The European Bank for Reconstruction and Development (EBRD) is providing $152m to Kazakhstan’s national rail company, Kazakhstan Temir Zholy (KTZ) which will go towards the purchase of equipment for logistics and infrastructure maintenance.Â
This loan is the EBRD’s largest in Kazakhstan to date. Janet Heckman, EBRD director for the country, said that the funding "is particularly significant for the EBRD as it is the first large local currency loan by the bank under the new local currency facilities granted by the National Bank of Kazakhstan".Â
KTZ is a joint stock company that manages the country’s railway system and also operates passenger and freight rail services, handling about half of all rail freight in the country.Â Â
The loan will be made to KTZ and its subsidiaries, KTZ Express and Lokomotiv.Â
Since the beginning of its operations in Kazakhstan, the EBRD has invested close to $6.5bn in the country’s economy with more than half of the bank’s projects supporting the private sector.