DUSHANBE, May 18, 2010, Asia-Plus — The Islamic Development Bank (IsDB) is providing additional funds for the regional power transmission interconnection project.
An agreement on allocation of additional US$4.05 million loan was signed in Dushanbe on May 17, the source at the Ministry of Finance (MoF) said. The agreement was inked by Safarali Najmiddionov, Minister of Finance of Tajikistan, and Dr Ahmad Muhammad Ali, President of IsDB.
This project is funded by the Asian Development Bank (ADB), IsDB, the OPEC Fund for International Development (OFID) and the Government of Tajikistan.
“The main objective of the project is in improving reliability and operation of power transmission system between Tajikistan and Afghanistan,” said the source, “It will also improve trade relations and lay foundation of the region’s wholesale electricity market. The project will also improve use of existing generating systems of Tajikistan as well as raise capacity and reduce power losses in southern Tajikistan, increase electricity deliveries to Afghanistan and strengthen regional cooperation.”
He added that successful implementation of the project will allow considering the possibility of continuation and expansion of it.
The Islamic Development Bank (also known as IsDB), is a multilateral development financing institution located in Jeddah, Saudi Arabia. It was founded by the first conference of Finance Ministers of the Organization of the Islamic Conference (OIC), convened 18 December 1973. The bank officially began its activities on October 20, 1975. There are 54 shareholding member states.
The functions of the Bank are to participate in equity capital and grant loans for productive projects and enterprises besides providing financial assistance to member countries in other forms for economic and social development. The Bank tries to foster the economic development and social progress of member countries and Muslim communities in non-member countries individually as well as jointly in accordance with the principles of Shari’ah or Islamic jurisprudence.
