Kazakh Invest signed a memorandum of cooperation with UK Export Finance British Export Credit Agency
On October 8, within the framework of the Kazakh-British Intergovernmental Commission, a memorandum of understanding was signed between NC Kazakh Invest JSC and UK Export Finance British Export Credit Agency. The parties’ signatories were Saparbek Tuyakbayev, Chairman of the Board of NC Kazakh Invest JSC and Minister J. Hollingbery.
The memorandum is aimed at attracting funds for Kazakhstan projects in the energy sector, transport, roads and railways, mining and water projects totalling up to 2.5 billion pounds sterling. The total loan amount can reach up to 85% of the total project cost, the loan period from 2 to 10 years with an interest rate from 1.5 to 3.5%.
The parties hope that the Memorandum will become an important mechanism for strengthening commercial ties between the Republic of Kazakhstan and the United Kingdom of Great Britain and Northern Ireland, and will create the basis for increasing the volume of bilateral investments.
Within the framework of the Memorandum, the Parties agreed to consider the possibility of financing large projects in the priority sectors of the industry of the Republic of Kazakhstan. Mutual efforts of the parties will be focused on the areas of water supply, drainage, irrigation, petrochemical chemistry, mining metallurgy, agro-industrial complex, and medicine.
During the meeting, Saparbek Tuyakbayev, Chairman of the Board of Kazakh Invest National Company noted that Kazakh Invest, within its competence, intends to support the UKEF initiatives on the implementation of investment projects and help create favorable conditions for their implementation.
Great Britain is among the top 10 trading partners in terms of trade volume, as well as among the six largest investors in Kazakhstan, which is almost 5% of the total volume of attracted foreign investments. Bilateral trade between Kazakhstan and Great Britain increased by 1.5% to USD 1.28 billion in 2017. Exports increased to USD 926.7 million. For the first quarter of 2018, the total turnover of mutual trade accounted for USD 252.6 million, exports and imports amounted to USD 158.8 million and USD 93.8 million, respectively. More than 800 legal entities, branches and representative offices with British participation are registered in Kazakhstan.