Aidar Arifkhanov: “Message of the resident – is a focus on sustainable development of Kazakhstan”

29.10.2018

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Chairman of the Management Board of the Holding Adar ARIFKHANOV, told about the role of the “National Managing Holding “Baiterek” in the implementation of the Head of State’s message “Growth in prosperity of Kazakhstan people: rise of income and improvement of the life quality”.

 

- First, it should be noted that the Message of Head of State Nursultan Nazarbayev has a specific social meaning and is aimed at ensuring the life quality improvement of our citizens. Under modern conditions, when the economies of many countries, international markets in general are experiencing a period of recession, our President gives a clear signal: the state will continue to focus on sustainable development and large-scale support of the population.

Second, for “Baiterek” Holding, which is the operator of a number of key state programs, the positive assessment by the Head of State of “Road Map of Business” and “Nurly zher” programs implemented by our Company is of great importance.

Now under the instruction of the Head of State these programs have been extended until 2025 - this is a very big help to the population. At the same time, it is a powerful incentive for the development of small and medium businesses, as well as housing sector.

It is planned to allocate up to 30 billion KZT annually for the implementation of “Business Road Map” program. This will allow creating more than 20 thousand new jobs, ensure the return of more than 220 billion KZT of duties and products output in the amount of 3 trillion KZT additionally for three years.

As for the implementation of the third object of the Message “Creating of a Comfortable Living Environment”, the Holding, together with our subsidiary – Zhilstroysberbank developed a mechanism for housing providing to socially vulnerable groups using housing certificates. This mechanism will be adjusted after consulting with government bodies.

In general, it is planned to create personal certificates issued by akimats at the expense of the local budget, certifying the right of citizens of the Republic of Kazakhstan to receive funds for the housing procurement in the primary market through the system of housing construction savings. The cost of a housing certificate is planned to be determined at the rate of 10% of the housing cost. The customer accumulates the remaining 10% of the initial payment or makes a lump sum to his account at “ZHSSBK” JSC.

Third, the Message pays special attention to the promotion of Kazakhstan goods on international markets. In particular, it was instructed to allocate an additional 500 billion KZT to support the manufacturing industry and non-oil and gas exports over the next three years. This is a very big help to our manufacturers.

As for our contribution, in the next three years the Holding plans to support exporters in the amount of 300 billion KZT, 95 billion KZT of which are available funds of the Development Bank of Kazakhstan, 125 billion KZT due to the return of previously allocated funds and 80 billion KZT by attracting funds of the Republican budget for trade financing of DBK.

Currently, through the mechanisms of the Development Bank of Kazakhstan, large-scale support for large businesses is already being implemented. Over the last three years, DBK has financed 15 major investment projects in the manufacturing industry and production infrastructure in the amount of more than 280 billion KZT. The total export revenue from the supported enterprises has increased by more than 370 billion KZT. Currently, DBK has formed a pipeline project for 2019 in the amount of 95.8 billion KZT.

To increase export turnover, the Holding offered to redirect part of the released funds to support export-oriented projects. In particular, it is proposed to direct 25 billion KZT from allocated 100 billion KZT to finance the LCE, and from the allocated 200 billion KZT to support export-oriented SME projects, it is proposed to reorient 100 billion KZT. According to estimates of the Holding, 1 KZT invested in pre-export financing generates 1.35 KZT of export earnings.

As a result, it should be noted that each field implemented in the Message of the Head of State has a specific economic and social effect, which brings real benefits to the sustainable development of the state and life quality improvement of Kazakhstan people. In general, the Holding, thanks to the well-coordinated work with government bodies, domestic and foreign business partners, as well as with the active participation of citizens of the country effectively performs all the objects.