The funds will be used to establish an investment company and to build a gas chemical plant and an airport.
On February 3, the Government of Turkmenistan and the Abu Dhabi Fund for Development (ADFD) signed three memoranda of understanding worth up to US$ 393 million. The documents are aimed at strengthening economic cooperation between the two countries through investment, Emirates News Agency reports.
The 1st MoU involves the establishment of an investment company in Turkmenistan with a target capital of AED 370 million (about US$ 100 million). At the initial stage, the Abu Dhabi Fund for Development and the Government of Turkmenistan will equally contribute AED 58.7 million (US$ 16 million). The funds will be used to implement projects in the energy sector, agriculture, tourism and industry.
The 2nd MoU provides for the possibility of financing the construction of a gas chemical plant that will produce polyvinyl acetate. The cost of the project reaches AED 642.7 million (US$ 175 million). US$ 18 million will be invested in the construction of a NPK fertilizer plant.
The 3rd MoU provides for the possibility of financing the construction of an airport in Jebel village, Balkan velayat worth up to US$ 75 million and a number of renewable energy projects worth up to US$ 25 million.
Director-General of the Abu Dhabi Fund for Development Mohamed Saif Al Suwaidi and Chairman of the Board of the State Bank for Foreign Economic Affairs of Turkmenistan Rahimberdi Jepbarov signed the memoranda of understanding.
The Abu Dhabi Fund for Development is a strategic partner of Turkmenistan for about 20 years. It has financed the reconstruction of the Archman hospital and the construction of a specialized hospital in Ashgabat at a total cost of about AED 182 million (about US$ 49.6 million).
