According to Deputy Minister of Transport and Communications Almaz Turgunbaev, the loan is provided for 25 years with a five-year grace period at 1.5 percent per annum. A grant element makes up 35 percent of the total loan amount, making the financing terms highly preferential.

The official noted that the total cost of the project is estimated at $5 billion. The lion’s share of the funds—$4.7 billion—will be used for the construction of the section passing through Kyrgyzstan. Uzbekistan mostly has existing railway infrastructure; only repair work is planned.

To implement the project, the three countries established a joint venture. Kyrgyzstan’s financial share is 24.5 percent. Bishkek will cover its share through the state budget and a loan from China, which will finance the project equally.