Tashkent, Uzbekistan (UzDaily.com) — On the sidelines of the European Bank for Reconstruction and Development (EBRD) Forum, the Republic of Uzbekistan and the EBRD signed a sovereign loan agreement worth up to USUS$250 million. The funds will be allocated to modernize 110 irrigation pumping stations across the country.

The project will span ten regions of Uzbekistan and forms a key component of the National Program for Irrigation System Modernization.

Once implemented, the initiative is expected to reduce annual electricity consumption by 251,000 megawatt-hours and cut carbon dioxide emissions by more than 117,000 tonnes. It also includes upgrading related infrastructure, such as installing rooftop solar panels on pumping stations, significantly improving the energy efficiency and sustainability of the facilities.

To date, the EBRD’s investment portfolio in Uzbekistan comprises 181 projects totaling €5.6 billion. The majority of this financing is directed toward supporting and developing the private sector. For the fifth consecutive year, Uzbekistan remains the largest recipient of EBRD investment in Central Asia.