Kyrgyzstan Signs $100 Million USD Agreement For Modernization Program

Kyrgyzstan and the World Bank have agreed new $100 Million USD financing for water infrastructure improvements.

The agreement was signed within the framework of the 30th anniversary of cooperation between the country and the international institution. Tatiana Proskuryakova, World Bank Regional Director for Central Asia, said: “This new project will enhance water service provision across multiple water-using sectors in a sustainable and inclusive way, as well as promote integrated water resources management.”

The project is expected to have an impact on 110,000 people living mostly in rural areas of the country where problematic access to water is the cause of public health issues.

Batken is one of the regions expected to benefit from the project, a province which has seen frequent water-related conflict episodes.

It is expected that the investment will also create jobs and improve climate-resilience in an area of the world that has been severely impacted by climate change.

While half of the amount is not expected to be repaid, the other half is to be repaid over a period of 38 years subject to a 0.75% administrative fee. Over the last 30 years, the World Bank has allocated $ 2.1 Billion USD to finance development projects.