🌾 Kazakhstan’s Agricultural Sector Undergoes Digital Transformation

 

 During a press conference following the Government meeting, Deputy Prime Minister – Minister of National Economy Nurlan Baibazarov announced plans to reform the subsidy system for the agricultural sector. He stated that the existing conditions will be replaced with five-percent loans, aimed at ensuring more efficient use of resources, according to the analytical center agrosearch.kz.

 Baibazarov also noted that all processes related to the issuance of subsidies will be automated. These functions will be transferred to the Agricultural Credit Corporation, which will manage them through a new digital platform.

 This reform does not come as a surprise. In February 2024, President Kassym-Jomart Tokayev instructed the development of a more effective system of state support for agricultural producers. At an expanded Government meeting, the President emphasized that all support measures should be provided through a "one-stop-shop" principle. He proposed combining concessional lending and subsidies into a single digital platform and transferring subsidy functions from local administrations to the Agricultural Credit Corporation.

 The changes are expected to simplify farmers' access to financial tools and increase transparency in the system. This reform aims to stimulate the development of the agricultural sector and create equal opportunities for all market participants.

 

🔑 Key Takeaways:

1️⃣ Subsidies will be replaced with five-percent loans for more efficient resource allocation.

2️⃣ All subsidy processes will be automated through a new digital platform managed by the Agricultural Credit Corporation.

3️⃣ The reform seeks to simplify access to state support for farmers and improve transparency.