Eximbank of China allocated US$41.7 million to Uzbekistan to build a plant of potash fertilizers, Reuters reported in Russian quoting the source Uzpromstroybank (Uzbek Industrial and Construction Bank).

The source said the credit agreement was signed between the Chinese and the Uzbek banks at the end of last week.

The credit was presented on soft terms for 20 years under the guarantee of the Uzbek government. The credit was issued within China’s US$900 million programme of crediting the SCO member-states.

In October, Uzkhimprom (Uzbek Chemical Industry) said the Russian ZAO Zapadno-Uralskiy Mashinostroitelniy Concern and Chinese CITIC Pacific Ltd will build potash fertilizers plant in the south of Uzbekistan. The capacity of the plant will be 200,000 tonnes of potash fertilizers per year. Tyubegatan potassium salts deposit will serve as the base.

Uzbekistan Fund for Reconstruction and Development and Uzkhimprom will finance uS$123.7 million to construct this plant.