The Russian-Kyrgyz Development Fund (RKDF) has signed the agreement on funding the construction of a small hydropower plant ‘Shamshy’ on the Shamshy River in Chui Oblast. Grand Magnate LLP is implementing the project. The HPP construction aims to increase Kyrgyzstan's energy security which is in line with President Sadyr Zhaparov's and the Cabinet of Ministers' policy.

The new 1.7 MW HPP will generate 10 million kWh of electricity annually and serve 10% of the Chui district's demand. The plant is scheduled to be launched in 2026.

"The construction of Shamshy HPP is an important step in Kyrgyzstan's energy sector development. I am confident that the project will be successful and be of great benefit to both the region and the country as a whole,' Chairman of the RKFR Board Artem Novikov said.

He emphasised that over the last 3.5 years alone, the RKDF has launched 16 new hydropower projects across the country. These facilities will generate about 700 million kWh of electricity and significantly reduce the country's energy deficit.

The construction of Shamshy HPP will contribute to attracting investment to the region and developing its industrial potential. The project will create new jobs and positively impact the local population's living standards. The launch of the HPP will provide annual revenues to the budget and extra-budgetary funds of Kyrgyzstan of more than 2.5 million KGS.