Bishkek, Kyrgyzstan — The Saudi Fund for Development (SFD) will provide soft development loans worth $130 million to Kyrgyzstan for the development of housing and road projects.
Two loan agreements were signed in the Kyrgyz capital Bishkek by the SFD CEO Sultan bin Abdulrahman Al-Marshad with the Ministry of Finance of the Republic of Kyrgyzstan, represented by the Minister of Finance, Almaz Baketaev.
The first agreement involves financing the construction of 3000 housing units covering an area of about 255,000 square meters through a soft development loan of $100 million. The project aims to enhance the livelihoods of low-income families in Kyrgyzstan.
The second agreement contributes to the financing of the Taraz-Talas Road Project (Phase 4), which aims to reconstruct 93 km of road to improve road safety, reduce traffic accidents, and enhance the quality of the road. This $30 million project is jointly financed by several Arab Coordination Group funds.
Since 2011, the SFD has provided 10 soft development loans to the Republic of Kyrgyzstan to finance development for projects and programs with a value of up to $330 million, in addition to $4 million grant from Saudi Arabia to contribute to the growth and prosperity of Kyrgyzstan and achieve sustainable development goals (SDGs).
Al-Marshad said the agreements are an extension of the developing relationship between the SFD and Kyrgyzstan that spans over more than 12 years, as the government of the kingdom “attaches great importance to supporting the development sectors in Kyrgyzstan”.