Activities

To implement the statutory goals, the Company carries out the following activities:

1. Carrying out bank loan operations on the basis of an appropriate license;
2. Participation in the implementation of programs to support the agricultural sector through loans;
3. Attraction of domestic and foreign investments;
4. Participation in the development and implementation of investment projects in the agro-industrial complex;
5. Carrying out leasing activities;
6. Funding of financial institutions;
7. Financing of legal entities with the use of Islamic financial instruments for the purpose of financing them on Islamic principles of subjects of the agro-industrial complex;
8. Other types of activities that meet the subject and purpose of the Company's activities, provided for by this Charter, and correspond to the list determined by the Government of the Republic of Kazakhstan for subsidiary legal entities of national managing holdings.

History of the company

Agrarian Credit Corporation JSC was established in accordance with the Decree of the Government of the Republic of Kazakhstan dated January 25, 2001 No. 137 "On issues of lending to the agricultural sector." The pilot project involved two phases. The first is the creation of a specialized institute of Agrarian Credit Corporation JSC with 100% state participation.

At the second stage, it was envisaged to create a network of regional financial institutions - rural credit partnerships (hereinafter - KT). The main goal of the Company was to build a KT system, including by entering into their authorized capital with a participation share of no more than 35%, as well as providing access to agricultural producers (hereinafter - agricultural producers) to concessional credit resources from the republican budget. The pilot project was successfully implemented, a unique system of lending to agricultural producers through KT was created, which ensured the availability of credit resources to small and medium-sized agricultural producers - participants of the KT system. Since 2006, the activities of the Company have been expanded with the adoption of the Law of the Republic of Kazakhstan "On state regulation of the development of the agro-industrial complex and rural areas" dated July 8, 2005 No. 66 ЗРК.

At present, the Company is a large financial organization engaged in the development of the agro-industrial complex, implementing lending programs in priority areas for the development of agricultural production, determined within the framework of the State Program for the Development of the Agro-Industrial Complex of the Republic of Kazakhstan for 2017–2021.

Chronology of the Society's development

2001 year

• Society formation. The main goal is to build a KT system, thanks to which agricultural producers have access to concessional credit resources from the republican budget.

2002 year

• The first 18 CTs were created, which included 833 participants. The first loan amount through KT was 5 million tenge.

2005 year

• The Company's portfolio increased to 6 billion tenge.

2006 year

• The company started financing the program of lending to associations of agricultural producers and rural population for joint production, procurement, marketing, processing, storage, transportation of agricultural products, supply of goods and materials, 147 agricultural production companies were financed for the year for a total amount of 12,250.1 million tenge.

2009 year

• In order to increase the independence of KT, the Company announced its withdrawal from the founders of KT.
• The company has started implementing a program for lending investment projects at the expense of the National Fund of the Republic of Kazakhstan. As a result, 52 investment projects were financed in the amount of 23,490.9 million tenge.

2010 year

• The company has launched a program to finance agricultural processing enterprises.

2011 year

• The company becomes the operator of the Sybaga program, which provides loans to agribusiness entities for the purchase of breeding stock of cattle and breeding bulls for the reproduction of young meat breed. Since the beginning of the program, more than 4.0 thousand agricultural producers have been financed for a total amount of 50.6 billion tenge for the purchase of 272.3 thousand head of cattle.

2014 year

• As part of the implementation of the Master plans for the development of horse breeding and sheep breeding, the Company launched new lending programs "Ulan" and "Altyn Asyk".

2016 year

• The company received the status of a single operator of the Ken Dala program of crediting for spring field and harvesting works.
• The certificate of conformity of the QMS was received according to MS ISO 9001: 2008.
• The Company's product line was adapted taking into account a client-oriented approach, and sales channels were expanded. Lending programs "Enbek" have been developed within the framework of the Program for the Development of Productive Employment in Rural Areas "Isker" and "Agrotekhnika" by analogy with loan products of second-tier banks for car loans.

2017 year

• A new Development Strategy of the Company for 2017-2026 was developed.
• Lending processes have been optimized: the list of documents has been reduced, the terms of consideration of loan applications have been reduced. The funding limit for the branch network was increased to 1 billion tenge.
• On September 22, 2017, the "1st Forum of Credit Partnerships" was held in Shymkent. The organizers of the forum were the Ministry of Agriculture of the Republic of Kazakhstan, the Society and the ALE "Association of Credit Partnerships of the Agro-Industrial Complex".

2018 year

• As part of the Livestock Development Program for 2018-2027, the Company becomes the operator of the Sybaga lending program. During the year, the purchase of 31,242 head of cattle was financed. The range of the Company's credit products reaches 7, covering all areas of business in the countryside.
• An algorithm for obtaining subsidies has been introduced.

2019 year

• For the first time in the country's history, the Company has assigned an "AAA" rating to two credit partnerships: CT Tselinogradskoye and CT Yasy. The "AAA" rating gives the right to self-finance end borrowers and post-loan services limited only by the size of the credit line, as well as a 1% reduction in the interest rate, an increase in the liquidity ratio by 0.1 on real estate collateral.
• The Agribusiness Support Center was opened on the basis of the Karaganda branch.
• By Decree of the Government of the Republic of Kazakhstan No. 459 dated June 28, 2019, the Company is included in the operators of the "Economy of Simple Things" program in the direction of financing the development of industries: crop production, horticulture, animal husbandry, including poultry and pig farming, aquaculture, fishing, malt production.

2020 year

• The Development Strategy of Agrarian Credit Corporation JSC for 2020-2029 was approved.
• Under the state of emergency due to the pandemic, 2,405 farmers were financed within the 70 billion tenge allocated for spring field work in a record 30 days.
• A deferral of loan payments was granted to borrowers experiencing difficulties due to the consequences of the pandemic, in the total amount of 7.3 billion tenge. 
• The company provided financial support to 100 medical workers working under the state of emergency in the country. 
• The international rating agency Fitch Ratings has upgraded the long-term issuer default ratings of JSC "Agrarian Credit Corporation" in foreign and national currency from "BB +" to "BBB-", the rating outlook is "stable".
• In 2019-2020, under the Economics of Simple Things program to support small and medium-sized businesses, the Company financed 1,476 agricultural producers in the amount of 71.4 billion tenge.

2021 year

• The Company is merged into the group of companies JSC National Managing Holding Baiterek;
• The Fund for financial support of agriculture is attached to the Company. Currently, the Company, in addition to direct lending to agribusiness entities and funding financial institutions, performs the functions of microcredit, an operator in the field of insurance in the agroindustrial complex and the functions of an attorney (agent) under the program “With a diploma - to the village!”;
• The international rating agency Moody's Investors Service confirmed the credit ratings of the Company at the level of "Ва1", the outlook is "Positive";
• The international rating agency Fitch Ratings confirmed the long-term credit rating of the Company in foreign and national currency at the level of "BBB-" and the rating on the national scale "AA + (kaz)" and raised the outlook on the rating from "Negative" to "Stable".
• As a result of a severe drought in most of the territory of Kazakhstan, as a support measure, the Company took measures to provide deferrals for repayment of borrowers' loans in the amount of 5.1 billion tenge.