OPEC Fund to finance projects in Kazakhstan

According to senator Zakirzhan Kuziyev, the document forms a stable and transparent framework for attraction of loans, guarantees and other financial instruments of the Fund.

“The cooperation with the OPEC Fund for International Development fully meets the priorities of state policy, including the development of small and medium businesses and expanding entrepreneurs’ access the long-term financial resources. Using the Fund’s resources will enable to attract additional external sources of financing without increasing burden on the state budget,” the senator said.

The framework agreement sets out clear and transparent rules of engagement, while preserving the Government of Kazakhstan’s right to shape its position on funded projects. This ensures that the Fund’s activities are aligned with national socio-economic priorities

Financing terms:

• From 1 to 5 years - for financial instruments,

• up to 7 years - for corporate borrowers,

• up to 20 years - for infrastructure projects.

Indicative interest rates on loans in U.S. dollars are set at 2.5-5% per annum above the base rate.

The document also determines the privileges and immunity of the OPEC Fund: the Fund’s assets are exempt from searches and all forms of expropriation, seizure, or the application of any enforcement measures or restrictions on freedom of movement until a final court decision is issued.

Earlier, Qazinform reported that the ratification of the document would let expand the Fund’s financial support for Kazakhstan in energy, industry, transport, finance, agriculture, water resources, telecommunications, education, and healthcare. It is planned to channel up to 400 million US dollars to private companies to develop various projects in 2026–2030.