Low utilities tariffs are one of problems impeding repayment of loans, Alimurod Islomzoda, Director General of the State Unitary Enterprise Khojagii Manziliu Kommunali (KMK — the state holding company for public utilities), told reporters in Dushanbe on July 31.
According to him, low rates do not allow recouping the investments they have made to reform the public utilities system.
Islomzoda noted that they had received loans from various international financial institutions such the World Bank (WB), the Asian Development Bank (ADB), the European Bank for Reconstruction and Development (EBRD), the Japan International Cooperation Agency (JICA), etc.
“Thus, we have received a $35 million loan from the EBRD. The national budget provides limited funds while the utilities tariffs are low. In addition to this, the falling exchange rate of the somoni against the dollar has created problems with repaying loans,” Islomzoda underlined.
He noted that the net cost of one cubic meter of drinking water was 2.65 somoni, while the current price for one cubic meter of drinking water for residential customers was 0.91 somoni.
