Kazakhstan plans to create Housing construction guarantee fund

ASTANA. KAZINFORM - Kazakhstan plans to create Housing construction guarantee fund, this has been announced today by vice minister of National Economy Kairbek Uskenbayev presenting the bill with consequential amendments "On participatory interest in housing construction" in the Majilis.

The state budget will allocate 15 billion tenge for the authorized capital of the fund. It is expected that the fund will reduce risks in the construction industry and protect the rights of interest-holders. "We have developed a mechanism to oblige a building owner to fulfill obligations. A building owner is obliged to completed construction of a house. If it is not completed, the fund assumes obligations and completes the construction of a housing building," said K. Uskenbayev. According to Mr.Uskenbayev, the authorized capital of the fund is 15 billion tenge. Experts said that 15 billion tenge will ensure the construction worth more than 300 billion tenge.