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Agroleasing as a Measure to Support Small Farming in Kazakhstan: Current State and Mechanisms for Its Improvement

Author

Listed:
  • Arif G. Ibragimov

    (Russian State Agrarian University – Moscow Timiryazev Agricultural Academy)

Abstract

Introduction. Agroleasing is one of the key instruments for modernising agricultural machinery and providing state support to Kazakhstan’s agricultural sector. However, access to leasing programmes remains limited for small-scale farms due to financial, organisational and technical barriers, thereby reducing the effectiveness of state support and exacerbating technological inequality within the agro-industrial complex. Materials and methods. The study is based on an analysis of agroleasing programmes in Kazakhstan in force in 2024–2025, including programmes run by KazAgroFinance JSC, the Industrial Development Fund, and private leasing operators. Methods used included institutional, comparative, and problem-oriented analysis, descriptive statistics, grouping, and expert-level logical generalisation. The study assessed interest rates, down payments, leasing timeframes, funding volumes, borrower requirements and the extent to which the programmes met the needs of small farming. Results. It was found that the main agroleasing operator in Kazakhstan was KazAgroFinance JSC, and that the scope of funding for benefit schemes in 2024–2025 increased significantly. However, a systemic imbalance has been identified: existing programmes are predominantly geared towards medium-sized and large farms, whilst small farmers face constraints such as down payments, collateral requirements, complex paperwork and insufficient availability of compact machinery. Key areas for improvement have been identified: micro-leasing, no deposit or reduced down payments, seasonal payment schedules, guarantee funds, simplification of paperwork, and the development of cooperative use of equipment. Conclusion. The findings clarify the role of agroleasing as a comprehensive support mechanism for small farming, rather than merely a tool for acquiring machinery. The practical significance of the study lies in justifying the transition to a differentiated model of agroleasing that takes into account the financial means, regional specifics and production needs of small agricultural producers in Kazakhstan.

Suggested Citation

  • Arif G. Ibragimov, 2026. "Agroleasing as a Measure to Support Small Farming in Kazakhstan: Current State and Mechanisms for Its Improvement," Economic Consultant, Scientific and Educational Initiative LLC, issue 3, pages 107-126, September.
    • Handle: RePEc:ris:statec:023906
    DOI: 10.46224/ecoc.2026.3.6
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    JEL classification:

    • B00 - Schools of Economic Thought and Methodology - - General - - - History of Economic Thought, Methodology, and Heterodox Approaches
    • B31 - Schools of Economic Thought and Methodology - - History of Economic Thought: Individuals - - - Individuals
    • B52 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Historical; Institutional; Evolutionary; Modern Monetary Theory;
    • F54 - International Economics - - International Relations, National Security, and International Political Economy - - - Colonialism; Imperialism; Postcolonialism
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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