Under the support of the Development Bank of Kazakhstan JSC, a subsidiary of “Baiterek” NMH” JSC, production of high-voltage transformers and shunt reactors, Asia Trafo, was launched in Shymkent.
According to representatives of the enterprise, the plant has no analogues in Central Asia: it is the only one in the region that manufactures transformers with a capacity in the range of 110kV - 500kV. Moreover, the equipment is produced based on its own unique technologies. This year it is planned to launch the production of electric power equipment of similar capacities. The products will be supplied to the markets of the CIS countries, Iran, Afghanistan, and Pakistan. According to representatives of Alageum Electric Company, the capacity of the enterprise is 120 transformers per year, while more than 500 people are provided with jobs.
The construction of the plant was started in 2017 within the State Program for Industrial and Innovative Development (SPIID). The total value of the project has amounted for about 18.9 billion tenge, financial resources in the amount of almost 8.7 billion tenge have been provided as a loan for a period of 12 years by the Development Bank of Kazakhstan (DBK, subsidiary of Baiterek Holding). A subsidiary of the Development Bank, DBK-Leasing, has also provided financing in the amount of 5.9 billion tenge.
Financing has been used for the purchase of technological equipment from the leading European manufacturers. The result today is a high-tech plant, which is located in the territory of 12 hectares in Tassay Industrial Area of Shymkent. The new plant is a part of the leading Kazakhstani manufacturer of electrical and technical equipment, Alageum Electric.
The project is fully consistent with the DBK’s principles and priorities. It has a great social and economic effect; when the project reaches its planned capacity, the company expects about 2 billion tenge of tax revenues to the economy of the region and the country.
“This project is a vivid example of effective cooperation between businesses and the government. Due to the effective cooperation of Asia Trafo project team with development institutions, government departments, national companies, virtually all the government support measures for the project have been provided for its implementation, including investment preferences, in-kind grants, reduced rate financing, and others,” – Zhanat Ansaganova, Director, Loan Analysis and Structuring Department, DBK, noted during the plant’s presentation.
It is worth noting that the first orders have already appeared in the new enterprise. The largest buyer at the moment is the Kazakhstani electric grid management company KEGOC. They are purchasing shunt reactors with a maximum power capacity of 500 kV. However, the enterprise’s top management directors are promising to install the first products of the plant in the city of Shymkent and Turkestan Oblast.
“Baiterek” National Managing Holding” JSC was established in accordance with the Decree of the President of the Republic of Kazakhstan dated May 22, 2013. The key institution of the Government of the Republic of Kazakhstan that complies with the advanced standards of corporate governance and ensures the implementation of the objectives for the sustainable development of the economy of Kazakhstan through its diversification, support for innovation, export development, increase in labor productivity. The Holding includes: Development Bank of Kazakhstan JSC, Investment Fund of Kazakhstan JSC, Zhilstroisberbank of Kazakhstan (HCSBK) JSC, Kazakhstan Mortgage Company MO JSC, KazakhExport EIC JSC, Damu EDF JSC, QazTech Ventures JSC, Housing Construction Guarantee Fund JSC, Kazyna Capital Management JSC, Baiterek Development JSC, Kazakhstan Project Preparation Fund LLP.
Development Bank of Kazakhstan JSC was established by the Decree of the President of the Republic of Kazakhstan, Nursultan Nazarbayev, dated December 28, 2000. The Bank aims to promote the sustainable development of the national economy by investing in the non-resource sector of the country.