Development of the Ka-29 began in 1973, after engineers at the Kamov Design Bureau decided to create an attack transport variant of the Ka-27, which itself had successfully undertaken its maiden flight that year. Initially, the machine was to be designated Ka-252TB, but was later changed to Ka-29. The Ka-29 was intended to support amphibious naval operations by providing fire support for advancing troops.

After some development work, the prototype of the Ka-29 was ready for testing and conducted its maiden flight in July 1976. Testing was successfully completed by 1979, with the Ka-29 entering mass production in 1984. Shortly after, the Ka-29 entered service with the Soviet Navy in 1985, serving aboard the newly commissioned Ivan Rogov-class landing ships.

Production of the Ka-29 lasted until 1988, with about 60 units of the type being built. This helicopter saw combat in Chechnya in 2000-2001, few units served in police special operations branches. The Ka-29 is still in service with the Russian and foreign navies, more than three decades after its initial introduction to service.