(MENAFN- IANS) Manila, July 31 (IANS) The Asian Development Bank (ADB) on Wednesday said that it has approved two policy-based loans totalling $400 million to support Uzbekistan's initiatives to enhance its financial markets and develop a sustainable, market-led power sector.

A loan of $300 million for subprogram 2 of the Power Sector Reform Program provides budget support for policy actions to improve the power sector's structure, legal and regulatory framework, and governance to encourage private sector investment and promote financial sustainability, Xinhua news agency reported.

A loan of $100 million for subprogram 2 of the Financial Markets Development Program supports regulatory and institutional reforms on improving market facilitation to streamline financial transactions and services as well as increasing supply and demand measures to grow Uzbekistan's capital and money markets.

"Strong participation of the private sector is vital to Uzbekistan's economic growth and transformation," said ADB Director General for Central and West Asia Yevgeniy Zhukov.

"Reforms supported by these programs will help shape an enabling environment for regulators and firms to play their part in boosting development by building robust domestic financial markets and addressing energy needs while tackling climate change," said Zhukov.

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