Uzbekistan to borrow $200 million from Japan

The President signed the decision “On measures to implement the project “Development of the creation of added value chain in the fruit and vegetable chain (Phase 2)” with the participation of the Japan International Cooperation Agency (JICA).

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On August 29, 2022, Uzbekistan and the Japan International Cooperation Agency (JICA) signed a loan agreement in the amount of $200 million for financing the project “Development of the creation of the added value chain in the fruit and vegetable industry (phase 2)” in Uzbekistan, including a credit line for a period of 15 years, $194,240 million at the annual SOFR + 1.25% rate with a 5-year grace period; for consulting services in the amount of $5,760 million for a period of 15 years with a 5-year grace period at an annual SOFR + 1.25% rate.

The total cost of the project is $323,019 million, of which $200 million is the debt of the Japan International Cooperation Agency (JICA), $58,272 million is the share of Uzbekistan in the implementation of the project in the form of reimbursement of VAT and concessions on customs fees, $64,747 million is the share of project participants (creditor project initiators).

The project implementation period is 6 years (2023-2028).

According to the plan, the project will be implemented in all regions of the Republic of Uzbekistan and the Republic of Karakalpakstan.

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