Kazakhstan: 200 billion tenge for subsidized farm machinery leasing in 2027

At the Government meeting on October 29, Minister of Agriculture Aidarbek Saparov reported on measures to finance the agro-industrial sector. It is proposed to allocate an additional 37.5 billion tenge (≈ $83 million) to KazAgroFinance, which would make it possible to raise 200 billion tenge (≈ $440 million) for subsidized farm machinery leasing in 2027. In addition, the country plans to carry out six large deep grain processing projects by 2029.

Key figures

• 2027 leasing: ₸200 bn (≈ $440 million)
• KazAgroFinance: +₸37.5 bn (≈ $83 million)
• ₸50 bn (≈ $110 million) for Kazakh-made machinery
• Baiterek: ₸270 bn (≈ $595 million) in loans
• Grain processing: up to 5.8 Mt a year
• 6 large projects by 2029

What has changed

To provide farmers with long-term subsidized financing, the ministry proposes combining budget and commercial funds. According to the minister, this will make "long" money more accessible and ensure timely financing even when funds in the cash control account run short. The Baiterek holding will continue to raise off-budget funds by subsidizing coupon interest and channel them into lending to the agro-industrial sector. To increase production of domestic tractors and combines, it is proposed to allocate 50 billion tenge (≈ $110 million) in budget loans through KazAgroFinance this year, while the additional 37.5 billion tenge (≈ $83 million) would make it possible to raise 200 billion tenge (≈ $440 million) for subsidized farm machinery leasing in 2027.

By the numbers

This year 270 billion tenge (≈ $595 million) is earmarked for long-term loans through the Baiterek holding, of which 64.2 billion tenge (≈ $141 million) has already gone to livestock purchases. It is proposed to allocate 84 billion tenge (≈ $185 million) in budget loans to support livestock farming through the Agrarian Credit Corporation, 35 billion tenge (≈ $77 million) to investment projects of the Development Bank of Kazakhstan in 2026, and another 50 billion tenge (≈ $110 million) for subsidized livestock purchase loans in 2027. The country currently has three deep grain processing plants with a total capacity of 510,000 tonnes of raw material a year. Six large projects with 5.8 million tonnes of raw material a year are planned by 2029 — producing starch, gluten, bioethanol, amino acids and other products.

What it means for buyers

Subsidized leasing is one of the main sources of money for renewing the machinery fleet in Kazakhstan. If the proposal is approved, 200 billion tenge will go to farm machinery leasing in 2027. The announcement does not name the rates, terms or list of machinery covered by the program — check these with KazAgroFinance. Growth of deep processing capacity to 5.8 million tonnes a year means additional domestic demand for grain, worth factoring in when planning plantings, harvest and the machinery budget.

Source: Press Service of the Government of the Republic of Kazakhstan