KazAgroFinance JSC, part of National Holding KazAgro, signed a seven-year loan agreement for 716 million rubles with Russia-based RosEximBank JSC, KazAgro says in a press release.
The borrowed funds will be used by the company to purchase 115 peaces of agricultural equipment that will be later leased to Kazakh agricultural producers, according to the press release.
The equipment will be bought from Russia’s RostSelMash Harvester Plant.
KazAgroFinance, founded in 1999 by Kazakhstan government, provides leasing and credit services in the agricultural sector using public funds, borrowed from foreign financial institutions as well as its own monetary resources. KazAgroFinance runs 14 branches and representative offices in all regions of Kazakhstan. KazAgroFinance is part of JSC National Managing Holding KazAgro.
National Managing Holding KazAgro JSC, established in December 2006, is in charge of the government’s agricultural policy. The company manages the assets of its subsidiaries: National Company Food Contract Corporation JSC, KazAgroProduct JSC, KazAgroFinance JSC, Agrarian Credit Corporation JSC, Fund for Financial Support of Agricultural Sector JSC, KazAgroGarant JSC and KazAgroMarketing JSC.