Kazakhstan’s Development Bank takes measures to maintain tax revenues, exports
BAKU, Azerbaijan, May 28
By Nargiz Sadikhova - Trend:
Kazakhstan’s Development Bank (DBK) is looking to implement its anti-crisis plan in 2Q2020 and 3Q2020, however the measures of the plan can also be even later, if the need arises, DBK representative told Trend.
The official said that within the framework of Kazakhstan’s economy support, DBK has developed an anti-crisis plan, which can be applied to the projects receiving the DBK lending.
Thus, DBK will restructure loans for projects financed in country’s national currency (tenge). DBK’s loans restructuration implies a change in the repayment schedule of the main debt and interest, an increase in loan terms, while maintaining the current interest rate. For projects funded in foreign currency, the possibility of converting a loan, subject to the provision of concessional funding from the government, as well as the transfer of payments will be considered.
In addition, a pool of projects has been formed that requires taking necessary measures in the case of an increase in the negative impact of external factors and requiring enhanced monitoring. In order to reduce the requirements for collateral for funded projects, DBK is amending its collateral policy and other internal acts.
DBL also introduced financing for financing projects which oversees attracting second-tier banks (STBs) to co-finance market investment projects, as well as syndicated financing of DBK investment projects in conjunction with STBs and other lenders. DBK will participate as an organizing bank.
The official said that full implementation of the anti-crisis plan measures will achieve the following expected socio-economic effects:
- ensuring preservation of up to 25,631 jobs in 2020;
- assistance in ensuring sales of products and services worth up to 1,7 billion ($4.1 billion) in 2020;
- ensuring export volume worth up to 523 billion tenge ($1.2 billion) in 2020;
- maintaining the volume of tax revenues in 2020 at the level of 212 billion tenge ($504.6 million).
"In order to achieve the intended goals, the timeliness of the implementation of the measures is important. DBK will perform its tasks based on the needs of borrowers and potential borrowers, as well as DBK’s capabilities," the official said.
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