Saudi Arabia to loan $130 mln to Kyrgyzstan for low-income housing and road projects

Saudi Arabia agreed on Monday to provide loans worth $130 million to Kyrgyzstan to develop low-income housing and roads in the central Asian nation.

A loan of $100 million was provided in order to construct 3,000 housing units for low-income families over an area of 255,000 square meters, the Saudi Fund for Development (SFD) said in a statement.

The remaining $30 million will be allocated to funding the Taraz-Talas Road Project, reconstructing 93 kilometers of highway.

SFD CEO Sultan al-Marshad signed the agreements on Monday in the Kyrgyz capital Bishkek along with Kyrgyzstan finance minister Almaz Baketaev.

Saudi Arabia “attaches great importance to supporting the development sectors in the Republic of Kyrgyzstan through development projects and programs financed by the Saudi Fund for Development that aim at achieving sustainable development goals (SDGs),” al-Marshad said in the statement.

Baketaev expressed his gratitude towards the Kingdom for supporting various developments in the country.

The SFD has provided 10 soft development loans to Kyrgyzstan with a total value of $330 million since 2011, along with a grant of $4 million.