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ORDER OF THE GOVERNMENT OF THE REPUBLIC OF KAZAKHSTAN

of February 27, 2004 No. 236

About approval of Rules of financing of leasing of the equipment for the companies for conversion of agricultural products

According to the Law of the Republic of Kazakhstan of December 5, 2003 "About the republican budget for 2004", for the purpose of the state support of the companies for conversion of agricultural products the Government of the Republic of Kazakhstan decides:

1. Approve the enclosed Rules of financing of leasing of the equipment for the companies for conversion of agricultural products.

2. This resolution becomes effective from the date of official publication.

 

Prime Minister

Republic of Kazakhstan D. Akhmetov

Approved by the order of the Government of the Republic of Kazakhstan of February 27, 2004 No. 236

Rules of financing of leasing of the equipment for the companies for conversion of agricultural products

1. General provisions

1 These rules determine procedure and conditions of loan granting (further - Means) at the expense of the means provided in the republican budget for 2004 according to the program 012 "Financing of leasing of the equipment for the companies for conversion of agricultural products" in the amount of 675 000 000 (six hundred seventy five million) tenges.

2. Procedure for financing of leasing of the equipment for the companies for conversion of agricultural products

2. Funds are allocated from the republican budget according to the procedure, established by the legislation on the terms of urgency, the paid nature, security and recoverability for the term of 7 (seven) years at the rate of remuneration of 0,5 of % per annum.

For assignment the Ministry of Agriculture of the Republic of Kazakhstan (further - the Administrator of the program) holds competition among the banks of the second level or the organizations having licenses of authorized body for implementation of separate types of banking activities (further - the Borrower), on the following subindustries (lots):

1) milk conversion;

2) conversion of meat;

3) conversion of vegetables, fruit and grapes;

4) conversion of raw leather and wool;

5) conversion of oil-bearing crops.

Borrowers are determined according to the Rules of financial procedures on budget implementation and maintaining forms of the reporting (periodic and annual) for the public institutions containing at the expense of the government budget approved by the order of the Government of the Republic of Kazakhstan of July 25, 2002, N 832 (further - Rules of financial procedures).

3. When carrying out the repeated tender Administrator of the Program can exclude subindustries (lots) on which in the previous tender there were no requests of Borrowers.

4. Means are provided for acquisition of the processing equipment (further - the Equipment) which is subject to the subsequent transfer to leasing to the companies for conversion of agricultural products (daleekonechny borrowers) and cost recoveries, connected with acquisition and supply of equipment to the Final borrower, including customs payments.

5. Borrowers independently determine the Final borrower according to the legislation of the Republic of Kazakhstan, the Credit agreement signed with the Ministry of Finance of the Republic of Kazakhstan (further - the Ministry of Finance) both the Administrator of the program and domestic credit policy of the Borrower. At the same time the organizations using the domestic agricultural raw materials registered in the territory of the Republic of Kazakhstan in which authorized capital the share of residents of the Republic of Kazakhstan constitutes at least 51% act as Final borrowers.

6. Allocation by the Ministry of Finance from the republican budget of Means to the Administrator of the program for the subsequent direction to the Borrower is performed according to Rules of financial procedures.

7. Allocation to Funds borrowers from the republican budget is performed by the Administrator of the program on the conditions provided by the Credit agreements signed between the Ministry of Finance, the Administrator of the program and Borrowers.

8. Borrowers provide target use of Means and perform their timely return to the republican budget according to the Credit agreements signed between the Ministry of Finance, the Administrator of the program and the Borrower.

3. Control of use of Means

9. The Ministry of Finance exercises control of application of funds, target use by timely return to the republican budget of Means.

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