Why is this important
The complex should reduce import dependence, strengthen local supply chains, and increase profitability. But the delays and restructuring of debts indicate financial pressure.
What happened
- Uzmetkombinat received 132.5 million euros from Standard Chartered Bank and KfW IPEX-Bank GmbH under ICIEC insurance coverage.
- The money will go to the completion of the casting and rolling complex in Bekabad — the construction has been dragging on for a long time.
- Previously, the launch was planned for 2024, then for the II quarter of 2025. Now analysts predict it will start no earlier than December 2025.
- The key product — hot roll — will be used in the piping and construction industries.
- General Director Bahodir Abdullayev stated that the project will increase profitability and strengthen local supplies.
- Kap Depo believes that the loan is part of debt restructuring: in September, the $100 million loan was closed, and now the company is transitioning to long-term foreign currency loans.
- Investors are advised to wait for a real effect only by 2027.
Context
The new rolling mill complex is considered one of the largest investment projects in the country’s metallurgy sector. Delays undermine investor confidence, and high debt burden requires stable cash flow after launch. In recent years, Uzbekistan has been increasing the localization of construction materials and metal products.
