50 billion tenge for additional capitalization comes from the republican budget through an increase in the authorized capital of Baiterek Holding, which, in turn, redirects the sum to the Bank's group. It should be noted, this item of expenditure is described in the Law “On the republican budget for 2022-2024”.
As a result, the authorized capital of the Bank increased from 515.95 billion tenge to 565.95 billion tenge.
Due to investments from the Holding, the Development Bank group increases its capitalization and, consequently, its financial stability. This is important for the Bank and its subsidiaries to perform their functions of supporting the non-primary sector of the economy. In addition, the increase of capitalization makes the Bank's group more attractive to outside investors allowing it to raise more funds in the capital markets from the private players.
DBK will allocate the entire amount to the authorized capital of its subsidiary, Industrial Development Fund JSC. The fund, in turn, uses the funds to finance projects in the manufacturing industry during 2022 and 2023.
