Kyrgyzstan, UAE set up joint venture

BISHKEK. Nov 2 (Interfax) - Kyrgyzstan and the United Arab Emirates (UAE) have formed a joint holding company with an authorized capital of $100 million with a possibility of increasing it to $1.2 billion, the Kyrgyz president's press service stated on Monday.

"The talks between Kyrgyz President Sadyr Japarov and UAE President Sheikh Mohamed bin Zayed Al Nahyan resulted in the signing of a bilateral agreement to establish a joint holding company in Kyrgyzstan," the statement said.

The aim of the new company, set up in partnership with the Abu Dhabi Fund for Development, is to implement various commercial development projects worth up to 1.2 billion, the service said.

Japarov is in Abu Dhabi on a working visit.

"As well as funding, the Emirati side also brings in its business competence. The company will be managed under the corporate governance principles through the application of the best Emirati business practices. Top-notch foreign managers will be enlisted to develop and manage projects," the statement said.

The money is expected to be used towards major development projects such as the construction of transport and logistics hubs, IT innovation, energy, food security, building joint recreational areas and new cities, the press service said.