EBRD discloses sum of money invested in Uzbekistan in 2022

Uzbekistan Materials 26 January 2023 15:37 (UTC +04:00)
EBRD discloses sum of money invested in Uzbekistan in 2022
Nazrin Babayeva
Nazrin Babayeva
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BAKU, Azerbaijan, January 26. The European Bank for Reconstruction and Development (EBRD) has published data on the amount of money invested in Uzbekistan in 2022, Trend reports via the Bank.

According to the source, in 2022, the EBRD invested some $900 million in Uzbekistan’s 26 projects, making it the leading recipient of its funding in Central Asia for the third year running. Funds were allocated to various fields of the country ranging from renewable energy to banking.

The EBRD actively maintains Uzbekistan's transition to a green economy. The bank has already arranged two syndicated loans with a total amount of $520 million to support construction, as well as putting into operation two wind power plants with a total capacity of 1 GW in Uzbekistan’s Bukhara region. The statement notes that financing wind power plants is considered the largest renewable energy project to date across its regions.

Furthermore, the EBRD also provided $74 million in funding for the construction and operation of a 500 MW greenfield wind power plant in the Navoi region of Uzbekistan.

In addition to the energy sector, the EBRD has provided long-term sovereign loans totaling $120 million for regional utilities responsible for solid waste management in Uzbekistan’s Khorezm and Karakalpakstan regions. The project will contribute to Uzbekistan's decarbonization efforts under the Paris Agreement and support the country's solid waste.

As for Uzbekistan’s financial sector, the EBRD has increased new trade finance limits in the amount of $210 million for four banks in the country. As a result, private domestic businesses, including small and medium-sized enterprises, will be able to import necessary goods; services, and equipment, as well as export their products.

At the same time, in 2022, the EBRD provided a financial package of $10 million to Ipak Yuli Bank. Owing to the sum of money allocated by the EBRD, the Uzbek bank will improve access to green technologies for local households and SMEs and promote women’s entrepreneurship.

Besides Uzbekistan's Ipak Yuli Bank, the EBRD also invested additional capital of $7 million in TBC Bank Uzbekistan and entered a $20 million cross-currency swap with Uzbekistan. This will help the country to develop the derivatives market and hedge foreign exchange risk from foreign currency borrowing.

Moreover, the bank allocated $15 million to support the activities of the country's leading brewing company UzKarlsberg and also provided the same amount of money to the Tashkent Pipe Plant, which will be able to launch the production of straight-seam pipes welded by submerged arc welding.

The EBRD also supported the expansion of Idea Concept Group, one of the country's leading retailers of consumer electronics and home appliances.

To date, the bank has invested more than $4,2 billion in 128 projects in Uzbekistan.