Kazakhstan's $1B SME fund unlocks credit for 2,400 businesses in economic push

Kazakhstan has strengthened financial support for small and medium-sized enterprises (SMEs) through a new guarantee fund. The initiative, announced by Deputy Prime Minister Serik Zhumangarin, aims to improve access to credit while reducing reliance on direct government funding. Backed by major banks and development funds, the programme has already channelled billions into the economy.

The Guarantee Fund for SMEs focuses on projects requiring up to 7 billion tenge in financing. It helps entrepreneurs who lack sufficient collateral secure loans, making it easier for smaller businesses to grow. So far, the fund has supported over 2,400 projects, with total financing reaching 424 billion tenge.

Two large-scale projects have already received backing, amounting to around 24 billion tenge. The fund is supported by 11 second-tier banks, social entrepreneurship corporations, and the Industrial Development Fund, with total mobilised resources exceeding 11 billion tenge. Its goal is to redirect banking liquidity into the real economy, fostering business expansion. A separate guarantee fund exists for larger investment projects, targeting initiatives needing at least 7 billion tenge. The president stressed that state-backed support should push businesses toward higher growth rather than create long-term dependency. Guarantee funds play a critical role in bridging gaps where collateral falls short, reducing the need for direct state intervention.

The new measures expand financing options for SMEs while encouraging sustainable business development. With billions already allocated and more projects in the pipeline, the fund is set to play a major role in Kazakhstan’s economic growth. The focus remains on cutting red tape and increasing private-sector participation in funding.