Development Strategy

KAZAGROFINANCE JSC’S DEVELOPMENT STRATEGY

FOR 2017-2026

KazAgroFinance JSC’s Development Strategy for 2017-2026 has been approved by the Resolution of the Board of Directors of KazAgroFinance JSC No.12 dated October 16, 2017.

Introduction

Joint stock company ‘KazAgroFinance’ (hereinafter as the Company’) was established by the Decree of the Government of the Republic of Kazakhstan No.1777 ‘On Some Issues of Agriculture’ dated November 24, 1999. The Company is a business institution incorporated as a joint stock company; its Sole Shareholder is National Managing Holding ‘KazAgro’ JSC (hereinafter as Holding ‘KazAgro’ JSC). The Company is represented by 14 branches in all regions of Kazakhstan.

The Company’s Development Strategy defines the mission, strategic trends, development objectives and tasks, key performance indicators of the Company for 2017-2026.

Mission, Vision and Strategic Trends

Mission is to facilitate the renewal of the agricultural machinery and equipment in the Republic of Kazakhstan by providing the quality and competitive leasing services.

Vision. KazAgroFinance JSC is a national leader at the Kazakhstani leasing market with a high investment attractiveness and the best partner for the agricultural sector entities in renewal of the agricultural machinery and equipment.

Strategic Trends

1.                Promotion of investment attractiveness.

Objective: increase in the Company’s long-term shareholder value by promoting the activities profitability while complying with the acceptable risk level

Tasks:

  •   Improvement of the loan portfolio quality

  •   Enhancement of efficiency of utilizing the equity and assets

  •   Efficient raising of the funds from banks and other institutional investors

KPI:

 

  • ROA, %;

  •   ROE, %;

  •   NPL, %.

2.                Improvement and development of leasing services

Objective: enhancement of loyalty of the current clients and attraction of new ones while increasing the total number of clients by 1.5 times by 2026.

Tasks:

  •   Promotion of accessibility of services for the clients

  •   Improvement of the leasing services quality

  •   Extending and development of the Company’s product line

KPI:

 

  • Number of current service users, number of clients;

  •   Leasing volume of agricultural machinery and equipment, KZT mlrd. per year;

  •   Level of service accessibility and clients’ satisfaction, %

Corporate development

Objective: improvement of the Company’s corporate management system and obtaining of 91.5% rating by 2026.

Tasks:

  •   Compliance with the corporate management principles

  •   Enhancement of efficiency of the Board of Directors’ functions and improvement of the independent director institute

  •   Development of the institute for planning of the executive succession and the productive assessment system for the Company’s Board and employees

  •     Promotion of transparency of the Company’s activity

KPI:

  • Corporate management level,%.