Training Seminar on 'Business Roadmap 2020' for Nurbank

On February 8, 2012, a training seminar on the state support program for small and medium-sized enterprises 'Business Roadmap 2020' was held by the 'Damu' fund at the branch of JSC 'Nurbank' in Uralsk.

This event is a logical continuation of the meeting with representatives of the banks participating in the 'Business Roadmap 2020' program on January 31 of the current year at 'Technopark 'Algorithm' LLC, where a proposal was made to hold training seminars for departments involved in SME lending on site.

Employees from the branch of 'Entrepreneurship Development Fund "Damu" JSC gave a presentation on the four directions of the 'Business Roadmap 2020' program for the employees of the small and medium business lending department of JSC 'Nurbank'. Special attention was paid to the mechanism and rules for implementing subsidy and guarantee instruments.

Subsidizing is the state's gratuitous compensation of part of the remuneration (interest rate) on loans provided by Banks for the implementation of projects important for the state. This mechanism is widely used in many countries to support producers in priority sectors of the economy. In the 'Business Roadmap 2020' program, the state subsidizes:

• the first direction (support for new business initiatives) — 7% in tenge, 5% in foreign currency;
• the second direction (rehabilitation of the business sector) — 5% in tenge, 5% in foreign currency;
• the third direction (reducing entrepreneurs' currency risks) — 8% in tenge, 7% in foreign currency.

The next mechanism for supporting entrepreneurs engaged in priority sectors of the economy is providing partial guarantees for new business loans that do not have sufficient collateral. Within the framework of the Program, the guarantee is provided up to 50% of the loan amount, for a period of up to 10 years. The state cannot provide a guarantee if:

• the project involves the production of excisable goods;
• the loan is issued by a state development institution;
• the enterprise belongs to the metallurgical industry, processes mineral raw materials, and is included in the List of large taxpayers subject to monitoring in accordance with the Resolution of the Government of the Republic of Kazakhstan from 31.12.2008 No. 1344.

Particular interest was aroused by information on the fourth direction 'Enhancing Entrepreneurial Potential'.

During the seminar, bank employees asked both general questions about the program and specific questions about current projects under consideration by the bank.

At the conclusion of the seminar, Deputy Branch Director for CB and SME A. T. Azhgalieva noted, "It is very convenient in terms of the seminar being held on-site at the bank and involving all employees of the lending department, including sales managers. The interesting format of the seminar 'question and answer', with specific project examples, discussed the financing stages under the 'Business Roadmap 2020'. We hope that the training provided will yield positive results. In the coming month, it is planned to submit two projects for consideration under BRD 2020. In case of amendments to the BRD 2020 program, the branch welcomes the holding of off-site seminars."

Source: http://fund.damu.kz/9468