KfW Development to Sustain Support for Tajikistan amid Cooperation Shift

Germany will continue its support for Tajikistan through multilateral development cooperation organizations, a source at KfW Development Bank’s local office in Dushanbe told Trend.

The source pointed out that these organizations include the European Union (EU), World Bank (WB), European Investment Bank (EIB), and European Bank for Reconstruction and Development (EBRD), where German funding plays a significant role in the overall budget.

Starting in 2021, in alignment with the 2030 reform strategy of the Federal Ministry for Economic Cooperation and Development, Germany is gradually phasing out its bilateral state development cooperation with Tajikistan. All ongoing projects will be completed.

“In August of the current year, the German government committed 10 million euros in grant funds as part of bilateral financial cooperation with Tajikistan. These funds are allocated to support the construction of the 11 MW Sebzor small hydropower plant (HPP) in the Roshtqala district of the Gorno-Badakhshan Autonomous Region (GBAO) in Tajikistan,” the source at KfW said.

“This project, with a total funding volume of 63 million euros, including 18.5 million euros in co-financing from the EU, was a major recipient of funding last year,” noted the source.

It was noted that another energy project supported by the German government in its finalization stage is the construction of the 1.5 MW Tojikiston HPP in the Murghab district of GBAO, with a total amount of 8.2 million euros.

The KfW Development Bank supports programs in developing and emerging economies and has been operating in Tajikistan since 2001. On behalf of the Federal Government, it contributes to Tajikistan’s economic development.

In August of this year, Tajikistan’s President Emomali Rahmon announced plans to launch the first unit of the new Sebzor hydropower station, which is currently under construction in GBAO, in 2024. The Sebzor HPP on the Shokhdara river began construction in 2015, with the project featuring three units. Funding for the station’s construction included contributions from the EU.

Source : Trend

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