BAKU, Azerbaijan, November 6. Multilateral Investment Guarantee Agency (MIGA), a member of the World Bank Group, supports foreign investments, including those in Kyrgyzstan, a source at MIGA told Trend.
"On June 16, 2023, MIGA provided guarantees to a South Korean company known as "Agricultural Corporation In Water Solution" (IWS Korea)." This assistance was for loans of $3.87 million made by IWS Korea to its wholly-owned subsidiary, "In Water Solution Agro" (IWS Agro) in Kyrgyzstan, according to the source.
The project has numerous essential purposes, according to MIGA. It intends to replace imported commodities and assure Kyrgyzstan's reliable supply of critical crops.
Furthermore, using LPG boilers, which are more environmentally friendly than the typically used diesel boilers in Kyrgyzstan, is predicted to reduce greenhouse gas emissions by around 990-1,100 tons per year.
Furthermore, the project is set to create over 150 new, well-paying jobs, especially for local individuals who may be facing social disadvantages. It also collaborates with local educational institutions to transfer skills and offer job training.
As was noted, this initiative involves the construction and operation of a 10-hectare smart farm, located approximately 10 kilometers northeast of Bishkek, Kyrgyzstan's capital. This advanced farm features hydroponic greenhouses with automated systems that control the growth conditions for vegetables and flowers.
The source pointed out that "Dohwa Engineering Co", a major Korean engineering company, played a crucial role by investing in IWS Korea, and these funds were then used as loans for IWS Agro to carry out the project.
"Kyrgyzstan's economy is mainly reliant on agriculture, with rural areas home to 63 percent of the population. However, due to antiquated farming practices, particularly outdoor production, which is subject to the effects of climate change, the country faces issues such as food shortages and volatile food prices. This project addresses these difficulties by employing technology-driven, automated indoor cultivation, which increases productivity dramatically," the source said.