BAKU, Azerbaijan, March 1. The European Bank for Reconstruction and Development (EBRD) has allocated a $199.96 million sovereign loan to improve irrigation systems in Uzbekistan’s Fergana Valley, Trend reports, citing the EBRD.
According to the statement of EBRD, owing to the sum of Uzbekistan will be able to modernize 118 obsolete pumping stations installed during the Soviet Union.
“The replacement of old water pumps with modern equipment will ensure better control over the flow of water and reduce losses,” the message says.
The modern equipment will decrease the annual consumption of electricity by 277,000 MWh and reduce annual CO2 emissions by 129,000 tons.
“By supporting such green projects, we not only improve the efficiency of water use vital to this region but also help increase the irrigated area by almost 32,000 hectares, potentially creating jobs for around 19,000 people in Uzbekistan’s most populous region,” Zsuzsanna Hargitai, EBRD Managing Director for Central Asia said.
Meanwhile, EBRD has invested almost 3.71 billion euros in 121 projects in Uzbekistan.
Earlier in February, EBRD forecasted that Uzbekistan’s GDP will increase by 6.5 percent in 2023, while in 2024 this figure will reach 7 percent.