Saudi-based Islamic Development Bank (IsDB) said it has signed three financing agreements worth $396.7 million with Uzbekistan to support the development of critical infrastructure and social services in the Central Asian nation. These pacts also aim to promote sustainable economic growth.

 

Located in Jeddah, the IsDB is a multilateral development finance institution that is focused on Islamic finance for infrastructure development. It boasts 57 shareholding member states with the largest single shareholder being Saudi Arabia.

 

Under the first agreement, IsDB will provide $260 million in financing for the Integrated Rural Development Project, which is being implemented under its Food Security Response Program (FSRP). 

 

The project will empower local communities, improve their access to quality and resilient infrastructure, and strengthen knowledge of climate-smart agriculture practices. 

 

By reducing rural poverty and increasing the resilience of the target population, this project will contribute to achieving sustainable development in the country.

 

These agreements are aimed at promoting sustainable economic growth, enhance rural development, and improve early childhood education in the country, stated IsDB President and Group Chairman Dr Muhammad Al Jasser after signing the deal  with Uzbekistan Minister of Investments, Industry, and Trade Laziz Kudratov.

 

The second financing agreement, worth $106.7 million, is to support the reconstruction and upgrading of the M39 road in Uzbekistan. 

 

This project will improve the efficiency of the road transport infrastructure and ensure the safe movement of goods and people along the project road section, he added.-TradeArabia News Service