SFD to provide USD 100 mln loan to Kyrgyzstan for housing program

Bishkek, June 12, 2023. / Kabar /. The Committee on International Affairs, Defense, Security and Migration of the Kyrgyz Parliament considered the draft law “On ratification of the Loan Agreement between the Kyrgyz Republic and the Saudi Fund for Development (SFD) for the project “Housing Finance in the Kyrgyz Republic”.

Deputy Minister of Economy and Commerce Choro Seyitov noted that the Saudi Fund for Development will provide a loan in the amount of 375.0 million Saudi riyals (equivalent to $100.0 million) for the implementation of the project "Housing Finance in the Kyrgyz Republic" for a period of 25 years with a 5-year grace period with a loan commission of 1.5% per annum.

The program provides for the construction of 3,000 affordable housing units with an area of 40 sq. meters up to 85 sq. meters per unit. Completion of the project is expected by the end of 2028.

State Mortgage Company OJSC will be the operator of the attracted financial resources, provide land plots and finance the construction of affordable housing for subsequent leasing with subsequent purchase by citizens of Kyrgyzstan under the My Home 2021-2026 Program.

Following the discussion, the draft law was approved in the first reading.