Tajik Climate Resilience Financing Facility



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

16 Sep 2015



PSD disclosed:

19 Jun 2015

Sub-projects signed under this framework

Translated version of this PSD: Russian

Project Description

The EBRD is considering a pilot initiative that intends to support private sector investments in technologies which contribute towards development of climate resilience in Tajikistan. The initiative intends to break new ground in the emerging area of financing pro-business climate resilience measures in a country that is highly vulnerable to the impacts of the climate change. The private sector of Tajikistan requires immediate actions to build resilience to the current climatic challenges and to set a scene for development of long term climate robustness through ability to adapt to evolving (worsening) climatic conditions.  

The EBRD will promote investments in technologies and measures which contribute towards development of climate resilience of the businesses and households, in particular investments in improved water and energy use, better land management and irrigation practices in agriculture sector. The primary focus will be on sectors where businesses and households are vulnerable to climate variability due to sub-optimal use of water and energy, as well as due to unreliable water and energy supply. The facility will be available to small and medium size enterprises, private agriculture farms and households.

The Bank will provide financing in the form of credit lines to Partner Financial Institutions (PFIs) in Tajikistan, which will on-lend the funds to eligible micro, small and medium size borrowers. The credit lines will be accompanied with dedicated technical support at PFI and sub-borrowers level to assist with analysis, financing and implementation of the eligible projects.  The potential PFIs will be banks and non-bank lending institutions.

EBRD will leverage its commercial financing with concessional loans of the Climate Investment Fund (CIF), which is available to Tajikistan under the CIF’s Pilot Programme for Climate Resilience.

Transition Impact

The project’s transition impact will be most prominent in the following areas:

  1. Demonstration effect:
  • The Project will introduce new dedicated financing mechanism for supporting climate resilience investments in the region. It is a new financing mechanism of its kind for supporting climate resilience investments in the EBRD’s countries of operations with a combined focus on energy, water and land management. A number of PFIs is expected to join and participate.  
  • The Project will demonstrate the benefits of improved energy, water and land management technologies to a wide range of beneficiaries, illustrate how such improvements can be economically viable and replicable, and improve the market penetration of such technologies. Replicability will be ensured by building the capacity of PFIs to promote these technologies through financing and by developing the market for such technologies.
  1. Transfer of skills:
  • Through the proposed project PFIs will build expertise in assessing and financing climate resilience investments, which is currently lacking in the sector. Similarly the businesses and technology providers will learn PFIs’ requirements and eligibility criteria for climate resilience loans. Technical assistance from the EBRD will help PFIs with loan product design and marketing, as well as pre and after loan approval appraisal.
  • Project will also facilitate information dissemination and direct support of sub-borrowers, which will be part of EBRD’s comprehensive technical assistance. This will spread the knowledge and support growth of the market of climate resilience technologies. 
  • Additionally the Project will contribute to strengthening of local technology suppliers and equipment installers and will specifically promote best performing technologies.

The Client

The Framework will be available to Partner Financial Institutions such as banks and non-bank lending institutions operating in Tajikistan.  

EBRD Finance

EBRD will provide up to USD 10 million of loan financing to eligible PFIs, which includes USD 5 million of concessional loan from PPCR under administration of EBRD.

Project Cost

USD 10 million of loan financing and USD 2.6 million of technical cooperation funds.

Environmental and social categorisation, impact, and mitigation

Categorised FI. This facility is expected to result in significant environmental benefits, related to improved climate resilience and to the reduced pollution loading and stress on eco-systems associated with improved water and energy efficiency. The partner FIs will be expected to meet the applicable requirements of EBRD’ Performance Requirements, 2, 4 and 9 and submit annual environmental and social reports to the Bank

Technical Cooperation

The Facility will be supported by a comprehensive Technical Cooperation programme that will benefit both PFIs and Sub-borrowers. This will be delivered by the Project Consultant team, which will support sub-project origination, preparation, eligibility checking and assessment, capacity building and training support to PFIs. The Project Consultant will be responsible for overall Facility management and implementation as well as performance monitoring. The Project Consultant will also draw from its experience and knowledge gained from implementing the Facility to identify policy dialogue priorities for EBRD to consider in support of Facility objectives. This TC will build on the comprehensive Market Demand Study that was delivered by the Project Consultant during the preparation of the Facility.

The TC is funded by UK DFID Fund (EUR 300,000) and the EBRD ETC Fund (EUR 1.95 million)

Company Contact

Bakhtiyor Mansurov,  mansurob@ebrd.com

Craig Davies, daviesc@ebrd.com

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

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