DUSHANBE, December 11, 2013, Asia-Plus — An agreement on providing a 5 million euros financial support (grant) for rehabilitation of a small hydroelectric power plant (HPP) on the Aksu River in GBAO’s Murgab district was signed here on December 10.
According to the Ministry of Economic Development and Trade (MoEDT), the document was inked by Ms. Kerstin Laabs, Director KfW Development bank Office in Tajikistan, Mr. Sharif Rahimzoda, Minister of Economic Development and Trade of Tajikistan, and Mr. Daler Jumayev, Director-General of Pamir Energy Company (PamirEnergy).
An official source at a MoEDT says the implementation of the project will allow increasing the Aksu HPP capacity twice as much in the winter period and three times as much in the summer period.
Established in 1948 as part of the Marshall Plan, the KfW is a German government-owned development bank, based in Frankfurt. It is owned by the Federal Republic of Germany (80%) and the States of Germany (20%). KfW banking group covers over 90% of its borrowing needs in the capital markets, mainly through bonds that are guaranteed by the federal government. This allows KfW to raise funds at advantageous conditions. Together with its exemption from corporate taxes due to its legal status as a public agency and unremunerated equity provided by its public shareholders, this allows KfW to provide loans for purposes prescribed by the KfW law at lower rates than commercial banks.
