Development finance assessment

2010-2018
Biodiversity
Climate Change
Desertification
Environment
0%
10%
20%
30%
40%
50%
60%
70%
2
0
1
0
2
0
1
1
2
0
1
2
2
0
1
3
2
0
1
4
2
0
1
5
2
0
1
6
2
0
1
7
2
0
1
8
per
cen
t
o
f
total
bilateral
OD
A
C
o
m
m
itments
Source: OECD, 2020.

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39
DIMENSION 1: 
ASSESSING DEVELOPMENT FINANCE FLOWS
The Green Climate Fund (GCF) is the largest multi-lateral financial mechanism for climate 
investments, and as such, presents an opportunity to catalyze much-needed additional 
climate finance in Uzbekistan. However, since 2016, only one project
45
, worth USD 19 million 
(mobilizing USD 68.8 million from the IBRD) has been implemented. There already exists a 
tutorial for preparing a project proposal for the Green Climate Fund, tailored to Uzbekistan’s 
context, which can be promoted by the country’s national designated authority, the Ministry 
of Investments and Foreign Trade. 
International development partners are actively promoting both climate-related projects 
in Uzbekistan. The European Union supports several climate-relevant projects in Uzbekistan. 
For example, a sustainable development project in rural areas shares the experiences of 
food production and sustainability from EU rural and farming areas, and enhance living 
standards in six provinces. EBRD is supporting solid waste management and water reforms 
in Tashkent. 
The Ipak Yuli Bank has joined the EBRD’s pilot Green Economy Financing Facility 
(GEFF)
46
. Ipak Yuli Bank signed up as the first local partner, receiving a EUR 4.4 million 
EBRD credit line for on-lending to private companies. Loans will cover investments in 
green technologies, such as thermal insulation, photovoltaic solar panels, geothermal heat 
pumps and water efficient irrigation systems. Other climate-active international donors in 
Uzbekistan include UNDP, mainly medium-sized projects and small grants through GEF and 
the Adaptation Fund, focusing on energy efficiency in buildings. FAO supports projects on 
forests, agriculture and climate, and the World Bank and ADB cover – energy efficiency, 
renewable energy, rural housing, sustainable agriculture, climate mitigation, water supply, 
transportation and modernization of hydrometeorology services (ZOI, 2015).
Considering the increasing share of global ODA channeled towards environmental and 
climate-related objectives
47
in contrast to the apparent small share of climate-related ODA to 
Uzbekistan, there seem to be strong potential for ODA to more effectively support Uzbekistan 
financing its environmental priorities. This may require a better mapping of ongoing climate-
related support, how it aligns with government priorities and its development impact. This 
could be part of efforts for increasing aid effectiveness in the country.