Damu Entrepreneurship Development Fund JSC was established based on the Decree of the Government of the Republic of Kazakhstan № 665 On the Establishment of Small Business Development Fund  dated 26 April 1997.
Before 2001 the Fund was functioning as an agent for the management of the state budget funds for Program of measures to support domestic commodity producers and for loan facilities of the European Bank for Reconstruction and Development and the Asian Development Bank.
Since 2002, the Fund began lending to small businesses directly from its own funds. Damu Fund had implemented two lending programs - Lending Program for Small Businesses from the National Budget and Small Cities Development Program for years 2004-2006.
In May 2005, the Government of the Republic of Kazakhstan had adopted the Program of Accelerated Measures for the Development of Small and Medium Enterprises in the Republic of Kazakhstan for years 2005-2007. Under this program, the Fund was supporting SMEs through the implementation of project financing and leasing programs, the development programs of microlending in Kazakhstan, and guarantee programs for SME loans received in second-tier banks.
Since September 2006, Damu Fund has been operating as part of Kazyna Sustainable Development Fund JSC.
In accordance with the Decree of the President of the Republic of Kazakhstan №571 On Certain Measures to Optimize Development Institutions, Financial Institutions, and National Economy Development Management System dated 22 May 2013, 100% shares of the Damu Fund were transferred to Baiterek National Management Holding JSC. Prior to this Decree 100% shares of the Fund were owned by Samruk-Kazyna National Welfare Fund, and from 28 December 2011 were in trust management of the Ministry of Economic Development and Trade of the Republic of Kazakhstan and from 10 April 2013 – of the Ministry of Regional Development of the Republic of Kazakhstan. Currently, Baiterek National Management Holding JSC is the sole shareholder of the Fund.
Since the end of 2007, the Fund has been carrying out the functions of an operator for the conditional placement of funds under the Stabilization Programme of the Government of the Republic of Kazakhstan.
Since 2010 Damu Fund has been a financial agent for subsidization of interest rates on loans to businesses and provision of banks with guarantees on entrepreneurs’ loans, and acting as an operator of training and consulting programs as part of the Business Road Map 2020 government program (hereinafter – BRM 2020).
Since 2015 Damu Fund has been a financial agent, implementing and monitoring financial support (subsidies for interest rates on loans to businesses, providing guarantees to banks on entrepreneurs’ loans) as part of the BRM 2020 Unified business support and development program.
In 2012-2014, 18 Entrepreneurs Service Centers were set up in all regional centers and cities of Astana, Almaty, Semey, and Turkestan, as well as 14 mobile Business Support Centers.
Damu Fund branches operate in all the regions of Kazakhstan; it has considerable experience of working with local businesses, public organizations and local executive authorities.