The Eurasian Development Bank signs agreement with Novosibirsk Region before Presidents Putin and Nazarbayev

The main goal of the summit in Novosibirsk is to stimulate business cooperation between the two countries. Over the past several years, the trade and economic ties between Russia and Kazakhstan have been developing steadily. In 2006, the trade turnover between the countries reached USD 13 billion, and over the first few months of this year, growth amounted to over 38%.

The EDB became the first development bank to sign this kind of agreement with Novosibirsk Region. As it had a great deal of experience with Kazakhstan, the EDB has the opportunity to arrange joint Russian-Kazakh projects in Novosibirsk Region.

At the meeting between Viktor Tolokonsky, the governor of Novosibirsk Region, and Igor Finogenov, the CEO of the EDB the day before the agreement was signed, the two discussed promising projects that may be considered for EDB financing:

• Financing for the purchase of equipment for the Chkalov Aviation Association
• Financing for the creation of a techno park on the former site of the Novosibirsk campus
• Investing in the construction of the Novosibirsk Region State District Electricity Power Station with a capacity of 500 -600 MWt, which may work on anthracite coal
• The EDB’s participation in the construction of high-speed Transsib lines (Novosibirsk - Omsk)
• Creation of a logistics centre for transferring freight
• Financing the reconstruction of the Tolmachevo international airport.

One of the EDB’s main tasks is providing support for interregional collaboration between the Bank's member countries. Major projects valued at USD 221.5 are currently underway.

The Bank fully financed a project to develop the Zarechnoye uranium deposit in Kazakhstan (USD 63 million over 5 years). The Bank also plans to provide financing for Russian-Kazakhstan projects at higher stages of the technological chain of the nuclear fuel cycle (uranium enrichment, development of small- and medium-capacity nuclear reactors).

In collaboration with Western banks WestLB and HVB, the Eurasian Development Bank is helping finance the development of the Voskhod chrome ore deposit in Aktyubinsk Region. The total volume of financing for this project amounts to USD 120 million, USD 60 million of which is to be provided by the EDB over 10 years.

The Ekibastuzkaya Electricity Power Station No. 2 project is aimed at modernizing the Kazakh power station, which is the joint property of Russia and Kazakhstan and supplies the Russian Federation with electricity. The Bank has provided USD 93.5 million over 10 years for this project.