The Japanese government is providing Uzbekistan with a loan of 36.8 billion yen (approximately $229.4 million) to improve energy efficiency in public buildings and the industrial sector. Exchange notes for the two projects were signed on June 10 in Tashkent, according to the Japanese Embassy.
The documents were signed by Japanese Ambassador to Uzbekistan Hirata Kenji and Uzbekistan's Deputy Prime Minister and Minister of Economy and Finance Jamshid Kuchkarov.
The first project, “Improving Energy Efficiency in Public Buildings,” involves a loan of up to 21.79 billion yen ($136 million). The second, “Improving Energy Efficiency in the Industrial Sector,” provides up to 14.97 billion yen ($93.4 million).
Both loans are for a term of 25 years, including a 7-year grace period. The interest rate on the principal amount is 2.4%, while for consulting services it is 0.8%. Procurement conditions are untied, with preferences provided but not linked to Japanese suppliers.
According to the Japanese Embassy, Uzbekistan's energy supply is heavily dependent on fossil fuels (mainly gas), and its energy intensity per unit of GDP and greenhouse gas emissions remain “excessively high” compared to global averages. In this context, implementing energy-saving measures is described as an urgent task.
The Japanese side emphasized that this cooperation aims to reduce energy consumption and greenhouse gas emissions by modernizing and introducing energy-saving equipment and technologies in public buildings, as well as in the industrial and commercial sectors.
The Ministry of Economy and Finance reported that the project to improve energy efficiency in social sector buildings involves introducing energy-saving equipment and modern technologies in schools and healthcare facilities. The goal is to optimize energy consumption, improve resource efficiency, and enhance the overall energy performance of social infrastructure.
The second project is designed to support investments by enterprises and businesses in energy-saving technologies. It provides for long-term low-interest loans to finance initiatives to improve energy efficiency in industry.
According to the Ministry of Economy and Finance, the meeting also discussed expanding cooperation in economic, social, and human capital development, the effectiveness of ongoing projects, and future joint initiatives.
Specifically, the sides reviewed cooperation in energy saving, agriculture (including livestock), the “One Village – One Product” program, healthcare, personnel training, and education.
The Japanese Embassy noted that these projects represent the practical implementation of one of three priority areas of cooperation enshrined in the Tokyo Declaration following the first summit of the “Central Asia + Japan” Dialogue held in December 2025 — the “Green Development and Sustainability” direction.
Source: www.gazeta.uz