EBRD lends US$ 50 million to SQB

• EBRD providing financing of up to US$ 50 million to SQB
• Project will support youth entrepreneurship
• Funds are provided under the EBRD’s Youth in Business programme for Central Asia

The European Bank for Reconstruction and Development (EBRD) is creating growth opportunities for micro, small and medium-sized enterprises (MSMEs) owned by young individuals in Uzbekistan by providing financing to O’zsanoatqurilishbank (SQB), Uzbekistan’s third-largest state-owned lender.

The EBRD’s loan of up to US$ 50 million (€42.7 million) will be extended under the EBRD’s Youth in Business (YiB) programme in Central Asia, targeting MSMEs that are led or owned by individuals under the age of 35. The funds may be disbursed in either US dollars or synthetic Uzbek som.

According to the United Nations, more than 61 per cent of Uzbekistan’s population is aged 35 or under. This young generation represents a dynamic and technically and digitally skilled workforce that will need new job opportunities in the coming years. Creating these opportunities is one of the EBRD’s strategic priorities.

The EBRD has invested almost US$ 6.9 billion (€6 billion) in Uzbekistan across 210 projects, with most of the funds supporting private entrepreneurship. The country has been the leading recipient of EBRD funding in Central Asia for each of the past six years.