The European Bank for Reconstruction and Development (EBRD) is driving improvements to Uzbekistan’s transportation network with a significant investment. The Bank will provide a loan of up to US$238 million (€224 million) to upgrade and expand a vital route in the western Khorezm region, according to EBRD’s press release.
The loan will fund the rehabilitation of 81 kilometers of the 4R156 road and construction of a new bridge across the Amu Darya River.
In a Central Asian scope, this strategically important road is part of a transportation network that links the region’s administrative centre, Urgench, with the A380 road to Kazakhstan and forms the Central Asia Regional Economic Cooperation Corridor 2.
The current single-lane road will be transformed into a modern dual-carriageway, significantly increasing capacity. Improved infrastructure will stimulate trade and tourism in the Khorezm region.
EBRD President Odile Renaud-Basso said: “We are supporting this project because it meets our strategic objectives for Uzbekistan and Central Asia. It is also part of the global transport and logistics infrastructure solutions covered by the European Union’s (EU) Global Gateway initiative.”
In January 2024, at the Investors Forum for EU-Central Asia Transport Connectivity in Brussels, the EBRD expressed its readiness to invest around €1.5 billion in Trans-Caspian Corridor-related infrastructure and associated transport solutions over the next two to three years.
Uzbekistan remains a key recipient of EBRD funding in Central Asia, with a total investment of €4.42 billion in 151 projects across various sectors. ///nCa, 3 May 2024