Germany plans to reduce business dependence on cooperation with China.
German businesses will be able to count on receiving benefits when investing in Uzbekistan, the German publication Deutsche Welle reports.
Germany included Uzbekistan, Kazakhstan and Georgia on a list of 34 selected countries with which the government will encourage economic cooperation through preferential investment guarantees.
“Those destination countries that have good preconditions for German companies, but have so far received less attention from them, will be encouraged,” the German Ministry of Economic Affairs and Climate Protection explained.
Thus, the German government wants to reduce dependence on China by making it attractive for German companies to operate in alternative markets.
Moreover, the Federal Ministry of Economic Affairs and Climate Protection has changed the rules for providing guarantees to German companies that issue loans for projects to develop foreign mineral deposits. If previously benefits were provided only directly for the extraction of raw materials, now they extend to their processing.
Deutsche Welle believes that an expanded loan guarantee mechanism is of interest to Uzbekistan and Kazakhstan, which are rich in natural resources.
