IDB and Kazakhstan within the framework of the bank's managing Board have signed agreement about financing of three projects

/Kazakhstan today, September 2, 03/ - Islamic development bank and Kazakhstan within the framework of the annual 28th meeting of IDB's managing Board have signed agreements about financing of three projects. Signing ceremony was held today, on September 2 in Almaty. In particular, agreement about giving of loan by IDB to Kazakhstan Government for rural water supply project in Karaganda oblast has been signed by the minister of industry and trade of Kazakhstan Adilbek Jaksybekov and the bank's president Akhmad Mokhammed Ali. This project provides for building and reconstruction of water supply systems in 94 settlements of the oblast. Total sum of the project, realization of which is to start in the beginning of 2004, is $11.3 m., among which funds of IDB - $9.451 m., co-financing of Kazakhstan government - $1.863 m. IDB gives the loan for 25 years with 7-year preferential period, commission for servicing - 2.5% APR. The second agreement on Kazakhstan mail service modernization project has been signed by IDB's president and Chairman of the Board of Kazpost OJSC Arken Arystanov. This project will start being realized jointly with Kazpost company in the end of this year. Total volume of project's financing is $13.460 m., among them sum of IDB's loan is $9 m., Kazpost's co-financing - $4.460 m. The bank has given this credit for 12 years with 3-year preferential period, commission for servicing - 6% APR. Main aim of this project is achievement of commercial activity and competitiveness of mail service by introducing new technologies and effective system of management. The project provides for giving mail and banking equipment, software tools, special post cars, teaching the company's personnel. The third agreement is granting of financing by IDB for 12 years with 3-year preferential period to the amount of $13.615 m. concerning the project of building of teaching and scientific complex of Kazakh humanitarian-juridical university situated at the left bank of Astana in special economic zone. Total volume of the project's financing is $20 m., $6.385 m. of which are given by Fund "Sary Arka", which was founded by Kazakhstan president's initiative. This project is the largest project in the republic's private sector. At that, guarantees concerning it are presented by first-class commercial banks: "TuranAlem", "Halyk" and "Caspian". It's planned that all three projects will have been realized by the end of December of 2006. The decision regarding foundation of IDB was made in 1973 in Dzhidda (Saudi Arabia) at the meeting of the ministers of countries - members of the Organization of Islamic conference. At present IDB unites 54 countries, including Kazakhstan. Kazakhstan, which joined IDB in 1995. At present total volume of IDB's financing in Kazakhstan is equal to $91.645 m. [2003-09-02]