ADB confirms support for private sector-led development in Uzbekistan

The Asian Development Bank (ADB) will continue supporting private sector-led development in Uzbekistan, including renewable energy, as the country pursues a new development strategy, ADB President Masatsugu Asakawa said on February 2 in a virtual meeting with Deputy Prime Minister and Minister of Investments and Foreign Trade Sardor Umurzakov.

“We are pleased to see Uzbekistan’s strong economic recovery from the pandemic,” said Asakawa. “As Uzbekistan’s long-term development partner, ADB will continue to help strengthen the government’s capacity to meet its goals, increase the country’s renewable energy sources, and assist in its overall development efforts.”

Umurzakov expressed his appreciation for ADB’s continued support to Uzbekistan, its economic reforms, and infrastructure development covering key sectors of the economy. He also requested ADB to increase its support for human capital development.

Umurzakov appreciated ADB’s support in rehabilitating Uzbekistan’s road infrastructure and developing the road sector strategy. He requested further assistance to engage the private sector in Uzbekistan’s significant road rehabilitation and maintenance needs.

Uzbekistan’s new national development strategy, 2022–2026 prioritizes improving people's livelihoods and society, including by developing social infrastructure in communities and reforming the state.

Uzbekistan aims for 25% of its energy consumption to be derived from renewable sources by 2030. ADB supported Uzbekistan’s first major private sector renewables investment with a $17.5 million loan for a 100-megawatt solar power plant. ADB also helped to secure public-private partnership (PPP) contracts in solar power, district heating, and wastewater treatment.

This year, ADB aims to provide further support to Uzbekistan in renewable energy including solar and wind; investments in water resources, urban development, and roads; policy-based lending for state-owned enterprises and PPP reform; continued mortgage market development; as well as credit guarantees and project readiness financing. ADB also plans to continue expanding and broadening the coverage of its private sector operations in Uzbekistan.

To strengthen development partners’ support to reforms in strategic sectors, ADB will assist the government in organizing Uzbekistan’s Country Platform for Development Coordination roundtable meetings this year. ADB is also providing technical assistance to help boost the capacity of Uzbekistan’s Agency for International Cooperation and Development to manage development projects.

Since Uzbekistan joined ADB in 1995, the bank has committed loans, grants, and technical assistance of more than $10 billion to support the country’s development.