Vegetable storages

Networking and developing of existing vegetable storages

Conditions of financing

Instrument loan leasing
Period of financing up to 5 years up to 8 years
Co-financing by the Borrower from 20% of the total Project's cost
Interest rate 6% p.a.
Annual effective interest rate up to 6.5% p.a
Provision required -
Principal repayment at least 1 time a year **
Interest repayment at least 1 time a quarter **
Grace period up to 2 years

** Principal and Interest Repayment Schedule on leasing/loan may be determined individually depending on the particulars of the Project to be implemented, and in case of changing the terms of the funds allocation to "KazAgroFinance" JSC by "National Managing Holding "KazAgro" JSC in accordance with the decision of the Credit Committee of "KazAgroFinance" JSC. At that, periodicity of the principal and interest repayments shall not be less than one stated in the general terms of financing.

Under the investment direction "Networking and developing of existing vegetable storages" the potential borrower shall meet the following requirements:

  • to have legal capacity and to be solvent;
  • not to have a tax debt for a period exceeding three months;
  • not to be subject to procedures of reorganization, liquidation, bankruptcy;
  • not to have formal legal restrictions on business activities;
  • not to have overdue payables;
  • not to have negative credit history;
  • to have sufficient collateral base and other resources to minimize risks of failure to return invested funds and to ensure fulfillment of obligations on financing obtained from the Company;
  • to have qualified staff to implement the investment project;
  • to confirm the will of corresponding authorities of potential bodies of the investment project implementation;
  • to have own and/or attracted from other sources funds for co-financing in amount of not less than 20 % of the total amount of the investment project;
  • to have access to a power source.

Investment projects shall meet the following requirements:

  • ensuring establishment or expansion and/or modernization of existing production with an increase of stored products volume;
  • availability of feasibility study (business plan) of the investment project;
  • profitability and payback period adequate to financing period;
  • usage of modern technologies;
  • the possibility of preferential use of goods, works and services of local producers;
  • availability of calculation of positive Net Present Value (NPV) and efficiency of other indicators of the investment project (Weighted Average Cost of Capital, etc.);
  • absence of encumbrances on the land, where there will be the establishment (construction) of new or expansion and/or modernization of existing production, as well as on other lands planned to be used in the implementation of the investment project, and their subsequent transfer as collateral to the Company to ensure fulfillment of obligations on financing obtained from the Company;
  • considered issues of selection of suppliers of technological equipment and other movable property (special machinery, equipment, etc.), agreement with the supplier of dates of equipment delivery and installation, its technical specification, as well as other conditions;
  • if the investment project includes modernization of existing production, suitability of upgraded facilities for installation of modern technological equipment;
  • ecological safety.

Investment project shall include:

  • introduction of advanced technologies of storage of fruits and vegetables;<
  • the ability to store different kinds of fruit and vegetable crops.