Akimat of Almaty will advance cooperation with JSC "NMH "Baiterek"

Akim of Almaty Erbolat Dossaev met with Kanat Sharlapaev, Chairman of the Board of Baiterek NMH JSC, to discuss the prospects for further development of Almaty. We are talking about long-term cooperation in terms of financial support for entrepreneurs, renovation of the city's housing stock, implementation of ESG projects, etc.

In order to develop the city's industry, the issue of financing small industrial parks and projects in the Industrial Zone of Almaty through the Industrial Development Fund JSC is currently being worked out. As part of the project, businesses will be able to purchase equipment worth at least 80 million tenge on lease for a period of 3 to 20 years at a rate of 3% per annum. The expected effect of the program is to increase business activity and create new jobs.

In order to provide affordable financing to entrepreneurs with the co-financing of Damu EDF JSC, it is planned to make changes to the Almaty Business regional program by including factoring transactions, increasing the amount of financing for projects in the FEZ up to 500 million tenge, setting an interest rate for SMEs at 6% per annum.

In order to support exporters, it is planned to provide pre-export financing of projects through DBK JSC to replenish working capital at a rate of up to 12% per annum, which will provide support for domestic producers in the international market.

The parties discussed the prospects for the development of the machine-building industry. In particular, the financial support of KDB JSC for the construction of auto components plant based on Hyundai Trans Kazakhstan is being discussed. The project will increase the level of localization of production by 8% and increase the export potential of Almaty.

A number of issues were considered on the participation of subsidiaries of the Baiterek holding in terms of the renovation program for housing stock of Almaty for 2021-2025.

“We are interested in cooperation with the Baiterek holding in terms of supporting SMEs, and in the implementation of large infrastructure projects in the energy, transport, manufacturing industry, and in matters of housing programs. We are also ready to issue green bonds by autumn to implement ESG projects, upgrade the bus fleet with environmentally friendly public transport, and more,” said Erbolat Dossaev.

Following the meeting, the parties agreed to develop a joint Roadmap between the Almaty Akimat and the Baiterek holding in order to further implement promising projects and initiatives for the development of the city with a deadline of up to 2025.