Saudi-based IsDB strikes 3 financing agreements with Uzbekistan

By Shilpa Annie Joseph, Official Reporter
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IsDB signs agreements with Uzbekistan
Officials during the signing ceremony.

Saudi Arabia-headquartered Islamic Development Bank (IsDB) has signed three financing agreements with the Uzbekistan Ministry of Investments, Industry, and Trade in order to support the development of critical infrastructure and social services in Uzbekistan.

These agreements intend to promote sustainable economic growth, enhance rural development, and improve early childhood education in the country.

Under the first agreement, IsDB will provide $260 million in financing for the Integrated Rural Development Project, which is being implemented under the IsDB Group’s Food Security Response Program (FSRP).

The project will empower local communities, improve their access to quality and resilient infrastructure, and strengthen knowledge of climate-smart agriculture practices. By reducing rural poverty and increasing the resilience of the target population, this project will contribute to achieving sustainable development in the country.

The second financing agreement, worth $106.7 million, is to support the reconstruction and upgrading of the M39 road in Uzbekistan.

This project will improve the efficiency of the road transport infrastructure and ensure the safe movement of goods and people along the project road section. This will not only benefit the local economy but also promote regional integration and trade.

The third agreement provides $30 million in financing for Enhancing Access to Quality Early Childhood Education Project which will support the Government of Uzbekistan’s target of achieving universal preschool enrollment. It aims to enhance access to quality early childhood education facilities and improve the quality of early learning environments in Uzbekistan.

According to the reports, “The IsDB Group and Uzbekistan have been partners since 2003, and to date, the Group has financed several projects in the country across various sectors, including agriculture, energy, education, and transport worth more than $3.46 billion approvals. The IsDB Group remains committed to supporting Uzbekistan’s development priorities and promoting inclusive and sustainable growth in the country.”

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