Tashkent, Uzbekistan (UzDaily.com) -- Resolution of the Cabinet of Ministers "On measures to implement the Financial Market Development Program project with the participation of the Asian Development Bank" was adopted.

On 7 October 2021, the Board of Directors of the Asian Development Bank decided to provide Uzbekistan with a loan in the amount of US$100 million for a period of 25 years with a five-year grace period under the Financial Market Development Program.

ADB funds will be used to finance the budget expenditures of the Republic of Uzbekistan. The Ministry of Finance is the executive body responsible for coordinating and controlling project implementation, as well as the targeted and efficient use of ADB funds. In order to partially hedge currency risks, it is envisaged to conduct, in cooperation with international financial counterparties, the first test swap operation for a period of 3 years from a portion of ADB funds in the amount of US$20 million.

Expenses related to the return of ADB funds and interest payments, as well as interest payments under the first test swap operation, will be made at the expense of the Republican budget of Uzbekistan. At the same time, the income received under the general agreement with the International Association of Swaps and Derivatives is reflected as income of the Republican budget.

The Central Bank was recommended to act as a financial agent in the implementation of the project and transactions with the International Association of Swaps and Derivatives.

A forecast schedule for the repayment of debt and interest payments allocated by the Asian Development Bank under the "Financial Market Development Program" was approved.