SME transformation - insurance and coming out of shadow
The issue of determining the list of objects subject to insurance was discussed at the Atameken site. Today, a joint meeting of the Trade Committee and the Committee for the Development of Small and Medium-sized Business was held, chaired by Kairat Mazhibayev and Raimbek Batalov.
In connection with fires in shopping centers in Russia, the National Chamber together with business discusses the introduction of imputed insurance. The terms of such insurance are determined by the contract of the insurance company and the client.
Within the framework of the meeting, several criteria for selecting an insurance subject were announced. Managing Director of the Financial Institutions' Association of Kazakhstan Yerlan Burabaev said that the imputed form of insurance in Kazakhstan is already working for bailiffs and customs brokers. As a criterion, he proposed to apply the experience of insurance of objects, where the category is determined by the potential number of victims. The first category includes objects with the maximum number of potential victims.
"If the capacity of the facility is from 150 to 300 people, the insurance amount is 150 million tenge. In this case, the tariff for compulsory insurance will fluctuate from 0.72% to 2.2%," - Yerlan Burabayev said.
Kairat Mazhibayev emphasized that shopping centers are not the only highly trafficked facilities. On a phased basis, objects of imputed insurance will be airports, train stations, hospitals and stadiums.
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According to the law, a heavily trafficked facility means buildings, facilities, premises of trade enterprises, public catering, consumer services, sports and recreation, sports, cultural and educational organizations.
"The legislation already gives us criteria that we can start out from," - Bekzhan Otarbayev, an expert at the department of economics and analysis of the NCE RK "Atameken", notes. - This year, the certification of business objects with an area of more than 2,000 sq.m. was conducted. These are large shopping centers, which are insured on a voluntary basis. We see the interest of business, there will not be an additional burden on them."
Another suggestion was to consider as a criterion the squaring of retail space.
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"At the general meeting with the Committee for Emergency Situations on the site of the National Chamber, a proposal was made to insure trade entities, starting from an area of more than 2 thousand square meters. There are 267 such entities in Kazakhstan up to date. Plus, there are already modernized universal markets, there are 312 of them," - said Alexander Savidov, Managing Director/Director of the Department of Trade of the NCE RK "Atameken".
The issue of defining criteria remains open. Business of Almaty is ready to provide the National Chamber with data about its trading areas for calculating the cost of insurance for the proposed options.
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The meeting also discussed tools that will help increase the efficiency of small and medium-sized businesses and reduce the shadow turnover of products. According to the research, not all stores use cash registers with data transfer function and POS-terminals so far, partly because of interest for non-cash services. There is also non-transparent accounting: there is no guarantee that the store owner gets all the proceeds from the seller. In this regard, the Committee proposes to the business to introduce special ERP-systems that automate the processes at the trade site, including the accounting of goods movement and bookkeeping.
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In this case, the system combines the functions of a POS-terminal and a cash register. As an impetus for such entrepreneurs, it is planned to create special tax incentives, reduce the rate for non-cash income, exclude non-cash payments from the VAT threshold.
"If a small business starts actively implementing digital technologies, this can lead to an increase in its efficiency. If today the net profit of one store is on average 5-7% (with an indicator of turnover of 2.5-3 million tenge), then after digitization it may increase by 20%," - the Chairman of the Trade committee of the Presidium of the NCE RK "Atameken" Kairat Mazhibayev noted.
Also during the meeting of the Committees the professional standards "Catering" and "Food industry" for the professions included in them were approved.
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According to the Statistics Agency of the Republic of Kazakhstan, the number of public catering facilities has increased more than twice from 2006 to 2011 and amounted to 19,343 thousand institutions. Today, the creation of standards facilitates the establishment of links between educational institutions and business. The main stakeholders are operating catering facilities, both large and small.
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