IFC signs agreement to support geothermal in Bishkek, Kyrgyzstan

Signing of agreement between the Ministry of Economy and Commerce of Kyrgyzstan and the International Finance Corporation (source: Ministry of Economy and Commerce)

The Ministry of Economy and Commerce of Kyrgyzstan and the International Finance Corporation (IFC) have signed an agreement on the use of geothermal energy for heating and cooling initially in the capital city of Bishkek, and subsequently throughout the country. The IFC will support the project by facilitating financing from international partners to provide blended financing, provide technical assistance, and implement investment projects in the country.

The signing of the agreement is the beginning of an important stage aimed at introducing innovative solutions for energy supply in the country. The next step will be to identify and implement projects for private sector participation in scaling up geothermal energy in Kyrgyzstan, thus creating new opportunities for the development of infrastructure projects.

IFC, a member of the World Bank Group, is an international organization that, in accordance with its Articles of Agreement, seeks to facilitate the flow of, and promote the creation of conditions conducive to the flow of, private domestic and foreign capital into productive investment in member countries.

This is an interesting development for geothermal in Kyrgyzstan, which had not seen any significant activity for the better part of the last two decades.

Source: Ministry of Economy and Commerce