OPEC Fund deepens commitment to Central Asia region with new agreements
Vienna – The OPEC Fund for International Development (the OPEC Fund) is significantly increasing its commitment to the countries and people of Central Asia, which currently stands at US$1 billion in public and private sector loans as well as grants. Three new agreements with Kazakhstan, Tajikistan and Turkmenistan, signed during the OPEC Fund Development Forum in Vienna to underscore the OPEC Fund’s dedication to supporting sustainable development and regional integration.
OPEC Fund President Abdulhamid Alkhalifa said: “Our enhanced engagement in Central Asia reflects our commitment to supporting the region’s development goals. By focusing on critical issues such as renewable energy, infrastructure, and inclusive development, we aim to create lasting positive impacts for the people and economies. These partnerships are a testament to our belief in the power of cooperation and mutual trust to drive sustainable progress.”
Signings included:
· A Country Partnership Framework with Kazakhstan, which sets a mid-term agenda for collaboration in areas such as agriculture, transport, healthcare, renewable energy and banking. The agreement also expresses the intention to move forward on collaboration in the private sector. The OPEC Fund will consider providing technical assistance for project preparation and implementation, aligning with Kazakhstan’s National Infrastructure Plan.
· A Country Partnership Framework with Turkmenistan, outlining a comprehensive five-year roadmap for cooperation between 2024-2029 with a focus on transport, industry, telecommunication, healthcare and banking. The framework emphasizes climate financing, inclusive development for women and youth and the financing of small and medium-sized enterprises.
· A Framework Financing Memorandum with Tajikistan, committing a US$100 million loan in tranches to co-finance the construction of the 3,600 MW Rogun hydro power plant. The plant’s 335-metre-high dam will be the tallest in the world. The project will boost Tajikistan’s renewable energy capacity, contributing significantly to the country’s sustainable energy goals.
The OPEC Fund’s increased activities in Central Asia also set great store in the development of the private sector, a growing area of activity. In the last five years, the OPEC Fund approved close to US$300 million for private sector development and trade finance in the region, supporting SMEs, infrastructure, the financial sector and food security.