EDB to Invest Up to US$500 Million Annually in Uzbekistan

Tashkent, Uzbekistan (UzDaily.com) — The Eurasian Development Bank (EDB) has officially opened its representative office in Uzbekistan and plans to invest at least US$500 million annually in priority sectors of the country’s economy, supported by a project portfolio valued at US$2–3 billion.

The ceremonial opening took place in Tashkent during EDB Day, marking an expansion of the bank’s presence following Uzbekistan’s accession to the institution in 2025.

EDB Board Chairman Nikolai Podguzov said in an interview on the sidelines of the event that extensive preparatory work had preceded the opening, including Uzbekistan’s membership formalization and the development of a project pipeline.

According to him, the bank has already prepared several dozen projects worth a total of US$2–3 billion, one of which has been structured as a signed credit agreement and is ready for financing. As operations expand, the bank will progressively finance additional projects and sign corresponding loan agreements.

Podguzov said the bank aims to reach a minimum of US$500 million in direct annual investments.

He noted that the bank acts as an investment catalyst, generating a multiplier effect of three to four times by attracting additional partners. He expressed confidence that the bank would make a significant contribution to Uzbekistan’s investment landscape.

The EDB chief said that, in line with its strategy, priority financing areas will include transport infrastructure, roads, railways, logistics, water resources, energy, irrigation, food security, and food logistics.

He also said a dedicated country strategy for Uzbekistan will be prepared by September, submitted to the government for approval, and implemented from 2027 onward.

Podguzov recalled that the bank had previously financed a US$400 million project for the Navoi Mining and Metallurgical Company during an earlier stage of cooperation, along with chemical industry projects, logistics initiatives, and airport infrastructure, including Bukhara airport. Several dozen additional projects are currently under preparation for future financing as they become ready.

Among key anchor projects for Uzbekistan, he highlighted the Almalyk Mining and Metallurgical Complex, airport infrastructure developments, and cross-border transport corridors linking Uzbekistan with neighboring countries, including the Uchquduq–Kyzylorda route. He also confirmed readiness to continue financing the Navoi Mining and Metallurgical Company.

Podguzov emphasized that EDB primarily focuses on non-sovereign financing, meaning loans are provided without state guarantees. Corporate entities, rather than the government, act as borrowers, ensuring no direct burden on the state budget. The bank assumes project risks, while repayment is generated from the revenues of financed enterprises.

He also highlighted the importance of EDB membership in the Council of Foreign Investors under the President of Uzbekistan, chaired by President Shavkat Mirziyoyev, which brings together major international investors. The next session is scheduled for June 18, and he expressed confidence that tangible results would be reported within a year.

The EDB chairman said the bank plans to organize a business gathering with leading logistics and development companies in the region to discuss the role of logistics in supporting export potential. He stressed that efficient logistics reduces post-harvest losses in agriculture, which often occur directly in the fields.

Water management and irrigation were also identified as key priorities, including the development of an industrial irrigation cluster and improved water efficiency. He noted that reducing water losses by 30–40 percent could significantly improve water availability and support agricultural development. He referred to the Koshtepa canal project as an example requiring careful water management and said preliminary consultations are ongoing.

Podguzov concluded that having project teams and an office inside the country significantly accelerates investment processes, improves quality, and enhances capital inflows into priority projects for Uzbekistan.

He added that the bank aims to effectively fulfill its role and support Uzbekistan’s priorities as the third-largest shareholder in the Eurasian Development Bank.