FRANKFURT — KfW IPEX-Bank, a prominent German financial institution specializing in commercial financing, has significantly bolstered its investment portfolio in Uzbekistan, marking a strategic expansion in Central Asia.

According to Trend News Agency, Dela Strumpf, a spokesperson for KfW IPEX-Bank, reported that the bank’s total investments in Uzbekistan have reached approximately 700 million euros. This investment is part of a broader engagement by KfW Bankengruppe in Uzbekistan, where all its divisions are actively involved, including DEG and KfW Development Bank. The total portfolio of KfW Bankengruppe in the country stands at 1.7 billion euros.

Strumpf highlighted the bank’s ongoing efforts to explore new opportunities in Uzbekistan, particularly in sectors critical to Germany’s raw materials security such as energy, infrastructure, mobility, industry, and commerce. There is a growing demand in Uzbekistan for advanced energy solutions including wind power, solar energy, and hydrogen technologies, as well as water and waste management infrastructure.

The bank is also supporting Uzbekistan’s initiatives to enhance its role in the Middle Corridor, aiming to improve logistics and transportation networks across the region. “We provide direct corporate financing to our clients and engage in project financing, collaborating with international financial institutions and maintaining our involvement in on-lending frameworks (bank-to-bank),” Strumpf explained.

Additionally, a recent collaboration between KfW IPEX Bank, AKA Bank (Germany), and Uzbekistan’s Almalyk Mining and Metallurgical Combine (AMMC) has led to the signing of an agreement to construct a new copper smelting complex in Uzbekistan, with the German banks committing 146 million euros for the first tranche of the project.