leasing is allowed to be combined with state support programs on guaranteeing and insurance of loans, subsidizing for cost reduction in a case of acquisition of fixed assets (which includes biological assets), compensation of part of expenses, incurred by the subject of agro-industrial complex by investments focused on building new or expansion of operating production capacities.