The European Bank for Reconstruction and Development (EBRD) achieved a record investment level in Central Asia in 2024, contributing €2.26 billion to 121 projects across six countries in the region. This amount is nearly double the investment from 2023. Furthermore, the EBRD attracted €784 million from co-financiers, raising the total investment in the region's economy to over €3 billion.

Source: The Times of Central Asia

Uzbekistan and Kazakhstan Lead in Funding

Uzbekistan and Kazakhstan emerged as the top beneficiaries of EBRD funding, receiving €938 million and €913 million, respectively. In 2024, these nations ranked fifth and sixth among the largest destinations for EBRD investments globally.

Other neighboring countries also gained from significant funding, with Mongolia receiving €264 million, Tajikistan €88 million, and the Kyrgyz Republic €52 million.

Focus on Sustainable Infrastructure and Green Economy

The majority of EBRD investments in Central Asia aimed to support sustainable infrastructure projects, making up 61% of the total. An additional 24% was allocated to local banks to assist small businesses, women entrepreneurs, youth initiatives, and projects focused on climate resilience and resource efficiency. The remaining 15% was directed towards private-sector companies.

In line with the Paris Agreement, 58% of EBRD investments in the region were directed towards projects fostering a green economy.

Milestones in 2024

The EBRD celebrated several remarkable milestones in 2024:

• Total investments in Kazakhstan exceeded €10 billion.
• Uzbekistan achieved €5 billion in cumulative EBRD funding.
• Both Tajikistan and the Kyrgyz Republic surpassed €1 billion in total investments since the EBRD began operations in the region 30 years ago.

Landmark Projects

In 2024, the EBRD financed several innovative projects in Central Asia, including:

• Uzbekistan: €59 million for a renewable hydrogen facility aimed at decarbonizing the fertilizer sector.
• Kazakhstan: €96.4 million for a new wastewater treatment plant in Aktobe, the largest municipal project supported by the EBRD in the region.
• Mongolia: €11.3 million to support the first green bond issued by a local bank.

Investments in Energy Infrastructure

Significant funding was also directed towards enhancing electricity grids across the region:

• In Kazakhstan, €252 million was allocated for the construction of 600 km of transmission lines.
• In Uzbekistan, €60.3 million supported the development of a 230 km transmission line in the Navoi region.
• In the Kyrgyz Republic, €14 million upgraded power infrastructure in Osh and Issyk-Kul.
• In Tajikistan, €31 million was invested to improve a transformer in the Sugd region.

Investments in Health and Transportation

The EBRD also made substantial contributions to health and infrastructure projects:

• Kazakhstan: €365 million for a hospital project.
• Uzbekistan: €216 million for a road and bridge project in the Khorezm region.
• Mongolia: €39.2 million for a hospital in Darkhan.

Support for Small Businesses

The EBRD continued its commitment to empowering small businesses in Central Asia, offering advisory services to over 450 small and medium-sized enterprises (SMEs). More than 8,000 SMEs benefited from training and mentoring programs.

In Tajikistan, the EBRD introduced its Star Venture initiative, allocating €28 million to 25 high-growth companies through partnerships with local banks.

The EBRD’s Legacy in Central Asia

As the largest institutional investor in Central Asia, the EBRD has financed 1,163 projects in the region, investing a total of €21.5 billion to date. The bank's initiatives aim to promote a sustainable and green economy while supporting local businesses and communities.