(MENAFN- Trend News Agency) BISHKEK, Kyrgyzstan, November 1. The Azerbaijan-Kyrgyz Development Fund (AKDF) has approved financing for the construction of a small hydropower plant (HPP) in Kyrgyzstan, Trend reports via the Ministry of Economy and Commerce of Kyrgyzstan.

The decision was made following the sixth meeting of the AKDF Board, which took place in Bishkek under the chairmanship of First Deputy Minister of Economy of Azerbaijan Elnur Aliyev.

The board sanctioned capital allocation for the development of a 5.4 MW micro hydropower plant.

The infrastructure will be established along the Kulun river within the jurisdiction of the Kara-Kulja district, situated in the Osh region.

The aggregate projected expenditure for the initiative is quantified at $5.2 million, with the AKDF contributing $2.5 million to the financial architecture.

The operationalization of the hydroelectric power plant is anticipated to substantially enhance energy resilience and catalyze economic advancement within the locality.

The initiative is anticipated to generate employment opportunities, enhance the production capacity of the Osh region, and mitigate the nation's reliance on energy imports.

During the convening, stakeholders engaged in a comprehensive review of the fund's regulatory frameworks, deliberated on existing synergies, and were apprised of a suite of supplementary investment strategies.

The Azerbaijan-Kyrgyz Development Fund (AKDF) is a financial institution established in 2022 by Azerbaijan to promote economic cooperation, investment, and modernization between the two nations. The fund finances priority projects in sectors like energy, agriculture, tourism, and textiles in Kyrgyzstan, utilizing various financial instruments such as loans and investments, with the goal of stimulating bilateral trade and economic ties.

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