TASHKENT, Uzbekistan, October 4. The World Bank has approved an $800 million package of highly concessional loans to support Uzbekistan’s transition to a more inclusive and resilient market economy, the bank told Trend.
The financing will help improve the business environment, enhance efficiency in the agriculture, railways, and energy sectors, and expand social protection services in Uzbekistan. It also focuses on strengthening the country’s preparedness for environmental and climate change risks.
Moreover, the World Bank's highly concessional loans provide the government with low-cost, long-term repayment options that are more favorable than those available in international financial markets. As a result, Uzbekistan will benefit from lower loan repayment costs, freeing up more budget resources for its social and economic priorities.
Jamshid Kuchkarov, the Deputy Prime Minister and Minister of Economy and Finance of Uzbekistan, and Tatiana Proskuryakova, the Regional Director for Central Asia at the World Bank, led a delegation that discussed the application of new alternative finance instruments in the country earlier.
During the meeting, the sides discussed the prospects of cooperation for the current and subsequent years. Additionally, they discussed issues of cooperation in the water and energy sectors.
The parties also addressed the issue of developing innovative financing mechanisms that promote regional development.