EBRD to finance 18 projects in private sector of Azerbaijan in 2008

Interfax-Azerbaijan reports that the due announcement was made by head of EBRD Azerbaijan office Francis Deley.

"We plan to allocate a total of $140,000,000-180,000,000 for projects in the private sector in 2008. These are projects in the sphere of production, infrastructure, entrepreneurship development, banking activity and microcrediting", Deley said.

In particular, $60,000,000 will be used to finance projects in the banking sector and microcrediting, including mortgage-lending, crediting of small and middle entrepreneurship. According to him, there is a plan to implement 8 projects in the entrepreneurial sector in 2008.

He said the EBRD is interested in crediting large infrastructural projects in the sphere of motor and railway roads by Azerbaijan.

According to Deley, the EBRD has proposed to the government of Azerbaijan to finance the construction of a highway from Khachmaz to the Russian border, as well as highways in Baku. At the same time the projects will be financed in cooperation with the European Investment Bank (EBRD structure). "We expect the conclusion of the government on these projects", Deley said.

He noted that the government of Azerbaijan estimates the complete modernization of country's railroad at $1,200,000,000-1,400,000,000. The first phase is estimated at $700,000,000 including a credit of the World Bank of $450,000,000.

"We are ready to participate in the implementation of the second phase. The amount of credits for motor and railway projects will depend on the government's interests. We have no limit on crediting such projects", the head of the representation said.