Damu Fund takes over FFSA’s function of issuing guarantees

Damu Entrepreneurship Development Fund, a subsidiary of Baiterek Holding, has started to perform the functions of the Fund for Financial Support of Agriculture. The order was given by the President in his Message to the People of Kazakhstan in September 2020.

After several state development institutions, including the FFSA, merged into Baiterek Holding, their functions were redistributed to organize effective work with an optimized workforce and without unnecessary administrative expenses. The function of issuing guarantees for small and medium-sized businesses is now performed by the Damu Fund.

All guaranteeing conditions will remain unchanged. They are described in the “Rules for Guaranteeing Loans and Microcredits Issued by Microfinance Organizations and Credit Partnerships in Rural Areas and Small Towns”, approved by the Order of the Deputy Prime Minister of the Republic of Kazakhstan – Minister of Agriculture of the Republic of Kazakhstan #477 dated November 27, 2018.

– The Damu Fund continues providing support for entrepreneurs in rural areas and small towns. Speaking about guaranteeing, our development institution has been working with small and medium-sized agricultural businesses and farmers since 2007. Guarantee is the only tool that allows potential borrowers with low liquidity collateral to receive credit money. The fact that the Damu Fund has taken over the function of issuing guarantees for entrepreneurs in rural areas and small towns is expedient, rational, and beneficial, – stated the press center of the Damu Fund.