On March 28, the President signed a decree on the second stage of the implementation of the “Comprehensive Development of Rural Territories” project with the participation of the Islamic Development Bank.
The goal of the project is to improve the socio-economic level of rural areas through the construction of roads, communication networks and social facilities. As part of cooperation between Uzbekistan and the IDB, agreements were concluded on April 26, 2023 in the amount of US$260 million with a repayment period of 20 years, including a five-year grace period.
The UNDP office in Uzbekistan acts as a partner and implementing body of the project. The total budget of the project is 293.5 million US dollars, of which Uzbekistan’s share is 33.5 million US dollars.
The project will be implemented for five years (from 2024 to 2028) in 157 mahallas of 21 districts of Kashkadarya, Samarkand and Surkhandarya regions.
The Ministry of Economy and Finance of Uzbekistan has been appointed responsible for the timely implementation of the project, its coordination and targeted use of IDB loan funds.
The selection of design organizations and contractors for subprojects is made on a competitive basis, in accordance with the requirements of the IDB and the legislation on public procurement.
An examination of the feasibility studies of the activities planned for implementation will be carried out after identifying the necessary subprojects in the selected villages.
The state unitary enterprise “Engineering Company ‘Single Customer Service'” under the khokimiyats of Kashkadarya, Samarkand and Surkhandarya regions acts as the customer for the implementation of the project.
In the context of the project:
- VAT arising during the implementation of the project is paid at the expense of the participants and reimbursed from the republican budget;
- Imported goods are exempt from customs duties and VAT, which are reimbursed from the republican budget;
- Costs associated with the repayment of donor loans, including additional payments (surcharges) and interest payments, commissions and other payments, are covered from the republican budget.
The document approved:
- Main technical and economic parameters of the project “Integrated development of rural areas” (2nd stage);
- Main technical and economic parameters of the project by region;
- Forecast payment schedule for funds allocated by the IDB in installments.
The resolution came into force.
