The ADB has approved a $250 million loan to support Uzbekistan's green economic growth.

The Asian Development Bank (ADB) has approved a loan of $250 million to support the Government of Uzbekistan's efforts in establishing institutional frameworks for climate transition, enhancing the link between climate change adaptation priorities, and accelerating measures to mitigate their impacts.

https://uzdaily.uz/ru/abr-odobril-zaem-v-razmere-250-mln-dlia-podderzhki-zelenogo-ekonomicheskogo-rosta-uzbekistana/2024-11-19 08:47:29

This is the first ADB program focused on combating climate change in Central Asia. It aligns with the updated Nationally Determined Contributions (NDC), the Strategic Framework for the Transition to a Green Economy by 2030, and the new ADB Partnership Strategy with Uzbekistan for 2024–2028.

According to ADB’s Director General for Central and West Asia, Evgeny Zhukov, the program prioritizes decarbonization of the economy, enhancing resilience to natural disasters, and adapting to climate change, with a particular emphasis on protecting the most vulnerable populations.

Uzbekistan, as noted by Zhukov, remains one of the most energy-intensive economies in the world, and the program aims to reduce greenhouse gas emissions per unit of GDP by 35% by 2030. To achieve this goal, renewable energy sources will be developed and energy efficiency will be improved.

The Director of the ADB Resident Mission in Uzbekistan, Kanokpan Lao-Arai, emphasized that the country’s water resources are under threat due to climate change and inefficient usage. The program will support the adoption of legislation that encourages investment in the modernization of irrigation systems and the implementation of smart water management technologies, which will help ensure water security and slow down the desertification process.

ADB’s Senior Specialist for the Public Sector, Hanif Rahemutulla, noted that the program is designed to strengthen the government’s capacity to address climate issues through policy coordination, targeted budget allocation, and enhanced oversight of fund utilization, as well as monitoring climate-related indicators.

Since joining ADB in 1995, Uzbekistan has received loans, grants, and technical assistance from the bank totaling $12.5 billion. These funds are directed towards achieving sustainable and stable development in the country. ADB, established in 1966, comprises 69 member countries, 49 of which are located in the region, and continues its mission to create a prosperous and inclusive Asia and Pacific region, with a particular focus on poverty alleviation.