The European Bank for Reconstruction and Development (EBRD) and the State Secretariat for Economic Affairs (SECO), Switzerland will offer funds for wastewater system modernization in Khujand city, Tajikistan, as reported by LBR.
They will grant $3.5m loan from EBRD along with $5.35m from SECO to water and wastewater utility Khujand Water Company.
The received funds will be utilized for modernization of the sewerage network and renovate an old wastewater treatment plant. It will also be spend for upgrading the local water supply to facilitate running water for around 15,000 people.
Khujand is the capital of the Sugd region in northern Tajikistan. It has a population of 165,000 people, who suffer from poor municipal infrastructure requiring upgrade and better wastewater management.
The planned modernization program will significantly reduce pollution and public health hazards, reminded, Richard Jones, office head, EBRD, Dushanbe.
The cooperation between SECO, the EBRD and the city of Khujand dates back to 2004 and company’s first joint water project in the city, stated, Peter Mikula, country director, SECO.
EBRD has already invested €350m in the country in more than 80 development projects. It already finances Southern Tajikistan Water Rehabilitation Project, with priority capital investments to improve the municipal water services in the South Tajik Cities of Dangara, Kulob and Kurgan-Tube.
According to this initiative, a loan to Khojagii Manziliyu-Kommunali of USD 2 million under a sovereign guarantee is provided. The proceeds of the loans would be on-lent to the respective water companies.