financing industrial sector projects in · pdf filemajor outcomes of economic reforms in...

FINANCING INDUSTRIAL SECTOR PROJECTS

IN UZBEKISTAN

Major outcomes of economic reforms in Uzbekistan

• Sustained high rates of economic growth (7-9% per annum on average), fueled mainly by internal factors

• Macroeconomic stability• Low inflation (below 7-8%)• Balanced foreign trade with sustainable surplus • 6 times growth of the official reserves in the past 5

years

Major outcomes of economic reforms in Uzbekistan

According to HSBC Global Research’s “The World in 2050” (January 2012):

• Uzbekistan is identified as one of the ‘fast-growth’ countries, who “…have made great progress in fundamentals.”

• The report projects a GDP growth of more than 11x and income per capita growth of close to 9x in the period until 2050 (in real terms).

• The report also estimates a 25-30% increase in Uzbekistan’s working population in the same period.

Major outcomes of economic reforms in Uzbekistan

Economist Intelligence Unit (March 2012):

• “Real GDP growth will remain solid in 2012-16”• “The risk of default is low, given Uzbekistan's

high level of foreign reserves relative to its external financing requirement”

• “The risk of a large depreciation of the som’s official exchange rate is reduced by robust inflows of export revenue”

• Established in 2006 by the Presidential Decree

•Charter capital 15 billion U.S. Dollars

•UFRD’s participation ensures successful accomplishment of

national projects

•UFRD provides assistance with its expertise, analysis and

liaison with local institutions at all levels

FUND FOR RECONSTRUCTION AND DEVELOPMENT

• Financing and co-financing investment projects with major contribution to economic development and structural reforms

• Providing loans for modernizing industrial enterprises in the key sectors of the economy

• Introduction of advanced, efficient and energy saving technologies

• Job creation • Contribution to sustainable growth

MAJOR OBJECTIVES

I. Core sectors

•Oil & Gas

• Chemical and Petrochemical

• Energy & Power

• Metals & Mining

• Transport & Communications

II. Infrastructure projects

AREAS of FINANCING

ACTIVITIES STATISTICSLo

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prov

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No. Stages Project value No of projects UFRD financing Financed on

1/10/12

1 Completed 3115.0 26 1295.6 1273.9

2 Current 11269.9 13 1928.6 1059.6

3 Planned 7276.3 31 1504.0

Total 21 661.2 70 4 728.2 2 333.5

Based on the Program of modernization and core infrastructure development in 2011 – 2015 UFRD has built up

portfolio comprising of 70 projects

mln.USD

PORTFOLIO STRUCTURE

Projects portfolio: 70 projects at financing and project development stages

Infrastructure 21%

Oil and Gas and Petrochemicals

36%Energy 17%

Chemical 11%

Mining 15%

Financing year on year:• 2007 – $61.6 mln.• 2008 – $151.1 mln.• 2009 – $460.0 mln.• 2010 – $509.7 mln.• 2011 – $702.94 mln.• 2012 – $738.1 mln. (expected)

ACTIVITIES STATISTICS

Completed projects

OIL AND GAS SECTORConstruction of a booster compressor stations at the Pamuk and Dengizkul gas fields

Projects value: total $150.4 mln./ UFRD $64.4 mln.

Outcome: increase gas production on average to 3.4 bln. m³ per year

Dates: strated operation in 2008 and 2010 CHEMICAL SECTOR

Construction of Dehkanabad Potash fertilizer plant 1st phase

Projects value: $124 mln./ UFRD $ 62 mln. / China exim bank $ 42 mln.

Outcome: 200 thousand tons per year

Dates: started operation in 2010 Reconstruction and modernization of AM-76 ammonia manufacturing at “Ferganaazot“

and “Maxam- Chirchik“ plants

Projects value: total $146.5 mln. / total UFRD $21.2mln.

Outcome: production increased to 40% and energy saving 14%

Dates: strated operation 2010

Energy sectorConstruction of combined power cycle generation at the Navoi thermal

power plant

Projects value: $542.2 mln./ UFRD $363.2mln.

Outcome: 478 MW/per year

Dates: 2009-2012 (expected start of operation in December)

Transport and Infrastructure Sectors Modernization of Air fleet of national airline company “Uzbekistan

Airways”

Projects value: $1080 mln./ UFRD $514.2 mln.

Outcome: 12 planes (A320 – 200, Boeing 767-300)

Dates: 2010-2013

Completed projects

Construction of Gas and Petrochemical Complex on the Ustyurt Surgil deposit with further field development

Projects value: $4031 mln./ UFRD $500 mln.

Output: 400 thousand tons / year of polyethylene and 100 thousand tons / year of polypropylene

Dates: expected start of operation in 2015 Expansion of Talimarjon TPP with the construction of 2 units of CCG capacity of 450 MW

each

Projects value: $1280.0 mln./UFRD $250 mln.

Output: 900 MW/year

Dates: expected strat of operation in 2015Construcuiton of portland cement and white cement plant in Jizzakh region

Projects value: $114.2 mln./UFRD $74.2 mln.

Output: 760 thousand tons/year of portland cement or 350 thousand tons/year of white cement

Dates: expected strat of operation in 2015

Ongoing projects

OUR PARTNERS- Asian Development Bank

- World Bank

- Japan International Cooperation Agency

- Qatar Investment Authority

- Islamic Development Bank

- State General Reserve Fund of Oman

- Korea Development Bank

- Korea Export-Import Bank

- International Petroleum Investment Company

- KSURE

- Malaysia Export-Import Bank

- China Development Bank

- The Export – Import Bank of China

- Kuwait Fund for Arab Economic Development

- Czech Export Bank

UZBEK-OMAN INVESTMENT COMPANY

Project Uzbek-Oman Investment Company

Established 2010

Capital $500 mln.

Objectives Equity investments

Shareholders UFRD 25%, SGRF 75%

Fund for reconstruction and development of Uzbekistan

Tel: +998 71 2385648

Fax: +998 71 234 0157

101 Amir Temur Street

Tashkent |Uzbekistan|100084

info@ufrd.uz

http://ufrd.uz

CONTACT US