Why is this important
Financing in national currency and supporting energy efficiency in housing directly affects household spending and the development of “green” projects in Uzbekistan. Thanks to the new credit line, Uzbek households will be able to attract financing for energy-efficient modernization of their homes through commercial banks.
What happened
- The French Development Agency (AFD) has signed a non-sovereign loan agreement with the Mortgage Refinancing Company of Uzbekistan.
- The loan is intended to create a credit line for financing measures to improve the energy efficiency of residential buildings in Uzbekistan.
Numbers and facts
- This is the first AFD loan in Uzbekistan’s national currency: its amount is equivalent to 30 million euros.
- The credit line will be supplemented by a technical assistance grant of 400 thousand euros.
- UZMRC operates through a network of 11 partner banks, including government and private financial institutions.
Context
- UZMRC is a secondary financial institution and performs the functions of a housing bank.
- The company holds a special position in the financial market, which allows it to activate the participation of the banking sector in projects to improve energy efficiency in the residential sector.
- The technical assistance grant is aimed at enhancing the capacity of UZMRC and its partner banks, as well as improving the functionality of the Green Renovation online platform.
