In an interview with 24.kg, Jeng Wu, the director of the Asian Development Bank (ADB) for Kyrgyzstan, discussed the future of financial assistance to the republic following the bank's reforms. He noted that Bishkek has a unique opportunity to become the energy center of Central Asia.
Financial Support from ADB
— How long has ADB been cooperating with Kyrgyzstan and what is the amount of support?
— ADB has been an important partner of Kyrgyzstan since 1994. As of December 31, 2024, the total volume of support, including loans, grants, and technical assistance, amounted to approximately $2.9 billion.
— What are the terms of the loans?
— ADB offers a variety of financing forms, including concessional loans from the Asian Development Fund, which serves as the main source of assistance for the poorest countries. The terms are usually as follows:
- loan term — up to 32 years;
- grace period — 8 years;
- interest rate — 1% during the grace period and 1.5% thereafter.
These terms are among the most favorable that countries can receive from international financial organizations. However, specific parameters depend on the source of funding.
ADB Priorities in Kyrgyzstan
— What key areas do you identify for Kyrgyzstan?
— We are actively working with local communities to ensure access to water and sanitation services. Recently, we visited the wastewater treatment facilities in Balykchy — this is one of our significant projects.
Additionally, we are actively involved in projects in the fields of energy, transport, agriculture, and education.
We plan to continue cooperation with the government of the Kyrgyz Republic and local communities in the area of climate change adaptation, as well as within the framework of regional cooperation.
Unique Features of Kyrgyzstan
— What can you say about cooperation with Kyrgyzstan?
— Kyrgyzstan has unique characteristics:
I have lived in Bishkek for two years and I note that the locals are very friendly; I enjoy communicating with them.
Why is there potential but no growth? Diagnosis from ADB
— How can Kyrgyzstan transition from the group of low-income countries to the group of middle-income countries?
— We are here to help the country in its development. This depends on three main factors:
- infrastructure,
- institutions,
- people.
Before launching any project, we analyze how its implementation will affect the strengthening of government institutions and the lives of people.
In recent years, Kyrgyzstan's economy has seen noticeable growth, especially during the period from 2022 to 2024.
We continue to attract resources for concessional loans and grants, particularly in rural areas, to improve living conditions.
Kambar-Ata-1 Hydropower Project and Regional Energy
— ADB fully supports the construction of the Kambar-Ata-1 hydropower plant. This project is strategically important for strengthening energy security in Central Asia and will provide water sustainability for Uzbekistan and Kazakhstan.
Reference 24.kg
The projected capacity of the Kambar-Ata-1 hydropower plant will be 1900 megawatts. For comparison, after modernization, the capacity of the Toktogul hydropower plant will reach 1440 megawatts.
Since 2023, the volume of ADB projects in Kyrgyzstan has significantly increased. We anticipate that by the end of 2025, the total amount of financing will exceed $1 billion. Kyrgyzstan has significant potential to become a regional hub in the fields of energy and transport, which also applies to tourism, in which we plan to invest.
I am confident that the income level in the country will gradually increase. Kyrgyzstan has a young generation with good skills and a desire for change. It is important to make the most efficient use of its resources and advantageous geographical location.
Dynamics of ADB's Project Portfolio in Central Asia
— Why is Kyrgyzstan's project portfolio smaller compared to other Central Asian countries?
— The smallest volume of projects is observed in Tajikistan. The largest financing is provided in Kazakhstan and Uzbekistan, primarily due to the economic scale of these countries.
The Future of Kyrgyzstan: ADB's Perspective
— What recommendations would you give to Kyrgyzstan?
— First of all, the country needs to increase the participation of the private sector, which is a key source of quality jobs. I am not calling for a sharp increase — a gradual increase in its share is sufficient for it to become the "driving force" of economic development. I would like the government to engage more actively with business and create conditions for its sustainable development.
The second aspect is attention to ecology and climate. Kyrgyzstan has enormous natural potential, but it is important to change the approach to resources and adaptation to climate change. Every ADB project undergoes an assessment for climate risk resilience: we ensure that new infrastructure can withstand future climate challenges. This applies to both water resources and energy and urban development.
We also continue to attract resources from the Global Climate Fund to support the country in transitioning to a more sustainable development model.
As I mentioned, Kyrgyzstan's geographical location allows it to become a potential regional hub, which enhances its participation in regional cooperation. With the right approach, focusing on the private sector and climate resilience, Kyrgyzstan can significantly accelerate its development.
Future ADB Projects in Kyrgyzstan
— What new initiatives and projects does ADB plan to implement in the country?
— In 2025, we plan to launch the "Green Transformation of Public Buildings" project, which will aim to improve their energy efficiency. We want to support the government of Kyrgyzstan in this direction, which is also related to the concept of a green economy.
Additionally, we have approved a program for affordable housing, which will be related to the construction of housing by the State Mortgage Company. Implementation will begin at the end of the year with the allocation of $65 million. The program is aimed at families with incomes above the poverty level but not reaching the middle level.
Jeng Wu's Professional Path at ADB
— When did you start working as the ADB director in Kyrgyzstan? Tell us about your professional experience and education.
— I have held this position since July 28, 2023. I have been working in the field of planning, development, and financing of infrastructure for over 20 years, including about 14 years at the Asian Development Bank.
Before my appointment in Kyrgyzstan, I served as the head of the transport and communications department in the Central and West Asia Department of ADB and led the project administration department of the bank's representative office in Pakistan.
I received my education in several countries:
