Uzbek companies, EBRD to sign new loan agreements
By Kamila Aliyeva
Uzbek President Shavkat Mirziyoyev will hold a meeting with President of the European Bank for Reconstruction and Development (EBRD) Suma Chakrabarti whose two-day visit to the republic will start on July 31, the EBRD press service reported.
“We welcome the adoption of measures by the authorities of Uzbekistan to liberalize the country's economy and advance the course of political reforms, which opens the country's doors to its neighbors and the international community, and we hope also to intensify the activities of civil society organizations in the country,” Suma Chakrabarti said.
During this visit, the EBRD President will sign a number of loan agreements with private companies.
In addition, he will sign several memorandums of understanding with the government of Uzbekistan, aimed at providing support for investing in energy and energy efficiency, as well as on privatization and the development of capital markets.
The visit will facilitate the bank's preparation of its new medium-term strategy in Uzbekistan, aimed at supporting the bank's new investments in the country and the government's key reforms, the EBRD noted.
The EBRD is the largest institutional investor in Central Asia, with close to 11.6 billion euros ($12.3 billion) committed to projects in a variety of sectors, from infrastructure to agriculture, with a focus on private sector development. It has successful experience of bringing innovation to Uzbekistan’s pharmaceutical sector through direct and indirect lending and a number of consultancy projects, which helped companies improve operational and financial management and obtain ISO 9001 and Good Manufacturing Practice (GMP) certificates.
The bank has to date invested 897 million euros in Uzbekistan. Its current portfolio of projects in the country is 76 million euros.
The EBRD aims to identify potential new projects in areas set out in a memorandum of understanding signed with the government authorities in March 2017.
The EBRD’s work in the country will focus in the short term on advice and financing for small and medium-sized enterprises, a trade finance programme to support cross-border trade and cooperation, and measures to improve the investment climate and competitiveness of the Uzbek economy, including through attracting foreign direct investment that will result in the transfer of technology and know-how.
Currently, the bank together with the involved ministries and departments of Uzbekistan is in the process of development a draft of the EBRD country program for Uzbekistan, which will further expand the bank's interaction with the Central Asian nation.
Earlier it was reported that the EBRD plans to approve a new country program for Uzbekistan this summer.
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Kamila Aliyeva is AzerNews’ staff journalist, follow her on Twitter: @Kami_Aliyeva
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