Kyrgyzstan is accelerating negotiations with the European Bank for Reconstruction and Development (EBRD) to purchase additional freight wagons, aiming to resolve pressing transportation issues that have hindered the nation’s logistical efficiency, according to Railway Supply.
The shortage of freight wagons has significantly affected the export of coal to Uzbekistan, causing delays in shipments. Member of Parliament Yrysbek Atazhanov underscored the urgent need to expand the wagon fleet to streamline exports. He stressed that improving business conditions would not only enhance logistics but also increase tax revenues and create new job opportunities across various regions.
“Expanding the wagon fleet is essential for sustaining exports,” Atazhanov said.
He attributed transportation delays to actions taken by Uzbekistan Railways, which reduced the number of wagons allocated for coal imports from Kyrgyzstan, creating a shortage and disrupting logistics.
Dastan Usubakunov, a representative of Kyrgyz Temir Zholu, highlighted that although 150 wagons have been provided to entrepreneurs, the number is still insufficient.
"Uzbekistan sends between 120 and 199 wagons daily, but it still doesn’t meet the demand,” Usubakunov explained.
In response, Kyrgyzstan is negotiating with the EBRD to acquire an additional 80 freight wagons to enhance the country’s export capacity and stabilize its economic infrastructure.
The acquisition of these additional wagons will directly benefit entrepreneurs, particularly small and medium enterprises involved in coal exports, by increasing their competitiveness in international markets. Strengthening the railway network is viewed as a critical step for regional development and long-term economic sustainability.
The planned wagon purchase is seen as a strategic measure to address logistical bottlenecks and support national growth. The shortage of wagons has posed significant challenges not just for businesses, but for the broader economic landscape as well. This agreement with the EBRD signals Kyrgyzstan’s commitment to modernizing its infrastructure and fostering long-term economic growth.
The EBRD’s financial support will help cover the cost of purchasing the wagons while minimizing the country’s debt load. This partnership demonstrates the confidence international financial institutions have in Kyrgyzstan’s economic policies, strengthening the country’s reputation as a reliable trading partner.
Dastan Usubakunov confirmed that negotiations with the EBRD are nearing completion, and the agreement is expected to be finalized soon. Once signed, it will open up new opportunities for transportation infrastructure development, ensuring a more robust and competitive export sector for Kyrgyzstan.
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