EBRD - The Times Of Central Asia

Viewing results 1 - 6 of 110

Critical Minerals Industry Strategy Economy Export/Import EBRD Investments Finance

EBRD Supports Kazakhstan’s Critical Raw Materials Sector

The European Bank for Reconstruction and Development (EBRD) says it is making its first direct equity investment in the graphite and critical raw materials sector in Central Asia by acquiring a stake in Sarytogan Graphite Limited, an Australian Securities Exchange-listed company involved in the exploration of the Sarytogan graphite deposit in the Karaganda region of central Kazakhstan. The EBRD’s investment of AUD 5 million (€3 million), representing a 17.36% shareholding in the company, and will finance Sarytogan Graphite’s development program, including preparing a feasibility study and meeting its working capital needs. According to the EU's critical raw materials (CRM) classification, graphite is a CRM mineral with a wide range of applications. It is used for producing electric vehicle batteries, the electric power industry, and metallurgy. The Sarytogan graphite deposit is one of the largest known graphite deposits in the world, with the potential to become one of the main suppliers of natural graphite in the region and beyond. The project aligns with the EU-Kazakhstan strategic partnership on raw materials, batteries, and renewable hydrogen. According to the country's Ministry of Industry and Construction, Kazakhstan produces 19 of the 34 critical raw materials listed by the European Union. Kazakhstani manufacturers currently supply the European market with metal and chemical products, including beryllium, tantalum, titanium, phosphorus, and ammonium metavanadate. Kazakhstan is among the world’s ten largest copper producers. It has the potential to produce battery raw materials such as nickel, cobalt, manganese, and lithium, which are essential for producing electric vehicles.

Banking EBRD

EBRD Plans to Double Investments in Kazakhstan in 2024

Kazakhstan's Deputy Prime Minister, Nurlan Baibazarov, met with Hussein Ozkhan, the Acting Managing Director of the European Bank for Reconstruction and Development (EBRD) for Central Asia and Mongolia, it has been reported. The meeting discussed the status of current projects and EBRD's plans to finance new initiatives. Special attention was paid to attracting investments for Kazakhstan's sustainable socio-economic development. Ozkhan said the bank plans to double its investments in Kazakhstan's economy this year. In particular, the EBRD is developing a significant project with Kazakhstan's power grid management company, KEGOC, which aims to improve the reliability of electricity supply in the country’s western regions. The largest territorial project, the construction of new sewage treatment facilities in Aktobe, was signed earlier. Funds have also been allocated for constructing new production facilities for Araltuz JSC, a leading producer of table salt, and support for women's and youth entrepreneurship. In June 2024, ahead of schedule, the new passenger terminal of Almaty Airport opened, also financed by the EBRD. The bank also participated in the IPO of the national air carrier Air Astana. Baibazarov emphasized that Kazakhstan intends to expand cooperation with the EBRD at national and regional levels, supporting the bank's desire to invest in the private sector. "Our country is ready for mutually beneficial work with the EBRD to attract investment for the implementation of projects in energy, transport and logistics, the development of renewable energy and private business," the Deputy Prime Minister said. Since the beginning of cooperation with Kazakhstan, the EBRD has invested €10.2 billion in the country's economy through 324 projects. The bank's project portfolio in Kazakhstan currently includes 121 projects worth more than €2.9 billion.

Retail e-Commerce CA-store EBRD

Uzbek Electronics Retailer Secures EBRD $10 Million Loan

On July 1, the European Bank for Reconstruction and Development (EBRD) announced its support to further develop retail standards and e-commerce in Uzbekistan by financing the expansion of one of the country’s leading consumer electronics and household appliances chains, CA-store (formerly Credit Asia). The loan of up to $10 million will finance the working capital required by CA-store for its expansion beyond the capital city of Tashkent. It is expected that in the coming years, the Uzbek retailer will extend its business to all the country’s major cities. The funds will also be used to develop CA-store’s online sales by introducing new e-commerce standards in Uzbekistan’s fast growing e-commerce market and offer online shopping to customers across the country. CA-store’s increased regional coverage will contribute to the reduction of the shadow economy by offering authentic goods and fully complying with national tax requirements. Integral to the project, is a commitment by CA-store to create equal and fair employment opportunities for staff.

EIB investment Drinking Water EU Cooperation EBRD

EU and Partner Banks Upgrade Water Supply in Cholpon-Ata, Kyrgyzstan

A new water intake facility has been launched in the Cholpon-Ata resort at Kyrgyzstan’s Lake Issyk-Kul thanks to a joint investment of EUR 5.1 million from the European Union, the European Investment Bank (EIB), and the European Bank for Reconstruction and Development (EBRD). The opening ceremony on 11 May was attended by the Chairman of the Cabinet of Ministers of the Kyrgyz Republic Akylbek Japarov. The European Union’s grant of EUR 3.1 million, combined with an EIB and EBRD investment loan of EUR 2.25 million, funded vital improvements to the city’s water supply system which had not been upgraded since it began operating in 1986. According to the EU Delegation to the Kyrgyz Republic, by helping eliminate the risk of water-borne diseases, the project has provided over 19,000 citizens of Cholpon-Ata with regular access to safe drinking water and sanitation services. To date, grants exceeding EUR 100 million from the EU have leveraged EUR 205 million investments to support Kyrgyzstan’s drinking water, solid waste management, and energy services, benefitting over 376,000 citizens in 14 cities and eight villages across the country.

Economy Export/Import Banking EBRD Finance

EBRD: Uzbekistan’s Economy Shows Stable Growth

Uzbekistan's economy will grow by 6.5% this year, and by 6% by 2025, according to a forecast published by the European Bank for Reconstruction and Development. This growth is expected due to investments in fixed capital and an increase in net exports. Central Asia's trade with Russia peaked in 2023 and played an important role in economic growth. Uzbekistan's GDP grew by 6% due to increased consumer spending driven by rising wages and credit expansion. The budget deficit amounted to 5.5%, against a forecast of 4%. According to the bank's analysts, in 2024 the budget deficit may be reduced due to energy subsidies, which will reduce government spending by about 1.5% of GDP. Economists also noted an increase in investment in the region in transportation, logistics, and export-oriented manufacturing. The economy was boosted by rising wages and real incomes, credit expansion, and intra-regional trade. "Sustained wage and real income growth, combined with a surge in foreign arrivals and the tourism sector, fueled a consumer boom, which was further supported by technological advances in consumer credit," the report states. Recent tariff reforms in Uzbekistan will also cut energy subsidies, which will reduce government spending by 1.5% of GDP, the bank said. At the same time, there are great prospects for foreign direct investment in privatization, but the chronic shortage of energy and water remains a negative factor. The decline in inflation to single-digit figures throughout the region has allowed regulators to start revising their monetary policy in favor of stimulating economic growth. The EBRD believes that the main public policy challenges in the region for 2024-2025 will be improving infrastructure and governance, tariff reforms, and harmonizing the use of common resources such as transport, water, and energy.

Education Small Business Economy Central Asia Kazakhstan EBRD

EBRD Launches New Training Program for Female Entrepreneurs in Kazakhstan

The European Bank for Reconstruction and Development's (EBRD) Women in Microbusiness training program is being launched in Kazakhstan to support women entrepreneurs facing social or economic obstacles in their business activities. Statistics show that whilst women manage 49 percent of all micro and small-sized businesses in Kazakhstan, their representation in medium and large business sectors is only 36 percent and 19 percent, respectively. Reporting on the initiative, Alma Kasymova, head of the EBRD's SME (small- and medium-sized enterprises) Program in Kazakhstan, stated, "Our main goal and mission is to empower women entrepreneurs to grow and develop their micro-enterprises through affordable and quality training. We are confident that this program will help participants to expand their competencies and open new perspectives in larger business segments." The training, conducted online in Kazakh and Russian, will run for five months and comprise six business modules in marketing, sales, finance, human resources, operational management, strategic planning, as well as automation and the use of artificial intelligence (AI). Participants will be able to enrol at any time convenient for them. . Welcoming its launch, an EBRD spokesperson announced, "This is the third implementation of the program -realized in collaboration with the training and consulting company Dialog . Previous projects allowed almost 1,500 women entrepreneurs to strengthen their skills and improve their businesses. "