Jogorku Kenesh approves IDB loan for Issyk-Kul power supply

On June 2, the Committee on Budget and Economy of the Jogorku Kenesh approved in the first reading the bill on ratification of the loan agreement between Kyrgyzstan and the Islamic Development Bank (IDB). The funds will be used to build new power substations and transmission lines in Tamga and Karakol in Issyk-Kul Oblast.

The agreement was signed April 22 in Washington. According to Deputy Energy Minister Nasipbek Kerimov, the project includes the construction of two large substations and a 90km transmission line between Tamga and Karakol. This will help reduce the load on power grids in the southeastern part of the region, ensure a more stable power supply and connect new facilities, including the Three Summits tourist project, which is important for the region.

The total cost of the project is $60.25 million, of which $58.25 million is provided by the Islamic Development Bank in the form of a soft loan for 25 years (with a 7-year grace period and a rate of up to 1.5%), and the rest is Kyrgyzstan's contribution (taxes, land registration, permits, etc.).

The initiator of the draft law was the Chairman of the Cabinet of Ministers.