SMEs & Entrepreneurship
President Nazarbayev emphasizes the importance of the development of small and medium sized enterprises (SMEs) and Kazakhstan has implemented many initiatives and schemes to support SMEs in the country.
Under the ‘Road Map for Business 2020’ small and medium-sized enterprises will be provided with significant state support, including subsidized interest on loans, loan guarantees, assistance in developing production (industrial) infrastructure, services to support businesses (consulting, legal, actuarial, and other), and training of personnel.
The President’s office has a very strong focus on getting employment generation in SME activities. For that they have crafted incentive measures for attracting and embedding FDI, including:
- supporting network/institutional capacity
- organizing supply chains in clusters and generate critical mass to engage more effectively with FDI
President Nazarbayev announced in 2014 a program allocating 1 trillion tenge ($5.5 billion) from the National Fund of Kazakhstan to support industrial policy, banking sector, and small and medium sized enterprises. The implementation of the program will be supported by the Asian Development Bank (ADB), based on a framework agreement on co-financing both sides signed in May 2014.
Kazakhstan has also been working with the European Bank for Reconstruction and Development (EBRD) to support SMEs. The Kazakh government has provided donor funding to the EBRD’s Small Business Support program, which provides advisory services to enterprises throughout the country. EBRD provided 15 billion tenge to Kazakh SMEs through a loan to Sberbank.