The World Bank is to allocate a concessional loan of $800mn to help accelerate Uzbekistan’s transition to a market economy, ensure equal opportunities for citizens and lay foundations for sustainable growth.
The loan will be partly used in reforming the Central Asian country’s energy market. Aspects of the reform include tariff liberalisation and the creation of an independent regulator. Improved operational performance, higher energy efficiency and the attraction of investment for infrastructure modernisation are goals.
Other areas where funds from the international financial institution (IFI) will be applied are transportation, chemicals production agriculture and developing the green economy.
In transportation, Uzbekistan is aiming to reform the railways and improve pricing.
In the chemical industry, officials are preparing the basis for institutional reforms and the privatisation of Ferganaazot.
In agriculture, there are plans to liberalise mechanisms in crop placement to diversify and increase yields. Farmers are also to be provided with assistance in mitigating climate change impacts.
Uzbekistan, meanwhile, is working on developing a national green taxonomy, providing the classification of environmentally friendly activities and investments. This will contribute to the fight against greenhouse gas (GHG) emissions and the attracting of green economy investment.
Related Articles
Report says explosion hit pipeline that delivers Turkmen gas to Russia, but Turkmenistan no longer sells gas to Moscow
Ukrainian outlet Kyiv Post on August 2 reported sources within Ukraine's Main Military Intelligence Directorate (GUR) as stating that an explosion in Russia disabled a section of ... more
New agreement provides for more than 1,000 weekly flights between Uzbekistan and Russia
Uzbekistan and Russia have struck an agreement under which the number of weekly direct flights between the two countries can be more than tripled to more than 1,000 per week, according to ... more
Construction work on $4.6bn Trans-Afghan Railway could reportedly be under way within six months
Construction work on the proposed Trans-Afghan Railway could be under way within six months, while the project could cost around $4.6bn to deliver and cut shipping transit times from Uzbekistan to ... more