KazAgroFinance
Annual Report 2019

OPERATING
RESULTS


Main achievements of
KazAgroFinance JSC in 2019



  • 103.4 billion KZT was invested in the development of the agro-industrial complex
  • 2,231 clients were financed
  • Invested in agribusiness from 2000 to 2019 798.1 billion KZT
  • 5,893 units of agricultural machinery and equipment were leased for the amount of 98.5 billion KZT.
  • 4,384 contracts for agricultural financing were signed
  • The client satisfaction index for the Company’s services was 92.1%
  • In 2019, the Company received the largest net income in the history of the Company, amounting to 9.2 billion KZT

Over the past 6 years, investments aimed at introducing new and modernizing existing investment projects in the agro-industrial complex have been made at the expense of the Company’s own and attracted funds.


Number of serviced clients and concluded financing agreements


The dynamics show the annual growth of the clients served by the Company and the concluded financing agreements.


Number of clients by business size, p


The main share of clients in the Company’s portfolio is small and medium-sized businesses.


Investment dynamics,
billion KZT






469

projects

put into operation in 2007-2019


REGIONAL STRUCTURE OF THE PROJECTS
COMMISSIONED IN 2007-2019, BY DIRECTIONS

Regional structure
by directions
Almaty
Nur-Sultan
Akmola region
Aktobe region
Almaty region
Atyrau region
East Kazakhstan region
Zhambyl region
West Kazakhstan region
Karaganda region
Kostanay region
Kyzylorda region
Pavlodar region
North Kazakhstan region
Turkestan region
Total
Alternative Energy Sources / Solar Power Station 1 1
Grain Storages 2 17 2 1 1 10 1 34
Fodder production 8 4 1 5 4 2 3 5 3 1 36
Commercial dairy farm 3 3 2 2 8 2 1 5 1 7 4 2 40
Meat processing complex 1 1 1 1 1 1 6
Vegetable stores 2 3 4 1 3 3 3 1 1 3 4 10 3 5 46
Feedlots 3 1 2 1 1 2 1 3 14
Processing 3 5 3 6 3 4 2 2 6 6 7 3 2 6 58
Poultry farms 3 3 1 2 1 1 4 1 2 18
Sow farms 1 11 3 10 14 6 10 7 11 7 18 3 101
Fish farming complex 1 2 2 1 6
Gardens 3 3 8 14
Assembly factory 1 1 1 1 4
Irrigation systems 4 4 1 4 13 1 10 3 5 9 4 7 65
Green houses 2 1 1 3 4 2 2 10 25
Killing department 1 1
Total 20 7 58 19 34 22 41 34 21 27 35 13 44 45 49 469

In 2019, the Company commissioned 6 investment projects, including:

  • 3 enterprises for processing agricultural products with a production capacity of 4.5 tons per year;
  • 1 enterprise using an irrigation system with a production capacity of 576 tons per year;
  • 1 grain storage for 15,000 tons;
  • 1 dairy farm with production capacity of 2.5 tons per year.

The total cost of the projects amounted to 1.9 billion KZT, including the amount of financing of KazAgroFinance amounted to 1.6 billion KZT. In total, 469 projects with a total cost of 263.3 billion KZT were commissioned during the period 2007-2019, including the amount of financing of KazAgroFinance amounted to 189.8 billion KZT.



Leasing of Agricultural Machinery Provided to KazAgroFinance

Machinery name 2017 2018 2019 Total 2000—2019
Pcs. Amount Pcs. Amount Pcs. Amount Pcs. Amount
Seeding machinery 31 509 72 1,736 143 7,336 1,399 52,865
Tractors 788 9,432 1,032 15,592 1,713 30,859 14,428 122,098
Combine harvesters 283 16 869 495 28,268 540 32,856 10,839 250,157
Seeders 124 1,703 133 2,626 416 4,386 2,595 15,750
Other machinery 1 150 7 830 1 550 12 762 3 073 23 017 19 027 102 431
Equipment 24 3,807 144 1,987 8 58 604 58,897
Total 2,400 40,176 3,426 62,972 5,893 98,513 48,892 602,198

In total, KazAgroFinance JSC has financed the procurement of about 48.9 thousand units of agricultural machinery and equipment for a total amount of 602.2 billion KZT. The leased equipment handles 10 million hectares of cultivated lands.

In 2019, the KAF financed 5.9 thousand units of equipment for 98.5 billion KZT (the growth in comparison with 2018 for the main types of equipment was 72% in quantitative terms, 56% in monetary terms). According to the data analysis of the Ministry of Agriculture, the share of main types of equipment (combines, tractors, sowing systems) leased by the Company is 49% of the total volume of equipment procured by agricultural producers throughout Kazakhstan.


easing Structure under the Special Programs

Program Number of contracts Number of equipment Cost of equipment, million KZT Share %
Agrotechnics 751 851 8,063.5 8.2%
Master leasing 493 850 24,752.4 25.1%
Own feed 456 531 2,429.9 2.5%
Express leasing 383 541 7,860.3 8.0%
Other 2,277 3,120 55,406.7 56.2%
Total 4,360 5,893 98,512.8 100.0%

Special programs «Agrotechnics», «Master Leasing», «Express Leasing» and «Own Feed» are most in demand in 2019.