BAKU, Azerbaijan, Nov. 30
By Klavdiya Romakayeva - Trend:
The total public debt at the end of 2021 in Uzbekistan is projected at $28.4 billion (44.9 percent of GDP), Trend reports with reference to the country's Ministry of Finance.
The ministry notes that despite the growth dynamics, public debt remains moderate, at a level safe for macroeconomic stability.
This year, the growth of public debt is associated with the attraction of external borrowings to finance additional budget expenditures to overcome the negative consequences of the COVID-19 pandemic. For these purposes, the Anti-Crisis Fund was created at the expense of concessional loans from international financial institutions.
The state external debt at the end of 2021 is projected at $25.5 billion, of which $18 billion is raised on behalf of the government and $7.5 billion is guaranteed by Uzbekistan.
The cost of servicing the public external debt in 2020 may reach $1 billion and $1.5 billion in 2021.
The ministry said that restrictions have been introduced from the beginning of 2020 on attracting external loans on behalf of Uzbekistan or under the guarantee of Uzbekistan. The maximum volume for the total amount of newly signed agreements on attracting external borrowing on behalf of or under a guarantee of Uzbekistan was set at $4 billion.
“However, in the context of the coronavirus pandemic, the government is forced to revise the limits on external borrowing. This year, the volume of newly signed agreements on attracting external borrowing is projected at $5.5 billion, in 2021 - within $5 billion,” the Ministry of Finance outlined.
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