The European Bank for Reconstruction and Development (EBRD) and the Green Climate Fund (GCF) have launched a green finance programme in Uzbekistan worth up to $20 million to support investment in energy efficiency, sustainable agriculture and resource efficiency.
According to the EBRD, under the Green Climate Fund (GCF) programme, Hamkorbank – Uzbekistan’s third-largest bank – will be the first local bank to receive funding.
The financial package comprises an EBRD loan of up to $18 million and concessional financing of up to $2 million from the GCF. The funds will be provided in soums via a special mechanism or in US dollars and will be channelled towards supporting private-sector investment in projects aimed at mitigating the effects of climate change and adapting to them.
Potential projects eligible for support include energy efficiency improvements, the modernisation of agricultural irrigation systems, water conservation and the introduction of other technologies aimed at reducing resource consumption and enhancing resilience to climate change. According to EBRD estimates, investments under the programme will reduce carbon dioxide emissions by approximately 5,685 tonnes per year.
The ZKF programme builds on the achievements of the Green Economy Financing Facility (GEFF) I and II initiatives implemented by the EBRD in Uzbekistan. Since these programmes were launched in 2018 and 2023 respectively, the total funding provided under them has reached $160 million.
