Kazakhstan's Damu, Sberbank agree on changes to lending within SMEs support program
BAKU, Azerbaijan, Sept. 3
By Nargiz Sadikhova - Trend:
Kazakhstan’s Damu Entrepreneurship Development Fund JSC and SB Sberbank JSC agreed on portfolio subsidy and guarantees on the Business Roadmap 2020 program, Trend reports with reference to the Sberbank.
The corresponding agreement was signed in the framework of approved amendments to the state program in the area of microlending.
Following this, SMEs can become participants of the program without industry restrictions according to the amendments introduced.
The nominal interest rate should not exceed the basic interest rate established by Kazakhstan’s National Bank. The loan interest rate for entrepreneurs will be 6 percent per annum. The difference between nominal and ultimate rates for a borrower will be subsidized by the state.
The state provides a portfolio subsidy of a part of the interest rate and partial guaranteeing for loans and microloans through the Damu Fund under the decision of the Government, thus the decision on the loan remains with the bank or microfinance organization.
The maximum loan amount for working capital financing is no more than 5 million tenges ($12,000) with a subsidy period of up to 2 years.
The maximum loan amount for investment purposes is 20 million tenges ($47,700) with a subsidy period of up to 3 years. The limit per one borrower is 20 million tenges ($47,700). The guarantee amount of Damu Fund is 85 percent of the loan amount.
SB Sberbank JSC is a part of the international Sberbank group. The Bank has fourteen-year experience in the financial market of Kazakhstan and ranks 2nd in terms of assets among second-tier banks of Kazakhstan.
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