Regarding the change of assignment of funds intended for the Program of privileged automobile lending

JSC "Industrial Development Fund" informs on the planned change of target purpose of the means assigned for the Program of preferential automobile crediting of physical persons according to which the revolving means will be redirected for leasing financing of domestic buses.

The Fund analyzed the efficiency of allocation of revolving funds for lending to individuals for preferential car purchases. Since the launch of the Program of preferential automobile crediting 13 335 Kazakhstani citizens received their cherished cars.

At the same time, buses are currently the most popular type of vehicle, accounting for 67% of all trips made by Kazakhstanis. According to statistical data, 45% of the country's bus fleet is more than 10 years old. Wear of public transport in Astana, Shymkent, Almaty, Aktobe, Kyzylorda cities is 25%, in Turkestan, Karaganda, Taraz, Pavlodar, Kokshetau - 50%, Aktau, Ust-Kamenogorsk - 60%, Taldykorgan, Petropavlovsk, Uralsk - 70%, Kostanay - 90%.

It should be noted that within the funding mechanisms provided by the Fund there is a working program of leasing financing to upgrade the buses. During last 5 years the Fund has financed purchase of 3818 passenger buses in all regions of the country including 130 buses with electric engines, 1520 gas buses and 2168 diesel buses under this program and created more than 9 000 new working places.

Increased funding for the purchase of domestic buses, including revolvers, will make it possible to renew more than 700 units of public transport annually.

In this regard, the Fund proposed “Baiterek” NMH” JSC and Ministry of Industry and Infrastructural Development of the Republic of Kazakhstan to reorient these funds to leasing financing of passenger buses. If under the program of preferential car loans it is possible to provide cars to 120 people per month, in case of reallocation of funds it is possible to purchase 20 buses, which will transport about 15 thousand passengers per month.

New buses are equipped with surveillance cameras, video recording system, air conditioning, directional signs, mechanical ramps for people with disabilities and meet all the requirements of safe and comfortable transportation of passengers. In addition, purchased electric buses and compressed gas buses will have a favorable impact on the environmental situation in cities due to the absence of emissions of harmful substances into the atmosphere.

The terms of the current Bus Lease Financing Program:
1) the term of lease financing is up to 7 years;
2) Initial payment (advance payment) under leasing - not less than 15 % from the cost of lease item;
3) interest rate - 7% per annum.