KMCGF intends to guarantee 100% losses on mortgage loans in the frame of state housing program

/Kazakhstan today, September 19, 05/ - Joint stock company Kazakhstan mortgage credits guaranteeing fund (KMCGF) introduces new product on one hundred percent guaranteeing of creditors' net losses on mortgage housing loans, granted in the frame of house-building development state program for 2005-2007, KZ-today informs with reference to Fund's press service. Question on introduction of new product became topic of joint round table with Association of financiers of Kazakhstan (AFK) and Kazakhstan Mortgage Company JSC (KMC) in Almaty. In the work of round table also representatives of the National bank, AFS, 20 commercial banks and mortgage companies took part. "One hundred percent guaranteeing of creditors' net losses on mortgage housing loans, granted in the frame of state program, will allow to decrease margin of banks in 2 times, this will be not more than 1.1% from the amount of main debt on mortgage housing loan", - the Fund explained. As on September 15, in the frame of state program the Fund granted guarantee obligations on mortgage credits for the amount above KZT802 m. Volume of mortgage credits guaranteed by KMCGF, granted by commercial banks and mortgage companies by own programs, is more than KZT1.5 bn. [2005-09-19]