ADB postpones loan approval for Azerbaijan
Baku, Azerbaijan, Apr.1
By Maksim Tsurkov - Trend:
The Asian Development Bank (ADB) has again postponed approval of allocation of the first tranche of a loan for improvement of power supply in Azerbaijan.
The approval of the loan allocation was moved from April to June 2016, said ADB in a message posted on its website Apr.1.
ADB is expected to approve the first tranche allocation to Azerbaijan on June 3, 2016.
"Accordingly, the investment program for the development project of electricity distribution networks in Azerbaijan will be approved May 27, 2016," the message said.
In May 2015, the Azerbaijani electricity distribution network operator Azerishig and ADB signed a memorandum of understanding on an investment program, stipulating the reconstruction and modernization of Azerbaijan's energy system.
Under the investment program, the ADB is to allocate three tranches of $750 million ($250 million each tranche), and the remaining $250 million will be allocated by the Azerbaijani government.
The allocated funds are planned to be used to upgrade electricity distribution network and substations, improve services rendered to customers, replace existing counters with the digital ones, and strengthen human resource capacity of the Azerishig.
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