ADB Supports Kyrgyzstan's Agribusinesses Through Grants And Loans


(MENAFN- Trend News Agency) BISHKEK, Kyrgyzstan, December 10. The Asian Development bank (ADB) has allocated $20 million as a loan and $20 million as a grant to Kyrgyzstan, Trend reports.

These funds are intended to benefit small and medium-sized agro enterprises in the country. The primary objective is to improve post-harvest crop handling.

The Aiyl Bank, a significant supporter of Kyrgyzstan's agricultural sector, stands as the initial participant in this initiative. It will receive funding to provide loans to other financial institutions, enabling them to extend financial support to agricultural businesses.

Yevgeniy Zhukov, the ADB's Director General for Central and West Asia, highlighted that this project aims to assist farmers in navigating market fluctuations, natural hazards, and the impacts of climate change. One of its goal is to elevate both household and national food security.

"By equipping them (farmers) with climate-smart agricultural technologies and strengthening value chains, farmers and all stakeholders along the value chains will be able to minimize resource cost and increase profitability." Zhukov said.

Additionally, the project seeks to facilitate collaborations between farmers and processors and exporters through contract farming, empower female entrepreneurs through training, and implement strategies promoting the cross-border trade and distinctive branding of Kyrgyzstan's products.

These measures aim to increase the profitability of fruit and vegetable producers and agribusiness enterprises, as well as to strengthen market connections to enhance national food security.

Since joining the ADB in 1994, Kyrgyzstan has received 208 public sector loans, grants, and technical assistance from the bank, amounting to a total of $2.5 billion.

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Trend News Agency

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