"We are in the process of developing the country's new strategy, and once it's prepared and approved, it will be presented to the people," said Andi Aranitas, the head of the Uzbekistan office of the European Bank for Reconstruction and Development (EBRD), in an exclusive interview with Trend.az.
"In late 2017, following the changes in the country's relationship with the EBRD, in 2018, the EBRD approved its 5-year country strategy. It outlined a series of operational and strategic priorities for our activities in Uzbekistan," he added.
According to Aranitas, these priorities aim to enhance competitiveness by strengthening the role of the private sector in the economy and promoting green energy and resource efficiency across sectors. Supporting regional and international cooperation and integration is also one of the essential elements of the EBRD's collaboration with Uzbekistan.
The strategy for Uzbekistan includes measures to strengthen the country's development path, enhance the role of civil society, increase the independence of public information outlets, and promote women's entrepreneurship. The EBRD continues its work to improve the investment climate in Uzbekistan.
Aranitas also highlighted the EBRD's support for Uzbekistan's transition to green energy. The bank's investment is part of a long-term decarbonization plan, developed jointly with the Uzbek government, aiming to reach carbon neutrality by 2050.
"In 2023, the EBRD allocated a financial package of $205 million for the construction of three green solar power plants in Uzbekistan, with a total installed capacity of approximately 900 MW. Once these projects are completed, they are expected to generate up to 2,200 GWh of electricity annually, supply over one million households with electricity, and reduce CO2 emissions by around 1.2 million tons per year," he said.
Aranitas emphasized that the EBRD actively supports Uzbekistan in its efforts to transition to green energy and align with the Paris Agreement on climate change.
"Last year, we funded large energy projects such as wind power plants with 1 GW capacity in the Bukhara region and a 500 MW solar power plant in the Navoi region," he added.
Moreover, the EBRD is financing the construction of a 100 MW wind power plant in Karakalpakstan through a loan to the major international industrial developer ACWA Power.
In terms of cooperation in the transport sector, Aranitas highlighted the importance of upgrading the national road network, particularly in regions like Khorezm, and expanding logistics connections with private companies.
"The EBRD is also helping to improve the Tashkent-Samarkand road, enhance logistics services with private firms, and improve the availability of electric transport through the modernization of roads. Additionally, we are working on projects with 'Uzbekistan Temir Yollari' aimed at renewing the railway infrastructure, electrification, and modernization of the rolling stock," he said.
He noted that Uzbekistan has the potential to become an attractive transit option for neighboring countries due to its strategic location, but challenges remain at border crossings.
"Currently, Uzbekistan is developing multimodal transportation (by road and rail) from China to Kyrgyzstan by road, followed by the Trans-Afghan route or by road to Turkmenistan and Iran. Other options include the Central Corridor or Turkmenbashi port," he added.
In this context, Aranitas highlighted the need for investment in "Uzbekistan Temir Yollari," the national railway company, to enhance efficiency, particularly in electrifying sections of the railway between cities such as Samarkand, Bukhara, and Khiva. These improvements are also linked to the reconfiguration of roads across the country to ensure seamless transport connections.
When it comes to financial sector development in Uzbekistan, Aranitas underscored the EBRD's role in supporting local financial institutions.
"This is particularly important given the large population of Uzbekistan and the relatively low penetration of banking services. Our bank cooperates with insurance and leasing companies, as well as microfinance institutions, to promote various financial products and services. Programs like 'Women in Business' and 'Youth in Business' have been implemented to empower women entrepreneurs and facilitate opportunities for young entrepreneurs," he noted.
Aranitas also mentioned that the EBRD is actively working to promote green finance and corporate governance in Uzbekistan through dedicated programs and training. The EBRD aims to enhance cooperation between financial institutions in the region, with a focus on sustainable, inclusive, and digital finance practices.
The EBRD's presence in Uzbekistan is continuously expanding, with 11 financial partners currently active in the country engaged in green and inclusive lending as well as supporting regional and international trade.
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