By the Board of Directors in "Development Bank of Kazakhstan" JSC (a subsidiary of NMH «Baiterek» JSC) it has been approved the long-term development strategy for the years 2024-2033. The approved document places a primary focus on enhancing the well-being of Kazakhstani citizens through the support of the development of the non-raw materials sector of the economy, infrastructure, and export-oriented enterprises.
«In consideration of our main priorities, three development directions have been identified – increasing the Bank's contribution to the Kazakh economy, enhancing asset management efficiency, and fostering sustainable development. We are confident that their implementation will significantly contribute to achieving the head of state Kassym-Jomart Tokayev's goal of doubling the GDP by 2029», commented Marat Yelibayev, the Chairman of the Management Board of DBK.
Specifically, under the first direction, the Bank is focused on financing projects in the manufacturing industry with high socio-economic impact, emphasizing the production of goods in the middle and upper segments.
The Bank will provide support to projects that facilitate import substitution, possess export potential, and offer tools for the development of the country's infrastructure. One of the main objectives in this direction is to help increase the role of the private sector in the overall economic development of the country.
To achieve these goals, DBK will utilize a wide range of instruments, including medium and long-term financing of investment projects and export operations, financing of current activities, syndicated financing, leasing transaction financing, provision of guarantees, and interbank financing.
By the end of 2033, DBK aims to allocate investments of 9.3 trillion tenge for the manufacturing industry and infrastructure, including 3.1 trillion tenge through the instruments of the Industrial Development Fund. The share of projects for the production of goods in the middle and upper segments in the Bank's credit portfolio structure should be at least 30% by 2033, while the share of infrastructure projects should be around 35%.
With the support of DBK, enterprises will be able to improve their financial performance. In the event of achieving the Bank's goals, the revenue volume of supported enterprises is expected to reach 5.17 trillion tenge by 2024-2033, with export revenue exceeding 2 trillion tenge.
The second direction involves maintaining financial stability and a high-quality DBK portfolio, along with increasing the funding base for subsequent project financing. As a result of implementing this direction, the share of the credit and leasing portfolios from the Bank's assets should reach 77% by 2033. DBK will continue to actively operate in domestic and international capital markets to attract financial resources.
The third direction, concerning sustainable development, will be implemented through the full integration of ESG principles into the Bank's operations by 2033. DBK aims to fully comply with the requirements of international agreements and standards in the field of sustainable development and, as a socially responsible organization, has already begun implementing its own "Roadmap" for the integration of ESG into its activities.
It is also noted, that DBK continues to enhance its efficiency and transparency. For example, the period for reviewing applications for financing was reduced from 73 to 60 business days in 2023. Additionally, the Bank's website discloses the ultimate beneficiaries of all projects that have received financing or are currently under consideration.
The updated Strategy is published and available for review on the Bank's website in the relevant section.
