OJSC “Guarantee Fund” (OJSC “GF”) assists entrepreneurs in realizing business plans by providing guarantees for necessary loan amount in case of insufficient collateral. The priority economic sectors are agriculture, processing of agricultural products, industrial production, export-oriented and export-substituting enterprises, transport-logistics, tourism and services.
All work is performed in compliance with adopted development strategy of OJSC “GF” for 2017-2020.
In 2018 OJSC “GF” will work in accordance with the Decree on the announcement of 2018 the year of regional development by the President of the Kyrgyz Republic Sooronbai Jeenbekov.
From November 2016 and as at 28 February 2018 OJSC “Guarantee Fund” issued 275 guarantees in the amount of KGS 284,9 million. Partner banks issued loans under guarantees by OJSC “GF” in the amount of KGS 1,085 billion. Behind these figures lies real contribution of businessmen and entrepreneurs to the development of local infrastructure, creation of new jobs and export potential of the country.
On December 26, 2017, the Committee of the Jogorku Kenesh of the Kyrgyz Republic on Economic and Fiscal policy on the basis of the results of monitoring the Law of the Kyrgyz Republic on “Guarantee Funds in the Kyrgyz Republic” gave a positive assessment of the activities of OJSC “GF”. In order to develop a guarantee system in Kyrgyzstan and to increase the potential of OJSC “GF” in promotion of small and medium-sized enterprises, it suggested the Government of the Kyrgyz Republic to conduct additional capitalization and increase assets of the fund.
The National Bank of the Kyrgyz Republic was recommended to become one of the founders of OJSC “GF”. In the first quarter of 2018, the Government of the Kyrgyz Republic should give specific suggestions to the Committee on Economic and Fiscal policy on practical implementation of suggestions by parliamentary committee.
This approach demonstrates the attention of deputies to the development of small and medium-sized enterprises (SMEs), at the same time is a high appreciation of OJSC “GF” in the economy of the country. We are on the threshold of that the Development Strategy of OJSC “GF” can get considerable financing for the coming years. This will significantly expand opportunities of OJSC “GF” in assisting SMEs by providing guarantees in case of insufficient collateral, and implementation of other programs and projects of OJSC “GF”:
- “One region – one enterprise”;
- “Increasing financial literacy of entrepreneurs”;
- “Support Center for entrepreneurs”;
- “Information-consulting services”.
“OROE” program can become a development factor for regions, as it will contribute to the establishment of new enterprises and new directions for existing enterprises, that will inevitably lead to the accelerated development of local economies.
In February 2018, the Board of the Russian-Kyrgyz Development Fund took a decision to provide a loan amounting to KGS 100 million to OJSC “Guarantee Fund”, that will extend support for entrepreneurs in all regions of Kyrgyzstan.