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VEB.RF to finance BelAZ machinery supplies to Uzbekistan

Photo courtesy of BelAZ

MINSK, 7 December (BelTA) – The Russian bank VEB.RF will finance the supply of BELAZ equipment for the Almalyk Mining and Metallurgical Complex (Almalyk MMC) in Uzbekistan, BelTA learned from the press service of Bank BelVEB.

The financing is estimated at $59 million, the loan is provided for up to five years. The share of Russian components in the prime cost of the equipment is over 30%. This is a necessary condition for VEB.RF to participate in the project financing.

The interest rate on the loan will be subsidized by the Belarusian budget. Bank BelVEB will act as the agent of the government of Belarus.

“This project will mark a successful start of a new form of cooperation to promote the export of Russia-Belarus products to third countries. This project continues long-term cooperation of banks and demonstrates that governments have a great number of tools to promote joint products. We see an increasing demand for our export support services and in the near future we have plans to implement similar projects with other Belarusian producers,” Vasily Matyushevsky, Chairman of the Board of Bank BelVEB, said.

Almalyk MMC is one of the largest mining and metallurgical companies in Uzbekistan. It accounts for about 90% of silver and 20% of gold produced in the country. It is also Central Asia’s biggest copper producer.

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