Uzbekistan to borrow $200 million from Japan

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.