State support helps Kazakh SMEs increase production, employment

ASTANA (TCA) — Kazakhstan’s Minister of National Economy Kuandyk Bishimbayev at the Government meeting on September 27 told about results of the state support of Kazakh businesses, the official website of the Prime Minister of Kazakhstan reported.

The minister said that infrastructural transformations under the Nurly Zhol program are directly related to business development. The effect of its implementation in 2015 amounted to 1.3% in GDP growth, creating 125 thousand jobs. This year, the contribution of Nurly Zhol to GDP growth is estimated at 1.2%, providing 200 thousand jobs.

The minister also said that this year, businesses received direct support through targeted financing for working capital and refinancing of old loans.

“For this, by the instruction of the head of state, 575 billion tenge has been allocated, of which 333 billion tenge has been placed in second-tier banks and other financial institutions. Business projects worth 141 billion tenge have been financed. In turn, for the implementation of the Business Roadmap-2020 program, 60.3 billion tenge was allocated this year. Today, 1,080 projects worth 120 billion tenge have been subsidized,” the Minister of National Economy reported.

In addition, this year, under the program Business Roadmap-2020, funds amounting to 4.5 billion tenge have been allocated to create six industrial zones in Aktobe, Kyzylorda, Almaty, the South Kazakhstan and Kostanai provinces. Currently, there are 42 industrial zones in the country, 15 of which are operating and 27 of which are under construction. According to Bishimbayev, the measures that have been taken have allowed, in the current year, to increase the output of SME production by 0.3%, employment by 4.1%, and loans to SMEs by 35.8%.

Due to increasing lending to businesses, the output in the construction, transport, agriculture and manufacturing industries has increased. In the exports structure, the share of non-primary goods has also increased, said Bishimbayev.

Sergey Kwan


Sergey Kwan has worked for The Times of Central Asia as a journalist, translator and editor since its foundation in March 1999. Prior to this, from 1996-1997, he worked as a translator at The Kyrgyzstan Chronicle, and from 1997-1999, as a translator at The Central Asian Post.
Kwan studied at the Bishkek Polytechnic Institute from 1990-1994, before completing his training in print journalism in Denmark.

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