KazAgroFinance plans in autumn to float in internal market bonds for the amount KZT3 bn.

/INTERFAX-KAZAKHSTAN, Astana, March 29, 06/ - State leasing company KazAgroFinance plans in autumn of this year to float in internal market bonds for the amount KZT3 bn. (current 128.12/$1). "As per plans, till the end of March Deloitte&Touche completes audit (of activity by the results of 2005. - "IF-K")... After that, as per procedures, we will join "A" listing of Kazakhstan stock exchange (KASE), - nearly this will be July of this year. Correspondingly, we plan for this year (this depends upon our program) to issue bonds for the amount KZT3 bn. for further financing of purchase of agricultural technique", - Ibragim Tagashev, chairman of the board informed agency Interfax-Kazakhstan. Concerning terms of possible floatation of securities, he noted, that "most probably, it will be autumn". The head of the company plans, that circulation term of bonds will be "not less than 5 years". "This will be internal bonds, indexed to inflation and oriented, first of all, at investments of accumulative pension funds", - I.Tagashev added. "Interest rate" on these securities, he noted, may be "nearly 10-11% APR", taking into account current inflation level. Along with this, interlocutor said, "the matter is serious": whether bonds will be floated with the above interest rates, taking into account, that the company executes leasing crediting under low rates - 4-6% APR". "Will we be able to float under 11%, this will depend upon projects", which will be realized owing to funds from floatation of bonds, I.Tagashev noted. He informed, that KazAgroFinance earlier attracted a number of credits of foreign commercial banks for supply of agricultural technique, particularly, on insurance line of German Hermes. In the current year, I.Tagashev said, the company plans to attract nearly KZT4 bn. of credit funds of foreign banks. KazAgroFinance provides leasing and credit services in agricultural sector. Source of operation are budget funds, as well as accumulated own funds of the company. The company started its activity in 2000, its sole shareholder is the government of Kazakhstan represented by committee of state property and privatization of finance ministry. [2006-03-29]