Uzbekistan to allocate $650 million to oil and gas production

President Shavkat Mirziyoyev signed a decree “On Priority Measures to Increase the Financial Stability of the Oil and Gas Industry”.

Photo: KUN.UZ

The document involves attracting credit funds from the Silk Road Fund (China) and foreign commercial banks in the amount of $250 million, as well as $400 million from export credit agencies, to further finance the program of increasing production of fossil fuels.

The Ministry of Energy is responsible to ensure fundraising by June 1, 2020, together with the Ministry of Investments and Foreign Trade and Uzbekneftegaz JSC.

The Ministry of Finance is authorized to issue state guarantees in accordance with the established procedure for obligations of Uzbekneftegaz JSC to the Silk Road Fund and foreign commercial banks on loans in the amount equivalent to $250 million to finance the program.