/KASE, April 27, 12/ - JSC "Development Bank of Kazakhstan" (Astana), whose bonds are officially listed at Kazakhstan Stock Exchange (KASE), has provided KASE with the following press-release of April 25, 2012:

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The major railway cargo operator LLP "Euroasia Transit Group" will receive subsidies under a DBK loan

Over KZT550 m are going to be spent on subsidizing the company under the "Business Road Map" program.

The project of LLP "Euroasia Transit Group" involving arranging of cargo services on the railway (Project) will receive a 5 per cent subsidy on the interest rate on a part of the loan from Development Bank of Kazakhstan (DBK or Bank).

This debt burden relief is seen as rehabilitation of entrepreneurial sector by the "Business Road Map 2020" program (Program or DKB). Part of payments due on the loan to LLP "Euroasia Transit Group" will be compensated through DKB during the next three years.

The Bank, on its part, in order to include the Project into the Program, has approved the plan of financial rehabilitation for the company, reduced the interest rate on a portion of the loan and changed the repayment schedule.

LLP "Euroasia Transit Group" has become the third enterprise borrowing from DBK under the DKB since the beginning of 2012. Earlier Maikuduk poultry plant and logistics centre Tau Terminal received subsidies on DBK loans' interest rate. Inclusion of the Projects in the Program was a move on the part of the Bank to provide additional support to Borrowers operating in manufacturing and services sector.

LLP "Euroasia Transit Group" was set up in 2003. It has used DBK loans since 2008. The company renders services in the field of cargo transportation on the railway of goods exported to CIS and Baltic countries. Currently, the company actively deploys more than 1,300 railway carriages

JSC "Development Bank of Kazakhstan" was established in 2001. Major activities of the Bank include development of the manufacturing infrastructure and processing, assistance in drafting external and internal investments to the country's economy.

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[2012-04-27]