ALMATY, Kazakhstan, 3 June 2003 - Small businesses and farmers in the Western Kazakhstan Oblast will get the tools necessary to expand their businesses and create new jobs, under a joint $200,000 initiative by the Karachaganak Integrated Organisation (KIO) and the Eurasia Foundation.

KIO is contributing $100,000 in lending capital to three microfinance organisations in WKO, and the Eurasia Foundation is contributing an equal amount to pay for training and two years’ operating expenses. In this way, the microfinance organisations will act as self-sustaining "mini-banks" that will be helping small businesses and farmers in Western Kazakhstan on an ongoing basis.

John Morrow, KIO General Director, said: "KIO is pleased to be a part of this initiative that will help the entrepreneurs of Western Kazakhstan to access loans necessary to sustain and expand their businesses and to create new jobs in the region".

The microfinance organisations receiving the lending capital are:

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The West Kazakhstan Public Foundation to Support Entrepreneurship, which works with Uralsk small businesses;

The West Kazakhstan Oblast Public Foundation to Assist Entrepreneurs, DAMU, which supports rural entrepreneurs;

The Public Foundation to Assist Farmers of the West Kazakhstan Oblast, which lends to farmers.

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These organisations were chosen on a competitive basis. They were audited, and reviewed by outside experts and the Eurasia Foundation’s Almaty and Washington offices before funding was approved.

Jeff Erlich, Kazakhstan Director of the Eurasia Foundation, said: "There are three factors that give this project a high chance for success - the participation of professional business-support organisations, the significant direct funding from KIO, and the help of WKO Akimat that understands the importance of small business development".