The delegation of Ministry of Economy and Finance of Uzbekistan held a meeting with senior project director of the German Agency for International Cooperation (GIZ) Ilka Starrost on 13 November within the 29th session of the UN Conference of Parties on Climate Change (COP29) in Baku.
The ministry press service said that the sides discussed the current status of the joint projects, in particular, the project “Promotion of the private sector and economic policy advice in Uzbekistan”, signed in December 2023.
The project has helped the government to implement economic reforms and provide conditions for sustainable economic development, with a particular focus on strengthening public and private sector capacity for green industrialization and green economy. A total of €9 million of German funds have been attracted within the framework of this project.
The project will also provide expertise on carbon emissions measurement and certification, support Uzbekistan’s participation in international carbon trade, and adaptation to the EU Carbon Border Adjustment Mechanism (CBAM). The private sector will be supported in adapting green technologies for resource-efficient, sustainable production, e. g. through circular economy models and green industrial parks.
A memorandum was signed between the parties on the allocation of additional €3 million for the project.
Earlier, deputy minister of energy Umid Mamadaminov announced that Uzbekistan planned to develop the legal framework for carbon market operations and carbon pricing mechanisms by the end of the year.
In June, Uzbekistan became the first country globally to receive a payout from the World Bank for reducing carbon emissions. The country successfully cut carbon emissions by 500,000 tons, earning a $7.5 million grant from the World Bank as part of a previously signed agreement, with the total amount potentially rising to $20 million. Part of these funds will be allocated to financially support families most affected by rising electricity and gas tariffs.
