OPEC Fund Provides $50 Million to Ensure Food Security in Uzbekistan

Published on:
by KnowESG
antonio-grosz-OIzy-UubqrE-unsplash

The OPEC Fund for International Development is contributing $50 million to a syndicated trade finance facility along with the Islamic Trade Finance Corporation (ITFC). The total $100 million facility will improve food security in Uzbekistan by supporting the trade of critical agricultural products, the Fund said in a statement.

Uzbekistan is a net importer of essential goods such as grain, vegetables, and sugar, and nearly 40% of the country’s food supply originates in the Black Sea region. Following the global repercussions of war in Ukraine, including higher food and commodity prices, food security has become a major concern for Uzbekistan, the Fund emphasised.

The loan package will help ensure the sustainable supply of essential foods and agricultural products in the local market at affordable prices.

"Addressing the global food security crisis is a priority for the OPEC Fund, and our support to Uzbekistan is aligned with our Food Security Action Plan. Securing international trade in challenging times is key to ensuring that people receive essential supplies and to keep critical supply chains for businesses operational," OPEC Fund Director-General Abdulhamid Alkhalifa said.

The OPEC Fund announced in June 2022 a $1 billion OPEC Fund Food Security Action Plan for 2022–2025. The plan supports financing the import costs of basic commodities such as seeds, grains, and fertilisers while promoting the medium- and long-term security of food supply in partner countries. The facility is channelling public and private sector loans, as well as grants to developing countries hit hardest by disruptions and price hikes following the war in Ukraine.

To date, the OPEC Fund has provided close to $600 million in financing aligned with Uzbekistan’s sustainable growth agenda and the OPEC Fund’s country partnership strategy. The OPEC Fund’s public and private sector financing, supported by grants, has helped the sustainable development of the energy, water, sanitation, agriculture, transport, education, and finance sectors and includes support for small and medium enterprises.

For more sustainable finance news

Source: AKIPRESS.COM

Share:
esg
esg
esg
esg

Sustainable Finance Headlines

NDB's CNY 8.5B Bond Released in China Interbank Market

NDB's CNY 8.5B Bond Released in China Interbank Market

Qantas Establishing Climate Fund on Path to Net Zero

Qantas Establishing Climate Fund on Path to Net Zero

ASB Backs Sustainable Business with Discounted Loans

Majid Al Futtaim Raises $500m via Green Sukuk

India, China to Boost Low Carbon Investments in APAC

ESG ETFs Hold Top Appeal for European Investors

DKSH Ties CHF 315M Bank Loan to Sustainability Goals

BII Enters PH, Invests $15M in Energy Transition Fund

CBA Launches Small Business Sustainability Action Tool

UK to Raise $40bn for Global Infrastructure Projects