Project description
and objectives:
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The proposed US$ 10 million mortgage loan, in either KZT or US$, will be used
to lend to individuals for buying and/or repairing real estate properties.
This mortgage loan is the second EBRD loan to BTA Ipoteka (BTAI) and would
help BTAI to expand its mortgage loan portfolio and decrease funding costs,
thus allowing provision of long-term affordable financing to home owners in
Kazakhstan.
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Transition impact:
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Additional EBRD mortgage loan to BTAI will further support the development of
the housing mortgage market in Kazakhstan by providing long-term financing to
the only specialised mortgage bank in the country and a leading mortgage
provider for further on-lending to qualified sub-borrowers. Expansion of
mortgage lending will make the mortgage market in Kazakhstan more competitive
and transparent, allowing a wider range of customers to have access to
mortgage financing at reasonable rates and to benefit from other improvements
which competition brings.
EBRD will ensure that BTAI continues to set best corporate and lending
practice. In addition the loan will facilitate promotion of mortgage bond
issuance and further potential developments of the secondary market for
mortgages. Finally, by helping to develop mortgage backed products (loans and
securities), the EBRD will be creating alternative investments - both in terms
of quality risk profile and term - for Kazakh pension funds and in future for
insurance companies, mutual funds and other investors with a long term horizon.
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The client:
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BTAI was established in late 2000 to specialise in mortgage finance. BTAI
remains at the forefront of western-style housing finance in Kazakhstan and is
one of the top 4 retail mortgage providers with the current market share of
14%. BTAI operates through its head office in Almaty and branches in 13
largest cities throughout Kazakhstan.
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EBRD finance:
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Senior secured loan of US$ 10 million (€ 8.3 million equivalent), in either
KZT or US$.
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Total project cost:
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US$ 10 million (€ 8.3 million equivalent)
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Environmental impact:
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BTAI will be required to carry out its operations in accordance with the
EBRD’s Environmental Procedures for Mortgage Loan and, at the same time with
the Environmental Procedures for Intermediated Lending through Local Banks,
including adherence to EBRD’s Environmental Exclusion List, compliance with
national environmental, health and safety regulations.
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Technical
cooperation:
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None.
For consultant opportunities for projects financed by technical cooperation
funds, visit procurement
of consultants.
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Company contact:
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Mr. Kairat Altynbekov
E-mail: altynbekov@bta.kz
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EBRD contact:
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Leyla Abdimomunova, Operation Leader: abdimoml@ebrd.com
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Business opportunities:
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For business opportunities or procurement, contact the client company.
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General enquiries:
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EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168; Fax: +44 20 7338 7380
Email: projectenquiries@ebrd.com
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