Senate Oks agreement b/w Kazakhstan and Nordic Investment Bank

NUR-SULTAN. KAZINFORM - Senate deputies have adopted a law ratifying the Framework Agreement between the Republic of Kazakhstan and the Nordic Investment Bank, Kazinform correspondent reports.

This agreement was signed in Helsinki on October 16, 2018.

Introducing the bill, National Economy Minister Ruslan Dalenov noted that the Agreement allows opening the activities of the Northern Investment Bank to finance investment projects in the Republic of Kazakhstan.

Located in Helsinki, Finland, the Nordic Investment Bank (NIB) is an International Financial Institution. The Bank was established by the five Nordic countries in 1975 to overcome investment barriers and attract commercial lending. In 2005, the three Baltic countries joined NIB on equal footing with the original members.

The authorized capital of the Nordic Investment Bank is 6 billion 142 million euros which is formed by payments of the bank’s member countries - Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden.

The total loan portfolio of the Nordic Investment Bank in 2018 amounted to 19.1 billion euros. Loans are provided for up to 25 years.

As per the NIB strategy about 20% of the loan portfolio is provided to countries that are not its permanent members.

Dalenov added that the main areas of financing of the Nordic Investment Bank are energy, the green economy, telecommunications, transport, various industries, agriculture, healthcare, small and medium-sized businesses.