Kyrgyz Parliament Nods To EIB Loan Ratification For CASA-1000 Project In First Reading

(MENAFN- Trend News Agency) BISHKEK, Kyrgyzstan, September 17. Kyrgyzstan's parliament has approved in the first reading a draft law ratifying a financial contract with the European Investment Bank (EIB) to provide additional funding for the Central Asia-South Asia Electricity Transmission and Trade Project (CASA-1000), Trend reports via the Kyrgyz parliament.

The CASA-1000 project involves the construction of infrastructure to export clean hydroelectric power generated in Kyrgyzstan and Tajikistan to Afghanistan and Pakistan. Construction work on CASA-1000 facilities in both Kyrgyzstan and Tajikistan was completed in 2025.

Kyrgyzstan's Deputy Energy Minister Altynbek Rysbekov said during a parliamentary session that the agreement is intended to enhance energy security, ensure stable grid operations, improve water resource management, boost export potential, and expand electricity generation capacity

A 500-kilovolt transmission line connecting Kyrgyzstan's Datka substation with the Sughd substation in Tajikistan was officially inaugurated on March 31, 2025.

"International donor organizations have already contributed financing to the project. However, a shortfall of $8.7 million remained, prompting the EIB to approve an additional 9 million euro loan to close the gap. The loan is provided on concessional terms-29 years in duration, with an eight-year grace period and an annual interest rate of up to 3.662 percent," Rysbekov said

He added that the 9 million euro in EIB funds will be used to pay outstanding debts to the contractor for work already completed under the CASA-1000 project.

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