Uzbekistan, Int'l Fund for Agricultural Development ink financing agreement
BAKU, Azerbaijan, Aug. 5
By Ilkin Seyfaddini - Trend:
President of the International Fund for Agricultural Development (IFAD) Gilbert Houngbo and Deputy Prime Minister and Minister of Investment and Foreign Trade of Uzbekistan Sardor Umurzakov signed financing agreement via videoconference on August 4, 2020, Trend reports citing the Uzbek Ministry of Investment and Foreign Trade.
In accordance with the terms of the agreement, IFAD will allocate long-term preferential loans in the amount of $46.2 million, as well as grant funds in the amount of $80,000.
"The project is being implemented in Andijan, Namangan and Fergana regions and consists of a number of components, such as financing projects on diversification and modernization of agriculture through the State Fund for Support of Entrepreneurship of Agro-industrial Enterprises and Farmers to build capacity of the agricultural sector of Uzbekistan, support to the activities of the Business Women's Association of Uzbekistan, the Fish Farming Association, the Research Institute of Livestock Breeding, and Poultry Farming and Fishing," the ministry said.
The project will also support youth and women's entrepreneurship in rural areas by facilitating their access to credit products; it will contribute to modernization of irrigation systems, meteorological stations and other infrastructure of Uzbekistan to diversify agricultural production and increase crop productivity and water management efficiency.
Furthermore, the project will help create modern greenhouses and intensive gardens, introduce environmentally friendly and water-saving technologies, increase the level of production mechanization, increase processing capacity and expand storage facilities in the Fergana Valley regions.
The sides also confirmed their firm intention to continue the active cooperation aimed at intensive development of agriculture in Uzbekistan through creation of sustainable production and supply chains and introduction of modern technologies and developments in this sector.
IFAD is a specialized agency of the UN, whose main task is to mobilize financial resources in order to increase food production and improve the nutritional status of the population in developing countries.
The IFAD project portfolio in Uzbekistan consists of four projects totaling $139.5 million.
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