Delegation of the Ministry of Economy and Finance signed a memorandum with the German Society for International Cooperation (GIZ) on the allocation of an additional grant as part of a project to assist the private sector in "green" industrialization, the press service of the Ministry of Economy and Finance said.

At the 29th session of the UN Climate Change Conference (COP29) on Wednesday, the parties discussed the progress of projects, in particular the work on the project "Support for the private sector and advice on Uzbekistan's economic policy", which was signed in December 2023.

Then, Germany contributed 9 million euros in a grant to support the transition of the private sector to a green economy and promote green industrialization in Uzbekistan.

Project participants will be trained in measuring and certifying carbon dioxide. In addition, the German agency will provide support to Uzbekistan in trading CO2 certificates abroad and helps adapt to the EU cross-border carbon management (CBM) system.

Following the meeting, the parties agreed to provide an additional grant of 3 million euros as part of this project.

Earlier, Deputy Energy Minister Umid Mamadaminov said that by the end of the year, Uzbekistan plans to develop a legal basis for the carbon market and carbon pricing mechanisms.

In June of this year, Uzbekistan was the first in the world to receive a payment from the World Bank for reducing carbon dioxide emissions. Uzbekistan managed to reduce carbon emissions by 500 thousand tons, for which the World Bank, as part of a previously entered into a deal, paid the country a grant of 7.5 million dollars (in the future, its size may increase to $20 million). Part of these funds will be used to provide financial assistance to families who were most affected by the increase in electricity and gas prices.