National Bank for Foreign Economic Activity of Uzbekistan signed a loan agreement with China Development Bank (CDB) in Beijing.

National Bank for Foreign Economic Activity of Uzbekistan signed a loan agreement with China Development Bank (CDB) in Beijing, within the framework of the 5th meeting of Uzbekistan – China intergovernmental cooperation committee, to attract a credit line in RMB in the amount of 500 million.

The agreement became the seventh and testifies to strong established partnership between the two banks. The experience of interacting with CDB demonstrates the effectiveness in implementing a number of major investment and infrastructure projects in all sectors of the economy of the Republic of Uzbekistan. At the same time, the signing of a loan agreement in RMB is the first such document reached with a leading Chinese financial institution in the history of cooperation of the National Bank of Uzbekistan.

The agreement provides for the application of new settlement methods in RMB. At the same time, payments in RMB will be transferred to the supplier’s bank account directly in China, which significantly reduces the time for payments between the two countries and counterparties.

Signing of the agreement on financial cooperation gives a new impetus to bilateral relations and further development of trade-economic relations between the two countries, as well as provides an opportunity to attract credit resources on favorable terms, which creates new large investment opportunities in Uzbekistan.

China Development Bank (CDB) was founded in 1994 as a policy financial institution under the direct leadership of the State Council. The Bank is the world’s largest development finance institution, and the largest Chinese bank for financing cooperation, long-term lending and bond issuance. CDB has a registered capital of RMB 421.248 billion. It provides medium- to long-term financing facilities that serve China’s major long-term economic and social development strategies.