Edb, Russian-Kyrgyz Development Fund To Finance Hps Construction In Kyrgyzstan


(MENAFN- Trend News Agency) BISHKEK, Kyrgyzstan, July 9. The Eurasian Development bank (EDB) and the Russian-Kyrgyz Development Fund have signed an agreement to jointly allocate $88 million for the construction of the Kulanak hydroelectric power station (HPS) with a capacity of 100 megawatt in the Naryn region of Kyrgyzstan, trend reports.

According to the agreement, the Russian-Kyrgyz Development Fund will contribute $44 million towards the project, matched by the Eurasian Development Bank as the second creditor and partner.

Following the signing, Denis Ilin, Deputy Chairman of the Board of the EDB, highlighted the significant progress made in the preparatory work at the Kulanak HPS construction site.

He emphasized that the project holds not only regional significance within the EDB's Country Strategy for the Kyrgyzstan, but is also a crucial step in the larger-scale "Central Asia Water and Energy Complex" mega-project envisioned by the bank.

In turn, Chairman of the Board of the Russian-Kyrgyz Development Fund Artem Novikov noted that the project will create approximately 1,000 jobs during the construction phase and around 100 jobs once the plant is operational.

He added that this power station will mark the first in a series of cascading power plants along the Naryn River. The establishment of the Kulanak HPS will play a pivotal role in reducing the country's energy deficit by nearly 20 percent.

The Russian-Kyrgyz Development Fund is currently engaged in 15 energy projects. These initiatives are expected to generate approximately two billion kilowatt-hours of electricity annually, reducing Kyrgyzstan's current energy deficit by 70 percent.

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Trend News Agency

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