The Asian Infrastructure Investment Bank (AIIB) on Dec. 19, 2024 approved a multiphase program with a total financing envelope of USD500 million, and Phase 1 Loan of USD270 million, to support Tajikistan in completing the Rogun Hydropower Plant Project (Rogun HPP).
With a projected installed capacity of 3,780 megawatts, Rogun HPP will provide improved electricity access to about 10 million people in Tajikistan, alleviating persistent winter power shortages.
Cofinanced with the World Bank and with potential additional contributions from a global consortium of donors, the project aims to enhance the supply of clean, affordable, climate-resilient hydroelectricity for Tajikistan and the broader Central Asia region.
Central Asia’s energy demand is expected to grow by 40% by 2030 and triple by 2050, meaning the region urgently requires the development of renewable energy. Rogun HPP will increase the reliability and decrease the cost of electricity supply. The project addresses factors that hinder industrial productivity, including winter blackouts that impact residents’ lives and the overall investment climate.
“This project will significantly contribute to the green energy transition and energy security of Central Asia,” said Konstantin Limitovskiy, AIIB Chief Investment Officer, Public Sector (Region 2) & Project and Corporate Finance (Global) Clients. “Investing in sustainable energy infrastructure is not merely about meeting today’s demands, but about empowering future generations with clean, reliable power that drives transformative growth, strengthens resilience and unlocks the full potential of the region. This project is a testament to AIIB's unwavering commitment to Financing Infrastructure for Tomorrow.”
Tajikistan is ranked eighth in the world for hydropower potential, but only about 4% of this potential is currently exploited. Rogun HPP will play a critical role in decarbonizing electricity grids across Central Asia, supporting the region in meeting ambitious Nationally Determined Contributions targets. By providing affordable renewable energy, storage solutions and balancing services, it will also facilitate the integration of large-scale solar and wind power, making the region’s electricity supply cleaner and more reliable.
More information about this project can be found here.
About AIIB
The Asian Infrastructure Investment Bank (AIIB) is a multilateral development bank whose mission is Financing Infrastructure for Tomorrow in Asia and beyond – infrastructure with sustainability at its core. We began operations in Beijing in 2016 and have since grown to 110 approved members worldwide. We are capitalized at USD100 billion and AAA-rated by the major international credit rating agencies. Collaborating with partners, AIIB meets clients’ needs by unlocking new capital and investing in infrastructure that is green, technology-enabled and promotes regional connectivity.