Tajikistan and the Asian Infrastructure Investment Bank (AIIB) signed an agreement for $270 million (1.92 billion yuan) to implement the "RogHun HPP Development Program, Phase 1," Khovar news agency reported on December 21, citing the Ministry of Finance (MoF) of Tajikistan.
The document was reportedly inked on December 20 in Beijing by Tajikistan's Minister of Finance, Faiziddin Qahhorzoda, and AIIB Vice President Konstantin Limitovsky.
The total financing provided by the AIIB for the construction of the Roghun hydropower plant (HPP) amounts to US$500 million, which will be disbursed in two stages under separate agreements. The terms of the funding were not disclosed.
The funds will be used to co-finance Lots 1 and 3A of the Roghun HPP, as well as to construct and rehabilitate 55 kilometers of roads, including bridges between villages.
The program aims to strengthen Tajikistan’s energy independence and promote sustainable economic development, the report noted.
The Asian Infrastructure Investment Bank (AIIB) is a multilateral development bank and international financial institution that aims to collectively improve economic and social outcomes in Asia. It is the world's second largest multi-lateral development institution. Headquartered in China’s capital, Beijing, the bank currently has 110 members, including 12 prospective members from around the world. The bank started operation after the agreement entered into force on December 25, 2015, after ratifications were received from 10 member states holding a total number of 50% of the initial subscriptions of the Authorized Capital Stock.
