Baku, Azerbaijan, Sept.15
By Aygun Badalova - Trend:
The European Bank for Reconstruction and Development (EBRD) extends a loan equivalent to $3 million in local currency to KICB, a leading bank in Kyrgyzstan, to finance energy savings for businesses and residential homeowners under the Kyrgyz Sustainable Energy Financing Facility (KyrSEFF), EBRD reported Sept.15.
“EBRD and the EU are stepping up their support to build a sustainable, green economy in the Kyrgyz Republic,” bank’s report said.
Kyrgyzstan’s energy supply currently depends to a large extent on imports of fossil fuels and on domestic hydropower, but hydropower resources do not offer a long-term solution as they face depletion due to melting glaciers.
KyrSEFF is a flagship project in the country. It consists of credit lines totalling US$55 million that the EBRD extends to local partner banks.
These credit lines are supported with $18 million of technical cooperation and grant funding from the EU to provide incentives for highly energy-efficient investments. The funds also support technical assistance for the assessment of optimal energy use and for new equipment or facilities.
To date, the EBRD has invested over 630 million euros in Kyrgyzstan, focusing on the development of the private sector as well as a programme to improve vital public services such as water and wastewater, electricity and transport.