Abstract:

The article addresses the problem of economic risk mitigation mechanism in the development of small and medium enterprises (SMEs) in the Republic of Kazakhstan. The article touches upon the topic of commercial banks and government support institutions which provide preferential loans to SMEs. It shows the comparison of the number of Kazakhstani operating SMEs for 2013-2018 divided into "small" and "medium" ones. The purpose of the article is to analyse economic risk mitigation mechanism in the development of SMEs with the help of profound policy of financial support. This problem is underexplored and requires further research; that is why the article covers the economic risk mitigation mechanism in the development of SMEs through preferential loans to the industry sectors and prohibition to inspect micro- and small enterprises. The article exposes regional programmes for SMEs. Special attention is paid to SMEs regional funding programmes of each region. In conclusion, the authors give their findings and recommendations.