ACF experts discussed in Bishkek proposed investment projects in Kyrgyzstan and preparations for its accession to Customs Union
Moscow, 26 November 2013. — A group of experts of the EDB — Manager of the EurAsEC Anti-Crisis Fund — paid a visit to Bishkek late last week. In the course of the visit they held negotiations with Mr. Jantoro Saltybadiev, Prime-Minister of Kyrgyz Republic, and with the ministers of finance, energy, transport and communications.
According to the agenda the discussions centered on the ACF activities in the Kyrgyz Republic, including investment projects that are in advanced phase of preparation, as well as issues related to the general economic situation in Kyrgyzstan and the preparatory work for the accession of the country to the Customs Union (CU).
In particular, at the meeting with the Government officials discussion focused on the readiness of two investment projects due for examination at the ACF Council on 10 December a.c. Those are the investment project of rehabilitation of the Bishkek-Osh road in the amount of US$ 60 million and the project of agricultural machinery supplies to the Kyrgyz Republic, which makes provision for a system of leasing in the amount of US$ 20 million. Both projects have a high readiness status, and the Kyrgyz Ministry of Finance has already filed the relevant applications and feasibility studies have been prepared. If the Council approves the above applications, implementation of these projects may get underway in the first half of 2014.
They also considered the opportunities for cooperation between the Kyrgyz Republic and the ACF in the power generation sector, and, more specifically, the plans of upgrading the country’s largest Toktogul hydraulic power plant and prospects for building the second phase of the HPP “Kambarata-2”. Both projects are extremely important for strengthening energy security of the Republic. The Manager’s experts expressed their willingness to explore options for funding these projects upon receipt of duly executed applications.
Regarding the general economic condition of the Republic, it was noted that on the whole in the current year the economy of the country was doing well: the results of the first 10 months show a 10.2% growth of the GDP as against the low reference indicators year-on-year, and the budget revenue was on the right track. Overall, the recent economic development trends in the Republic look positive.
In addition to the discussions with the Government, the Manager’s delegation met with the chief representative officers of the Asian Development Bank, the World Bank and the International Monetary Fund to examine matters relating to cooperation in addressing development problems of the Kyrgyz Republic. Joint implementation of the above projects was examined at the meetings with the World Bank and the Asian Development Bank. In particular, the Bishkek-Osh road construction project will be implemented by the Manager by means of parallel co-financing with the Asian Development Bank.
Additional Information
Eurasian Development Bank is an international financial institution founded by Russia and Kazakhstan in January 2006 with the mission to facilitate the development of market economies, sustainable economic growth, and the expansion of mutual trade and other economic ties between its member states. EDB’s charter capital exceeds US $1.5 billion. The member states of the Bank are the Republic of Armenia, the Republic of Belarus, the Republic of Kazakhstan, the Kyrgyz Republic, the Russian Federation, and the Republic of Tajikistan. Read more about EDB at https://eabr.org/
The EurAsEC Anti-Crisis Fund (ACF) amounting to US $8.513 billion was formed on 9 June 2009 by the governments of the same six countries. ACF’s objectives are to assist its member countries in overcoming the consequences of global financial crisis, to ensure their economic and financial stability, and to foster integration in the region. The ACF member countries signed the Management Agreement with Eurasian Development Bank, giving it the role of the ACF Resources Manager.