Uzbekistan to provide loans to administrations of Tashkent city, Surkhandarya region

Finance Materials 16 November 2020 13:33 (UTC +04:00)
Uzbekistan to provide loans to administrations of Tashkent city, Surkhandarya region

BAKU, Azerbaijan, Nov. 16

By Klavdiya Romakayeva - Trend:

The Fund for Reconstruction and Development of Uzbekistan (FRDU) will provide a loan to the administration of Tashkent for the construction of Sergeli industrial park and to the administration of Surkhandarya region for the construction of Termez International Trade Center, Trend reports referring to Norma information and legal portal of Uzbekistan.

The loan for the construction of the Sergeli industrial park will amount to $40 million, while the loan for the construction of the Termez Trade Center will amount to $20 million.

President of Uzbekistan Shavkat Mirziyoyev signed a decree "On measures to further develop the activities of special economic and small industrial zones in the Surkhandarya region and the city of Tashkent", according to which, by reducing the territory of Termez free economic zone, Termez Trade Center free trade zone will be formed with inclusion of Termez Cargo Center LLC in the register of the center's participants.

In addition, Sergeli Industrial Park small industrial zone will be created in the Sergeli district of Tashkent.

The Cabinet of Ministers was instructed to ensure the allocation of $5 billion soums ($482,579) at the expense of the reserve fund for the formation of statutory funds of the directorates of the ITC and the Sergeli Industrial Park.

In addition, the decree provides for the allocation, loans for urban administrations of Surkhandarya and Tashkent for a period of three years at the expense of FRDU, including a one-year grace period, at a rate of 6-month LIBOR + 2 percent for construction and installation work and the construction of the necessary infrastructure.

The London Inter-bank Offered Rate (LIBOR) is an interest-rate average calculated from estimates submitted by the leading banks in London.


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