One of Austria’s largest banks, UniCredit, provided 7.9 million euros in a soft loan to Uzbekistan, Dunyo news agency said in a statement. The loan is intended to be used to equip agricultural enterprises with modern technologies of the Austrian company Bauer Gmbh for rain irrigation, the statement added.

The Uzbek Ambassador to Austria, Abat Fayzullaev, held talks in Vienna with the directors of departments of UniCredit Bank Marion Christen and Reinhard Posch to discuss this project.

The project’s contract was previously signed by the Ministry of Agriculture of Uzbekistan and the Austrian side. The parties reached an agreement on opening a preferential credit line to finance the modernization of the agricultural sector through the transfer of Austrian technologies.

At the meeting, they also discussed the expansion of cooperation in the banking and financial sector, attracting export and investment financing and "soft-loans" of the Austrian government to the Uzbek economy.

According to the agency, Marion Kristen emphasized the opportunities provided by Austrian financial institutions and soft credit lines for the transfer of technologies and innovations, in particular, the projects implemented jointly with the Austrian Control Bank (OeKB) to provide "soft-loans" with a minimum and even zero interest rate for social projects in Uzbekistan.

The head of the department at UniCredit announced the readiness of the Austrian bank to consider commercial export credits with the participation of Austrian companies, in which the share of goods and services of Austrian origin exceeds 50%.

Reportedly, in accordance with international standards, UniCredit finances up to 85% of the project cost, the remaining 15% is carried out at the expense of the importer's own funds.