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    Uzbekistan Economics

    European Union allocates $6.5 mn for agricultural development in Uzbekistan

    European Union allocates $6.5 mn for agricultural development in Uzbekistan

    The European Union (EU) announced a financial contribution of $6.5 mn to support agricultural reforms in Uzbekistan. On April 25, the EU confirmed the provision of the funds, amounting to nearly UZS 82 bn ($6.5 mn), recognizing Uzbekistan's progress in agricultural reforms and its stable macroeconomic environment. The financial aid will encourage the adoption of the National Food Security and Healthy Nutrition Strategy along with Guidelines on Programme Budgeting.

    Photo: Agriculture
    Source: Yandex

    In addition to direct financial support, the EU will provide technical assistance to Uzbekistan's Ministry of Agriculture. This initiative aims to bolster the planning and execution of essential reforms. Furthermore, an agreement between the EU and the Uzbek government includes future grants totalling $21.4 mn to further support the National Agriculture Development Strategy for 2020-2030.

    EU Ambassador to Uzbekistan, Charlotte Adriaen, stated, "The agri-food sector is critical for Uzbekistan’s economy and is a major source of employment. Moreover, family farms produce the majority of meat and vegetables consumed by Uzbek citizens. Therefore, we focus on those reforms that enable these dehkan farms to prosper, adapt to a changing climate, protect the environment, produce healthy food, and become part of local and global value chains. The grant funding together with other European Union initiatives such as GSP+ will also help to boost the exports to the EU."

    The sustainable agri-food sector development is one of the strategic priorities outlined in the EU Multi-annual Indicative Programme for Uzbekistan (2021-2027), which also focuses on effective governance and inclusive, green, and digital growth. Since 2021, nearly $78.9 mn (close to UZS 1 trillion) has been allocated to various projects within Uzbekistan under this programme.

    The EU remains the principal provider of grant funding to Uzbekistan’s agri-food sector, having already contributed $34.8 mn between 2020 and 2023. 

     

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    27.04.2024, 19:22   Comments (0)   2624
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