Kazakh banks allocate more than 13 bln tenge for economic recovery in riots aftermath
ALMATY. Jan 17 (Interfax) - Kazakh banks have allocated over 13 billion tenge for economic recovery, cancelled penalties and fines for delays given during the state of emergency, and also wrote off loans to victims' families, the press service of the Kazakh Association of Financiers said on Monday.
In particular, the People's Bank of Kazakhstan will give 3 billion tenge for assistance to affected small- and micro-sized businesses and for the restoration of damaged facilities, as well as other urgent tasks. The bank has also provided 5 million tenge to the families of killed law enforcement and special service officers.
An affiliate of Russia's Sberbank provided to Almaty 550 million tenge. It also gave 10 new ambulances for the city's medical establishments and 10 passenger cars for the city's needs. The bank will also help repair and again put into operation the buildings of the National Library and the Central State Museum.
According to earlier reports, Kaspi.kz Bank and its founders Vyacheslav Kim and Mikhail Lomtadze have provided 10 billion tenge to the People of Kazakhstan public fund.
Kazakh Association of Financiers Chairperson Yelena Bakhmutova was quoted in the report as saying that Kazakhstan's banks have managed to promptly restore regular services to clients despite the damage done to their operations.
"Their efforts to restore city infrastructure facilities, assist affected enterprises, law enforcement officers, servicemen, healthcare workers, and citizens deserve special respect," Bakhmutova said.
The People's Bank of Kazakhstan, the affiliate of Russia's Sberbank, Jusan Bank, the Kaspi.kz bank, Nurbank, ForteBank, Bank RBK, Home Credit Bank, Altyn Bank, Alfa-Bank Kazakhstan, VTB (Kazakhstan), and the Eurasian Bank cancelled the fines for delays given during the state of emergency, the press service said.
Kaspi.kz, Alfa-Bank Kazakhstan, Altyn Bank, and VTB (Kazakhstan) will write off loans of victims' families, it said.
Kazakh banks will consider applications from individuals, legal entities and private entrepreneurs who applied for deferral of loan payments on January 5-31, 2022. Deferrals are granted if there are objective reasons for the worsening of the financial situation or damage done in the emergency situation period, it said.
According to earlier reports, Kazakh businesses provided 12.36 billion tenge to the People of Kazakhstan social fund, while 6,500 Kazakh residents provided 10.1 million tenge to the fund as of January 17.
The National Chamber of Entrepreneurs said the amount of damage done to businesses in Kazakhstan as a result of the riots reached some 103.7 billion tenge, of which 102 million tenge accounts for Almaty, as of January 12. It was reported that more than 1,600 businesses were affected in 11 regions of Kazakhstan.
The current exchange rate is 434.84 tenge/$1.
The situation in Kazakhstan aggravated on January 2, when rallies against a sharp rise in liquefied petroleum gas prices began in Zhanaozen, Mangystau region in western Kazakhstan, then boiling over into large-scale nationwide protests with economic and political demands. According to the authorities, destructive forces, militants and terrorists, took advantage of the situation. Attacks were staged on administrative buildings, police stations and shops, which were ransacked. Almaty, Kazakhstan's largest city, was hit the hardest in the unrest.