March 10, 2025: The OPEC Fund for International Development (the OPEC Fund) is extending a US$35 million loan to Uzbekistan’s State Joint-Stock Company Asaka Bank (Asaka Bank) to enhance food security and expand financing for climate action projects in the Central Asian country. The funding will help increase access to finance for agriculture and strengthen the bank’s climate finance portfolio.
OPEC Fund President Abdulhamid Alkhalifa said: “Our partnership with Asaka Bank supports two crucial priorities for Uzbekistan – ensuring food security and addressing climate change. Agriculture remains a cornerstone of the country’s economy and targeted investments in sustainable practices will help smallholder farmers build resilience and boost productivity. The new financing reflects our commitment to fostering economic growth while driving climate action.”
Agriculture is a key driver of Uzbekistan’s economy, accounting for 25 percent of the country’s GDP and also employing about a quarter of the workforce. As the sector faces challenges such as extreme weather events, water scarcity and limited access to finance, strengthening financial support for small-scale farmers can create far-reaching benefits.
Asaka Bank will on-lend the OPEC Fund’s loan to small and medium-sized enterprises and agribusinesses, enabling them to access essential financing for growth. This will help farmers and rural enterprises secure critical services, adopt modern technology and expand market access – strengthening productivity and resilience across the sector.
Asaka Bank is Uzbekistan’s fourth-largest commercial bank by assets and gross loans. The bank plays a key role in financing economic development and is majority state-owned. The OPEC Fund partners with Asaka Bank through its risk-sharing program with international financial institutions.
The OPEC Fund has been a longstanding partner of Uzbekistan for 25 years, supporting nearly 30 public and private sector projects with a total loan volume of US$800 million to date. A Country Partnership Framework signed in 2024 earmarks US$500 million in new OPEC Fund financing to advance Uzbekistan’s sustainable development agenda until 2029.
About the OPEC Fund
The OPEC Fund for International Development (the OPEC Fund) is the only globally mandated development institution that provides financing from member countries to non-member countries exclusively. The organization works in cooperation with developing country partners and the international development community to stimulate economic growth and social progress in low- and middle-income countries around the world.
