The World Bank has transferred 1st tranche funds for iCRAFT project

The project “Application of Innovative Carbon Resources for Energy Reforms” (iCRAFT) in our country is being implemented with the support of the World Bank according to the Presidential Resolution of the Republic of Uzbekistan dated August 8, 2023.

The World Bank has transferred first tranche at the amount of US$ 7.5 million for financing the reforms, including the mitigation of impact from the energy tariffs’ reform, and financial support of vulnerable layers of population within the scope of Emission Reductions Payment Agreement (ERPA) component.

The first tranche is a grant to reduce greenhouse gas emissions that will be returned to Uzbekistan as a simulation for international trade of greenhouse gases.

For information: "iCRAFT" project is the first global initiative in the world to support reforms in the field of energy implemented in Uzbekistan with the participation of the World Bank, aimed at reducing greenhouse gas emissions and starting to trade some of them on international markets.

In accordance with the above decision, the allocated funds will be directed to finance measures such as acceleration of the transition of the republic to a green economy, establishment of the monitoring system of greenhouse gas (GHG) emissions, support of the activities of the newly established Energy Market Development and Regulation Agency and "Uzenergosotish" JSC, regulation of the energy sector and implementation of institutional reforms, implementation of pilot projects aimed at supporting families in need of social protection by installing solar panels, improvement of energy efficiency in the country.

Information Service

Ministry of Economy and Finance