Kazakhstan to simplify lending and subsidy procedures for farmers

Kazakhstan to simplify lending and subsidy procedures for farmers

Kazakhstan will simplify lending and subsidy procedures for farmers. The Ministry of Agriculture has announced the launch of an early financing program for spring fieldwork, which includes the possibility of providing preferential loans to farmers through social entrepreneurship corporations. At today’s government meeting, issues related to spring fieldwork were discussed. This year, agricultural crops are planned to be sown on 28 million hectares. Prime Minister Olzhas Bektenov emphasized that special attention should be given to high-yield and profitable crop varieties. They should primarily be export-oriented and have high market demand.

«This year, the funding for fieldwork has been increased to 700 billion tenge. The amount of funds allocated for leasing services has been raised to 200 billion tenge. Also, over 400,000 tonnes of subsidized diesel fuel have already been provided. Thus, the government has taken all necessary measures for the success of sowing operations. It is crucial to ensure their efficient and well-organized implementation. The Ministry of Agriculture should allocate preferential loans solely to support productive and responsible farmers,» Bektenov noted.

According to Bektenov, a separate focus should be placed on implementing digital solutions in the sector. These technologies are expected to address several issues, including statistical data in the agro-industrial complex, accounting for grain stocks and products in stabilization funds, as well as veterinary safety. AI can be applied to optimize irrigation, fertilizer and feed usage, and the management of agricultural machinery. The Ministry of Digital Development, Innovation and Aerospace Industry has also put forward a number of proposals, including automating processes with the help of chatbot assistants, drones, and intelligent analysis systems.

«The implementation of these projects is scheduled for 2025-2026. The following slide showcases an example of a future AI-powered assistant for agriculture, designed to provide up-to-date information on government support measures, subsidies, application deadlines, and required documents. The chatbot will be based on official data from the Agriculture Ministry, enabling farmers to quickly access the necessary information around the clock,» said Kazakh Vice Minister of Digital Development, Innovations and Aerospace Industry Dmitry Mun.

Tax Code amendments to be submitted to Mazhilis by February 20

The government has also introduced amendments to the country’s tax legislation, proposing an increase in the VAT rate from 12 to 16 percent, with differentiation by industry. To discuss the proposals with the business community, the government has sent six working groups to the regions. The draft of the new Tax Code is expected to be submitted to the Mazhilis, the Lower House of the Kazakh Parliament, by February 20.