“Nurly Zher” Housing Construction Program (hereinafter referred to as a Program) was approved by the Government regulation of the Republic of Kazakhstan dd. December 31, 2016 No. 922, combining the new mechanisms of Housing Construction support and acting on the previously adopted state and branch programs: State program of “Nurly Zhol” infrastructure development for 2015-2019, the Program of regional development up to 2020.
The goal of the Program is to increase the availability of housing for people.
To achieve this goal, “NMH Baiterek” JSC (hereinafter - the Holding) takes part in the implementation of the following tasks (directions) of the Program through the subsidiaries of the Holding:
1. Increasing the availability of mortgage lending (task No. 1 of the Program).
Since 2017 the subsidies will be allocated annually from the Republican budget in the amount of up to 7% per annum from the interest rates of mortgage housing loans that will be channeled through the financial agent of “IO “Kazakhstan Mortgage Company” JSC;
2. Promotion of housing construction by the private developers (task No. 2 of the Program).
Since 2017 the subsidies will be allocated annually from the Republican budget in the amount of 7% per annum from the interest rates of developers’ credits that will be channeled through the financial agent of “PDF “Damu” JSC;
3. Construction of credit housing through the system of housing construction savings (Task No. 3 of the Program).
"Zhilstroysberbank of Kazakhstan" JSC will be allocated 24 billion tenge annually for credit financing of investors since 2017 to ensure the turnover of funds allocated for construction of credit housing;
4. Providing with rental housing for people (Task No. 6 of the Program).
In the framework of previously adopted state and government programs in 2017-2018 the construction of rental housing of “IO “Kazakhstan mortgage Company” JSC is in the process now.
5. Support of share housing construction (Task No. 7 of the Program).
The implementation of mechanism for protection of deposits is carried out by “Fund of guaranteeing of housing construction” JSC.
National Fund allocated 115 billion KZT to finance the construction and acquisition of rental housing in 2015-2016.
Also, 29.2 billion KZT were allocated for housing construction, previously received in 2013-2014 under "Affordable Housing-2020" program, and budget credit in the amount of 19.1 billion KZT, received in 2016 from the republican budget.
Due to these funds, contracts for the construction and acquisition of 1,054.9 thousand m2 (18,616 apartments) were signed, among them:
- objects of 2015: 425.5 thousand m2(7,234 apartments) of planned 401 thousand m2 were handed over;
- objects of 2016: 328 thousand m2(5,993 apartments) of planned 326 thousand m2 were handed over;
- objects of 2017: 203.2 thousand m2 (3 622 apartments) of planned165 thousand m2 were handed over. Therefore, housing commissioning plans have been fully implemented.
- objects of 2018: 16.9 thousand m2 (279 apartments) of 80 thousand m2 annual planwere handed over. In addition, before the end of this year 81.3 thousand m2 (1 488 apartments)will be handed over.
“Baiterek Development” JSC
National Fund allocated 180 billion KZT to finance the construction of housing through "BD" JSC, among them:
1) contractsfor 95.6 billion KZT with an area of 588.7 thousand m2 (9,831 apartments) were signed, among them:
-objects of 2016: 128.5 thousand m2 (2,036 apartments) of planned 124thousand m2were handed over.
- objects of 2017: 425.4 thousand m2 (7,207 apartments) of planned 389.3 thousand m2 were handed over. Therefore, housing commissioning plans have been fully implemented.
- objects of 2018: 24.9 thousand m2 (426 apartments) of 34 thousand m2 annual plan were handed over. In addition, before the end of this year 9.9 thousand m2 (162 apartments) will be handed over.
2) 124 billion KZT of LEB bonds were redeemed (of planned 124 billion KZT).
Therefore, allocated 180 billion KZTwere fully disbursed. Excessdisbursement of allotted amount is provided due to the reallocated funds of "NWF "Samruk-Kazyna" JSC and reinvestment of funds coming from credit housingsales. Due to turnover of funds15 thousand of apartments will be built annuallyby the Akimatsfor the depositors of ZHSSBK.
EXPO objects construction (76,1billion KZTNFRK)
National Fund allocated 76.1 billion KZT in 2014-2016. 76.1 billion KZTor 100% of the allocated funds were disbursed.
All the objects were handed over and registered in December 2016 according to the established term. 1300 apartments and 1,300 parking units were sold in the ownership of "Baiterek Development" JSC, which were given to the participants of "NC "Astana Expo-2017"exhibition for rent until December 31, 2017.
The funds allocated from the National Fund are returned by "BD" JSC by means of residential real estateand the share of "BD" JSC sale in the SEC. SEC signed the share sale contract to SEC with the project company in installments until 2034.
"BD" JSC will begin selling of housing located on the territory of Expo in Astana since June 1, 2018. Apartments and parkings will be put up for sale on market terms.
Credit granting for the depositors of JSC “Zhilstroysberbank of Kazakhstan”
National Fund allocated 22 billion KZT for the depositors crediting of “Zhilstroysberbank of Kazakhstan” JSC.
The development plan approved by the State Commission for 2016 - 2.9 billion KZT, in 2017 - 19.1 billion KZT. The development plan for 2016 was fully implemented. For today, credit agreements for the amount of 22.0 billion KZT have been signed. Therefore, the development plan was implemented in full.
The republican budget allocatedthe public budget loan for the amount of 8 billion KZTin 2017. At the end of 2017, 8 billion KZT or 100% of the plan were disbursed.
Also a public budget loan for the amount of 24 billion KZT was granted in 2018. As of May 1, 2018, 12.0 billion KZT wasdisbursed. The remaining amounts will be disbursed until the end of 2018.
Mortgage loans subsidizing by mans of “KMK” JSC
Second-tier banks approved applications from the population for 12 billion KZT in 18 citiesregarding mortgage interest rate subsidizing for the population in 2017 (Almaty, Astana, Aktobe, Uralsk, Kostanay, Kokshetau, Ust-Kamenogorsk, Aktau, Atyrau, Semey,Taraz, Taldykorgan, Karaganda, Kyzylorda, Zhezkazgan, Kaskelen, Shymkent, Pavlodar).
As of May 1, 2018, 2757 applications were approved for the amount of 28.61 billion KZT.
Loans subsidizing for the private developers through "Damu" JSC
Regional Coordinating Councils approved 23 projects for the amount of 27 billion KZT to be subsidized regarding mortgage interest rate subsidizing for the private developers loans, among them the subsidizing contracts for20 projects for a total amount of 26.1 billion KZT were signed by Damu Fund.
As of May 1, 2018 Regional Coordinating Councils approved 37 projects for a total loan amount of 37.4 billion KZT to be subsidized. Among them the subsidizing contracts for 30 projects for a total amount of 29 billion KZT were signed.