Development Bank of Kazakhstan JSC continues to systematically support the export of products of the domestic manufacturing industry. During 2023, a number of projects of domestic companies were supported, which, thanks to the Bank's financing, will be able to make export deliveries to foreign markets.
«Financing of pre–export operations is an important area of the DBK's work, which creates incentives to work in foreign markets both for companies already engaged in exports and for those who are just starting this work. In 2023, we managed to support several borrowers at once, many of whom applied to the Bank for support for the first time”, comments Vladimir Lee, Managing Director of DBK.
The first of these projects is the pre–export financing of Semey Cement Plant Production Company LLP. The company received 1.2 billion tenge for the purchase of raw materials, works and services for the production of cement. All products produced within the framework of DBK support will be exported.
The second project is the export operation of Cool Infinity LLP. DBK has opened a credit line to finance the costs associated with the production of insulated thermos wagons. The total amount of the loan amounted to 4 billion tenge.
Two enterprises operating in the mechanical engineering industry and engaged in the production of transformer equipment also received pre-export support at once. Thus, the Ural Transformer Plant LLP project is already under financing, where the Bank provided a credit line in the amount of 7 billion tenge. In turn, the Kentau Transformer Plant received 3 billion tenge for similar purposes – the purchase of raw materials and supplies for the production of transformers.
There are also two projects in the light industry. The company «AZALA TEXTILE”, which produces yarn and fabrics. The Bank has opened a credit line in the amount of 2 billion tenge. These funds will purchase raw materials for production of textile exports to Lithuania, Latvia, Germany, Turkey and Russia.
«AZALA Cotton» has another project in this industry, which will ship more than 6 thousand tons of cotton and blended yarn to China, Russia and Turkey annually to foreign markets. The volume of support amounted to 2 billion tenge.
Vostokmashzavod JSC has received credit funds from the Bank for the purchase of raw materials and payment for services for the production of steel billets, which will be exported. The amount of DBK financing amounted to 6.6 billion tenge.
Please note that for all of these projects, borrowed funds are provided for 18 months, and the source of funding is the DBK Program for financing the working capital of manufacturing industry projects for 2023-2027. Thanks to the implementation of this Program, Kazakh companies receive affordable funds for the development of foreign markets, receiving additional export revenue and, thereby, funds for the development of their production.
To date, the DBK is ready to support Kazakh exporters for a total amount of KZT 34 billion to finance pre-export operations of export-oriented enterprises with a remuneration rate of up to 8% per annum. The minimum loan amount is 1 billion tenge.
Entrepreneurs can use borrowed funds to purchase raw materials and supplies, as well as to pay for current expenses related to the production of exported products.
More detailed information on crediting export (pre-export) operations can be found on the DBK website.
