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A strategic session dedicated to the development of agricultural financing was held at ‘Baiterek’ National Managing Holding JSC.
Chairman of the Board Almat Ashirbekov delivered a report on the 2024 performance of Agrarian Credit Corporation JSC (ACC), focusing on key financial indicators, the digitalisation of financial processes, and the financing of agro-industrial projects.
The event was attended by the Holding's independent directors Marie-Hélène Berard, Daniel Witt, Manfred Grundke, Niyaz Koshkimbayev, as well as Managing Director of ‘Baiterek’ Holding and Aidar Prashev, Chairman of KazAgroFinance JSC.
Financial Results and Lending to Agrarians
In his report, Almat Ashirbekov emphasised that in 2024, ACC demonstrated steady growth in financial performance. The consolidated loan portfolio increased by 20%, reaching $3.3 billion (KZT 1.8 trillion).
"The main share of ACC's portfolio (57%) is held by direct borrowers — $1,239.1 million (KZT 650.7 billion). Loans provided through credit partnerships account for 32% of the loan portfolio. Another 7%, or $158.8 million (KZT 83.4 billion), are loans issued through second-tier banks. The remaining 4% is attributed to other financial institutions," said the Chairman of the Board.
The corporation's net profit grew by 29%, provisionally totalling $51.4 million (KZT 27 billion).
Over the past three years, lending to farmers has increased from KZT 528.1 billion to KZT 818.2 billion. For spring fieldwork and harvesting in 2021, funding amounted to KZT 70 billion, while in 2024, it reached KZT 321.5 billion. Under the Ken Dala programme, KZT 140 billion was allocated last year, and KZT 181.5 billion under the Ken Dala 2 programme. The preferential interest rate for borrowers was 5% per annum.
Financing of agro-industrial projects
The development of investment projects remains one of the key areas of ACC's activities. Overall, more than 500 projects worth $1.22 billion (KZT 574 billion) were supported, of which $896.9 million (KZT 421 billion) was allocated for the processing of agricultural products, dairy farms, greenhouses, and breeding facilities.
In 2024, 27 projects worth $47.2 million (KZT 22.2 billion) were put into operation. These include facilities for irrigation, storage and processing of agricultural products, dairy farms, poultry farms, greenhouses, and orchards.
Digitalisation of lending
Almat Ashirbekov emphasised that ACC is actively implementing digital solutions to simplify and accelerate credit processes.
"An online platform has been developed to review applications for microcredit, integrated with state databases and more than 50 services. The application process consists of three steps, allowing applicants to receive a preliminary decision within five minutes," he said.
Among the key digital initiatives:
"Work is underway to automate post-loan servicing, which will enhance transparency and efficiency in loan portfolio management," said the Chairman of the Board of ACC.
Perspectives for 2025
In conclusion of his report, Almat Ashirbekov outlined ACC's key plans for 2025.
"Work to improve lending processes will continue. We plan to increase the volume of financing for ACC and KazAgroFinance by over KZT1 trillion. The introduction of an early financing mechanism will allow farmers to carry out timely sowing this year," he emphasised.
Work will continue on optimising the review of applications. Online monitoring of collateral will be introduced, the capabilities of the AGROCREDIT APP mobile application will be expanded, and online registration of collateral using blockchain technology will be implemented.
The strategic session showed that the development of digital technologies and financing of strategic projects are key areas of ACC's work. Simplification of lending procedures, expansion of financing programmes, and the introduction of modern digital solutions will help strengthen support for the agricultural sector and ensure its sustainable growth.
