ADB to allocate $40 mln for development of agro-industrial cluster in Kyrgyzstan

The Asian Development Bank will allocate $40 million to Kyrgyzstan for the development of cluster production in the agricultural sector, the Ministry of Agriculture of the Kyrgyz Republic reported, Kabar reports.

Half of these funds are grants and the other half are loans. The parties signed an agreement on the project today in Bishkek.

The project provides for the issuance of $36 million to provide preferential loans for participants in selected value chains,the Ministry of Agriculture noted.

The project will work in two directions:

- increasing bank lending to support the development of trade and logistics centers, warehouses, primary processors, procurers, aggregators, logistics companies and other entities in the horticulture value chain;

- strengthening value chains in horticulture.

It is noted that the project is aimed at increasing the supply of fresh and processed fruits and vegetables to domestic and international markets, as well as increasing the export potential of the Kyrgyz Republic and creating jobs.