One of the main objectives of the Program is to stimulate demand for domestic products from foreign buyers through the provision of trade financing on favourable terms. Financing is provided indirectly through the second-tier banks of Kazakhstan in the framework of the letter of credit payment method.
- Exporter and importer conclude a deferred payment contract
- The exporter applies to a bank for financing
- «KazakhExport» places a conditional deposit in the bank
- The bank provides a working capital financing for exporter
- The exporter prepares a consignment of goods and delivers it
- The exporter pays an insurance premium
- The exporter repays the loan after he fulfills his contractual terms and conditions
- In case of default on payment by importer, «KazakhExport» compensates the losses of exporter
Benefits for Kazakhstan exporters
- Obtaining financing for the entire production cycle of export goods on favorable terms;
- Competitive advantage in foreign markets, which consists in the possibility of granting a deferred payment under an export contract;
- Protection from political risks;
- Minimization of losses in case of non-fulfillment of financial obligations by the Importer;
- Increasing the volume and expanding the geography of exports due to favorable conditions for foreign partners.