THE FUND FOR FINANCIAL SUPPORT OF AGRICULTURE

1. THE FUND FOR FINANCIAL SUPPORT OF AGRICULTURE

2. JSC “ Fund for financial support of agriculture” (the Fund) • In 1998 y. the Government Fund for Financial Support of Agriculture was reorganized into the Close Joint Stock Company “Fund for Financial Support of Agriculture” with 100% of the Government share in its equity. • Starting 2007 y. the Fund become the affiliated company of the JSC “National Holding “KazAgro” (Supported by the Ministry of Agriculture);

3. JSC «National Holding «KazAgro» • The multilevelsystem in providing the access to financial services in agricultural sector: • Prodkorporation and KazAgroFinance - Supporting Large and Medium Businesses; • Agro Credit Corporation - Supporting Medium Business; • Fund for Financial Support of Agriculture - Supporting Small farmers and rural population 3

4. The Mission of the Fund • Is to implement the state policy on providing access to financial and insurance services in rural areas through development of microcredit and insurance systems in plants growing.

5. The Loan Portfolio of the Fund as for October 01, 2008 y. Billion, KZT The total Loan Portfolio of the Fund over 7 040,1 mln. Kazak Tenge And Fund served over 46 562clients

6. Direct Lending • Fund provides microcredits for rural population on: • Livestock (82% of loan portfolio) • Crop cultivation (5% of loan portfolio) • Other businesses (3% of loan portfolio) • The amount by microcredits is 400 000 KZT for 2 years 6

7. Program of supporting theMicrocredit Organizations • Fund established 51 MCO together with private investors. • The Fund invested into the equity 560,1 million Kazak Tenge • The total amount that Fund invested into the program is 2 275,9 million Kazak Tenge

8. Lending the Microcredit Organizations • The share of the Fund in equity of MCO is 49%; • The activity of MCO in rural areas; • The purpose of the loans: • Livestock, • Crop cultivation, • Entrepreneurship in the rural area • Terms:3 years; • Interest rates : 7,5% • Interest rates for the borrowers : 14,5%

9. The number of MCO that have the positive financial results

10. Consultative and educational services for rural population • Starting 2005 y. Fund with JSC “KazAgroMarketing” provides educational services. • The rural population have following trainings “The basis of microfinance”, “How to start its business”, “Business planning” The number of rural population that visited trainings

11. Crop insurance services • The Fund is the Agent of realization the Government policy of realization the Mandatory Crop Insurance in rural areas •  The Fund reimburse 50% of total insurance amount under the insurance events happened with bad weather

12. Fund for Financial Support of Agriculture • The Certification of Quality Management System under the standard RK ISO: 9001-2001 • The collaboration with PUM organization (The Government of Netherlands) on getting the technical assistance • Got the credit rating β+ (the positive) by rating company M-Cril (India)

13. Rating Grades of the Fund (August 2008, M’cril):

14. The Fund for Financial Support of Agriculture • Network of 14 branches that are located in administrative centers of all oblasts (provinces) of Kazakhstan. • The staff of the Fund is 260 people, including in Head Quarter - 56 people

15. Contact information : Republic of Kazakhstan Astana city, Turan Avenue (Sary-Arka Avenue), 15/1 Tel.: +7 (7172) 678 243 Fax.: +7 (7172) 678 252 e-mail: info@fagri.kz