The European Bank for Reconstruction and Development (EBRD) reached a new record in Uzbekistan in 2019 by investing in 13 projects of the private and public sectors in the amount of $ 576 million. This is the largest amount of financing in the history of the bank in the country.
The Bank invested in key infrastructure projects and expanded its activities by opening a regional office in Andijan in the Ferghana Valley, the most densely populated part of Central Asia.
In the energy sector, the EBRD has made the largest investments to date in Uzbekistan, providing a sovereign loan of 213.8 million euros for the construction of additional generating capacities at the Talimarjan power plant.
Other key infrastructure investments include the construction of power lines in Navoi (71.5 million euros), the reconstruction of the drainage system in Kashkadarya region (53.4 million euros), and the reconstruction of the drainage system in Khorezm (80.2 million euros).
"The EBRD continued to work with the Uzbek authorities to improve the investment climate and contributed to the creation of the Council of Foreign Investors. Particular attention was paid to supporting important reforms in sectors such as renewable energy, mining and the financial sector. The Bank is also expanding its operating activities in the country for lending in local currency, "the EBRD noted.
The Bank also supported small and medium-sized enterprises through credit lines to financial institutions, as well as through direct loans in the field of production, such as financing expansion of Healthline, a leading local manufacturer and seller of disposable medical goods, in the amount of 8.55 million euros. “Tillo Domor”, a popular local cheese producer, received bank financing through a risk sharing mechanism with “Hamkorbank”.
The EBRD has also facilitated the development of international trade in, from and within Uzbekistan by opening trade finance limits for the National Bank of Uzbekistan, “Asakabank”, “Uzpromstroybank”, “Ipoteka Bank”, KDB Bank Uzbekistan, “Hamkorbank” and “Ipak Yuli Bank”.
Currently, the EBRD has invested 1.85 billion euros in the economy of Uzbekistan, participating in 79 projects.