DONOR CREDIT LINES AND THE GREEN LENDING CAPACITY OF LOCAL BANKS: THE CASE OF UZBEKISTAN

Abstract

This paper examines the role of donor credit lines in financing green projects in Uzbekistan and the green-lending capacity of local commercial banks. The analysis shows that green lending is carried out mainly through an “international organization, commercial bank, borrower” chain — that is, on the basis of donor capital. Loans extended under the EBRD GEFF programme to Ipak Yuli Bank and Hamkorbank over several years demonstrate the expansion of this process; the ADB, the AFD and the World Bank provide complementary lines. Uzbekistan's normative framework (Resolution PQ-4477, the National Green Taxonomy) supports this process. The absence of a separate “green credit” statistical category indicates an opportunity to develop local capacity and statistical infrastructure. The paper frames the shift from donor partnership toward independent local capacity as a strategic direction.