TASHKENT, Uzbekistan, February 21. Japan International Cooperation Agency (JICA) signed a loan agreement with Uzbekistan in Tashkent yesterday to provide a loan of up to $246.5 million to finance a program to support sustainable economy and social development, Trend reports.
The loan is allocated for 30 years with a grace period of 10 years at an interest rate of 1.8 percent per year.
Thus, the loan will support the ongoing economic reforms of the Uzbek government related to the transition to a market economy, as well as increase social inclusion and stability, including the protection of vulnerable segments of the population that are susceptible to changes in economic conditions.
By supporting the strengthening of market institutions and conditions for private sector growth, improving the management of state-owned enterprises, and enhancing social inclusion and sustainability, this loan will contribute to the achievement of Sustainable Development Goals 1 (Poverty Eradication), 5 (Gender Equality) and 8 (Decent Work and Economic Growth).
Earlier, JICA and the Uzbek-Japan Innovation Center of Youth (UJICY) signed an agreement on the implementation of the technical cooperation project "Development of innovative technologies for efficient production of green and blue hydrogen to realize a carbon-neutral society, taking into account the industrial and environmental characteristics of the region".
The project aims to conduct empirical research and human resource development on advanced technologies related to blue and green hydrogen, taking into account the geography, industrial structure, and environmental features of Uzbekistan.