The Way “Baiterek” Holding Provides Support to Kazakhstani Export
InformBureau Information Agency has told about 13 instruments of support for Kazakhstan exporters which are used by Baiterek Holding.
Entrepreneurs are in need of government support and they receive it. Special programs are being developed and implemented, funds for crediting and training are being allocated, grants are being issued. A special area is assistance to medium and large-sized businesses in the export of domestic goods abroad. The operator of these activities in our country is Baiterek National Managing Holding.
The economic soundness of the state is based on many factors. Export of products to other countries is one of the most important factors. This is not only the creation of jobs in major cities and regions, the development of modern industries, the inflow of foreign currency into the country, but also a question of image, the proof that Kazakhstani commodities are competitive.
According to Ainur Kuatova, Managing Director – Member of the Board of Baiterek NMH JSC, supporting export capacities is one of the key tasks in ensuring the sustainable development of the Kazakhstani economy. This direction has been very clearly indicated in the Address of the Head of State Nursultan Nazarbayev, “The Growth of the Kazakhstanis’ Welfare: Increase in Income and Quality of Life”.
– Our subsidiary organization, KazakhExport, is the only specialized development institution in the country that performs the functions of an export and credit agency. The President’s Address has instructed to allocate additional 500 billion tenge to support the manufacturing industry and non-resource export over the next three years. This is a serious support for our manufacturers in the promotion of Kazakhstani goods in the domestic, regional and international markets, – Ainur Kuatova highlighted.
But competition in the world markets is fierce, it is difficult to withstand it alone even for the most successful enterprise. There is especially a lot of nuances in the relations of businesses and financial institutions. This is where the state provides maximum assistance.
Certainly, it is not about direct financing of enterprises. Most often, medium and large-sized companies need assistance in deferred payments insurance under an export contract, bank payment securities, an exporter’s liability for the return of an advance payment, and so on. In such cases, the government acts as a guarantor of the transaction, taking the risks.
The figures show that such services are in demand: in 2018, insurance support was provided to exporters at the amount of 90.2 billion tenge, trade financing was provided at the amount of 10.26 billion tenge and pre-export financing was ensured at the amount of 6.91 billion tenge. Last year, 130 applications for insurance were submitted through Digital Baiterek web-portal only.