Economy • 14 August, 2018

Government approves project of updated State Program Business Roadmap – 2020

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August 14 at the meeting of the Government chaired by Prime Minister Bakytzhan Sagintayev, a project of the updated business support and business development program "Business Roadmap – 2020" was approved.

Minister of National Economy Timur Suleimenov reported that the project of the State program retained the basic tools of financial and non-financial support of entrepreneurship, such as interest rate subsidies, loan guarantees, granting, missing infrastructure, training and advisory services to businesses.

Suleimenov also reported on the results of the implementation of the Program. So, from the moment of its realization in the framework of three directions 11,904 projects have been subsidized for the amount of loans of 2,2 trillion tenge. Within the framework of two directions, 4,302 projects were guaranteed for the amount of loans of 155 billion tenge. State grants for 1940 projects for 4.6 billion tenge were provided, the missing infrastructure was brought to 810 projects amounting to 123 billion tenge.

"Since the program’s launch, 165,000 new and existing entrepreneurs had the training courses in the basics of doing business," Suleimenov informed.

In total, the implementation of the Program since 2010 allocated funds in the amount of 380 billion tenge. The implementation of these support measures enabled the Program participants to produce products worth 13.5 trillion tenge, create over 89,000 jobs, pay taxes in excess of 900 billion tenge.

In order to improve the efficiency of the means used, the state support measures under the Program are reoriented to effective enterprises. So, to receive financial support in monotowns, small towns and villages, entrepreneurs are allowed to provide an increase in the payment of taxes, output and the number of jobs by 10% after two years from the date of receiving state support.

Support in the priority sectors of the economy and in the sectors of the State Program for Industrial and Innovative Development is carried out according to the projects of entrepreneurs who have shown effective production activity in the form of increasing tax payments and output of products by 20% until obtaining support.

The innovation of the developed state program, according to Suleimenov, is the introduction of a tool to subsidize the coupon interest rate on bonds issued by business entities.

This measure will ensure equal competitive conditions for the development of the banking and stock markets.

Another innovation is the automation and optimization of the processes of providing state support for entrepreneurship.

"This work was carried out within the framework of the state program Digital Kazakhstan, where the Single Platform for Business provides for the provision of state support in electronic format on the principle of a single window," Minister Suleimenov said.

Taking into account the automation of public services, the process of granting loans and guarantees for loans will be fully automated on the e-government portal, regardless of the loan amount in October 2018.

A number of stages have been excluded from the decision-making process, which makes it possible to significantly shorten the terms for the provision of these services to entrepreneurs. Since October, under subsidies and guarantees, the decision-making period will be reduced from 25 to 5 days.

The tools for granting grants and summarizing the missing infrastructure will also be accepted through the information system. The timing of the decision on grants, taking into account automation, until October this year will be reduced from 48 to 16 days, in 2019 this process will be 3 days. On completion of the missing infrastructure, the period for considering the application of the subject of SMEs and the statement of the protocol was reduced from 27 to 4 days.

"These automation measures will ensure the transparency of decision-making and the timeliness of the development of budgetary funds.

As part of the provision of non-financial support measures, the provision of training and consulting services is carried out in secret on paper," Suleimenov said.

To digitize non-financial services in all the Public Service Centers and Entrepreneurs Support Centers, it is planned to open self-service zones that will provide consulting services, training and the ability to submit tax and statistical reporting to small and medium-sized businesses and individuals with an entrepreneurial initiative online.

According to the training projects, both online and independent learning are provided.

Provision of services online will allow an entrepreneur to view received consultations in his / her personal account, evaluate the quality of the services provided by filing complaints and appeals, and most importantly, save time on receiving these services.

The commissioning of non-financial services in the industrial operation taking into account automation is planned for October this year.

In the current year, it is planned to provide about 2,200 grants and guarantees to SMEs for loans of second-tier banks, to provide the shortage of infrastructure for SME projects worth over 6.6 billion tenge and to cover more than 20,000 people with non-financial support measures.

Chairman of the Board of the Atameken National Chamber of Entrepreneurs Ablay Myrzakhmetov said that since 2014 the Chamber has been acting as an operator in the fourth direction of the State Program. For four years, over 200 start-up and operating entrepreneurs have used the services. In particular, 7,600 new enterprises were opened, about 11,000 projects were launched. For six months 2018, 37,000 entrepreneurs were served. At the same time, the annual plan is fulfilled.

"This shows the importance of this program for entrepreneurs and its potential," Myrzakhmetov said, stressing that the program supports entrepreneurs in 8 directions. The most important of these are the preparation of a business plan, marketing, assistance in the tax and legal spheres.

61 free services are provided to the business. In district centers and mono-towns 189 points of support of businessmen work.

"I want to note that since the launch of the program, the Business Roadmap 2020 program is the most popular and beloved entrepreneurs program. It provides affordable loans for business,” he summed up.

Speaking on the issue under discussion, Akim of Mangistau Region Yraly Tugzhanov noted that the tools of the Business Roadmap 2020 program have an increased demand among entrepreneurs.

Deputy Prime Minister Erbolat Dossaev said that in the light of the change in the status of the Business Roadmap 2020 program, the relevant work will be carried out jointly with the local executive bodies, the Atameken NCE, to achieve the set goals.

Based on the results of the consideration of the issue, the Prime Minister Bakytzhan Sagintayev noted that today the Business Roadmap – 2020 is one of the most important tools for integrated support of entrepreneurship in the country. The program is paying off.

"Currently, in coordination with the Head of State, the Program acquires the status of the State and goes to a new level of its implementation," said Sagintayev.

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