Three German banks are set to invest more than $400 million in industrial and infrastructure projects in Kazakhstan. The Development Bank of Kazakhstan (DBK), a subsidiary of Baiterek Holding, has signed a mandate letter with Deutsche Bank for $200 million to finance unspecified investment projects in Kazakhstan. Additionally, the DBK has signed framework agreements with Landesbank Baden-Württemberg (LBBW) and KfW IPEX-Bank for €100 million each.
LBBW will finance export deals supported by credit agencies, while KfW IPEX-Bank will allocate funds to support infrastructure and industrial projects.
Marat Yelibayev, chairman of DBK, stated that the agreements with German banks «demonstrate a high level of international investors’ confidence in Kazakhstan’s investment climate and in DBK as a key development institution.»
«Partnership with Germany, one of the world’s leading economies, helps attract foreign investment to Kazakhstan, aligning with DBK’s strategic goals to support priority sectors and the long-term development of the country’s economy,» he added.
On Monday, Sept.16, German Chancellor Olaf Scholz arrived in Kazakhstan for an official visit, during which dozens of cooperation agreements were signed. Besides, Kazakhstan and Germany established a joint portfolio of 66 investment projects totaling more than $55 billion. Last week, the DBK signed an agreement with the State Development Bank of China (SDBK) for a $276-million credit line. The funds will be used to finance non-resource sectors of Kazakhstan’s economy.
