The World Bank will provide a new loan for the comprehensive development of medium-sized cities in Uzbekistan, Spot reports with reference to the organization’s press service. 

The WB Board of Directors approved the loan in the summer of 2021. The bank’s regional director for Central Asia, Tatyana Proskuryakova, and Finance Minister Timur Ishmetov signed a corresponding agreement at the economic forum in Samarkand.

Within its framework, it is planned to improve the urban infrastructure and the work of municipal services in 12 cities of Surkhandarya and Kashkadarya. The International Development Association will provide $100 million for these purposes. 

Khokimiyats of cities will receive resources for the implementation of special investment development programs. This is expected to help raise their standard of living as well as realize their economic and tourism potential.

The money can be directed to the following works:

ꞏ modernization of water supply and sewerage;
ꞏ modernization of electrical networks and lighting;
ꞏ improving energy efficiency in public institutions;
ꞏ work to improve roads, pedestrian areas and infrastructure for public transport;
ꞏ reconstruction of public spaces, parks, streets, ensuring their accessibility;
ꞏ restoration of cultural heritage sites.

The list of cities participating in the project is planned to be approved following consultations with local authorities. Their socio-economic needs and opportunities will be taken into account.

According to WB calculations, 4 million people (70% of the population of both regions) will directly or indirectly benefit from the project. Among other things, it will contribute to the creation of jobs in the service sector – medium-sized cities have great potential for providing employment for young people.

According to Marco Mantovanelli, head of the WB office in Uzbekistan, investment in infrastructure, combined with effective municipal management, will help “transform cities into comfortable places to live, work and do business”. 

The implementation of the medium-sized cities development project began in 2019. Then the WB group provided $100 million to improve the urban environment in Chartak (Namangan region), Kagan (Bukhara region) and Yangiyul (Tashkent region).