ADB channels $200 million towards Uzbekistan`s energy sector
29 SEPTEMBER 2020, 08:43
The Asian Development Bank (ADB) has approved a $200 million policy-based loan to strengthen Uzbekistan’s power sector by improving its financial sustainability and ensuring adequate investment in critical infrastructure.
The Power Sector Reform Program will provide budget support and targeted policy actions aimed at restructuring the power sector to enable competition and create a conducive environment for private investment. The program will also streamline sector oversight to ensure fair and transparent competition and consumer protection.
“Reliable and affordable electricity supply is essential for driving economic growth and socioeconomic development,” said ADB Energy Specialist Seung Duck Kim. “As a first of its kind in Uzbekistan’s energy sector, this policy-based loan will be critical to support complex reforms and deepen private investment. By encouraging private sector participation, the program will support the government’s ultimate objectives of creating jobs and improving the quality of life. Clean energy transition will be at the center of reforms to accelerate the development of modern and reliable energy infrastructure that will put greenhouse gas emissions into structural decline.”