DUSHANBE, June 12, 2015, Asia-Plus — The European Investment Bank (EIB) has lent EUR 70 million to Tajikistan to finance the construction of a 500 kV electricity power transmission to interconnect Tajikistan and Kyrgyzstan’s power systems and a line to strengthen the internal backbone network of Tajikistan.
On Thursday June 11, Tajik First Deputy Prime Minister, Davlatali Said, met here with Mr. Wilhelm Molterer, EIB Vice-President, Subhiddin Muhiddinov, a senior adviser, Tajik president’s press center told Asia-Plus in an interview.
According to him, the two discussed issues related to state and prospects of further expansion of bilateral cooperation in rehabilitating hydroelectric power plants, constructing power transmission lines and developing the country’s agrarian and banking sectors.
The meeting reportedly resulted in signing of a financial agreement between the Government of Tajikistan and EIB on providing 70 million Euros for implementation of the Central Asia South Asia Electricity Transmission and Trade Project (CASA-1000).
The document was inked by Mr. Wilhelm Molterer and Tajik Finance Minister Abdusalom Qurboniyon.
Meanwhile, EIB’s website reports that the EIB has lent EUR 70 to Tajikistan to finance the construction of a 500 kV electricity power transmission line of 477 kilometers to interconnect Tajikistan and Kyrgyzstan’s electricity networks and a 120-kilometer line to strengthen the internal backbone network of Tajikistan. The objective is to increase the reliability of the electricity systems and allow development of the regional electricity trade in Central Asia.
The EIB will also finance the extension of three existing power substations: two in Tajikistan and one in Kyrgyzstan, and the construction of a new 500/220 kV substation located in Tajikistan.
The project is a part of the CASA 1000 Project covering four Asian countries – Tajikistan, Kyrgyzstan, Afghanistan and Pakistan.
Wilhelm Molterer, EIB Vice-President, stated, “The EIB loan will help improve the reliability and capacity of vital energy infrastructure needed for improving the quality of life of Tajik citizens and for further economic development in the region. The new energy infrastructure will foster electricity trade with neighboring countries and make it possible to attract foreign investors due to safer energy supplies.”
The European Investment Bank (EIB) is the European Union”s nonprofit long-term lending institution established in 1958 under the Treaty of Rome. As a “policy-driven bank” whose shareholders are the member states of the EU, the EIB uses its financing operations to bring about European integration and social cohesion.
The EIB is a publicly owned international financial institution and its shareholders are the EU member states. It is the world”s largest international public lending institution.
The EIB”s mission is to make a difference to the future of Europe and its partners by supporting sound investments which further EU policy goals. Although about 90 percent of projects financed by the EIB are based in EU member countries, the bank does fund projects in about 150 other countries.
