CDB provides $100 million loan to Development Bank of Kazakhstan for on-lending activities in December 2008 (Linked to Record ID#40164, #40234)

Project narrative

On February 20, 2008, the Development Bank of Kazakhstan JSC (DBK) and China Development Bank signed a $100 million loan agreement (ID#650068195200851026) with a 10.33 year maturity (final maturity date: June 23, 2018) and a 3-year grace period. This loan is captured via Record ID#40164. On December 22, 2008, the Development Bank of Kazakhstan JSC (DBK) and China Development Bank signed a $100 million loan agreement (ID#6500681952008510201) with a 10 year maturity (final maturity date: December 15, 2018) and a 3-year grace period. This loan is captured via Record ID#53545. On April 15, 2009, the Development Bank of Kazakhstan JSC (DBK) and China Development Bank signed a $100 million loan agreement (ID#6500681952009510083) with a 10 year maturity (final maturity date: April 15, 2019) and a 3-year grace period. This loan is captured via Record ID#40234. The proceeds of these three loans were to be used by the borrower to engage in on-lending activities and support long-term infrastructure projects in energy, transport and communication sectors, as well as chemical and petrochemical, and metallurgical industries. Under all three loan agreements, principal and interest is paid semi-annually. The CDB loan agreements contain covenants requiring DBK, inter alia, to comply with applicable FMSA capital adequacy ratios and to maintain a debt to equity ratio of 6:1. DBK obtained a waiver of the debt to equity ratio requirement for the year 2017. As of June 30, 2017, the aggregate principal amount outstanding under these three loans was $63.0 million and DBK had a Basel II capital adequacy ratio of 18.65%.