Tashkent (TDI): In a significant boost to Uzbekistan’s market economy transition, the World Bank has allocated $800 million to accelerate the country’s reform agenda.
The financial package aims to support an inclusive and stable shift towards a market-driven economy.
Uzbekistan’s government, with backing from the World Bank, is set to implement wide-ranging reforms to enhance the business climate, increase efficiency in key sectors such as agriculture, railways, and energy, and improve public finance management.
The package also aims to expand social services and bolster the country’s readiness to tackle environmental challenges.
The funding, provided through highly concessional loans, offers Uzbekistan favorable long-term repayment terms, far more attractive than those currently available in international financial markets.
The $800 million package is expected to yield tangible results, particularly in strengthening social protection systems, addressing gender-based violence, securing land rights for farmers, and improving the business environment.
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Additionally, it focuses on public finance management, climate change mitigation, water resource management, and the reform of climate-sensitive investments in the railway and energy sectors.
Earlier in May, Uzbekistan received $100 million from the World Bank to develop its social protection programs.
Furthermore, the country has received payment from the World Bank for reducing carbon emissions through a policy crediting program.
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To date, Uzbekistan has been awarded a $7.5 million grant for cutting 500,000 tons of carbon emissions.
The World Bank’s assistance is expected to play a crucial role in ensuring Uzbekistan’s continued progress toward a modern, resilient market economy, while also addressing social and environmental challenges.
