Centerra to increase financial revenue up to USD 150

Bishkek, Aug. 28, 2019. / Kabar /. Prime Minister of the Kyrgyz Republic Mukhammedkalyi Abylgaziev held a meeting on the working mechanisms of the Nature Development Fund and the Social Partnership Fund for the Development of Regions established under the Strategic Agreement between the Government of the Kyrgyz Republic and Centerra Gold Inc..
During the meeting, the Head of Government announced that the Strategic Agreement between the Government of the Kyrgyz Republic and Centerra Gold Inc. entered into force. He noted the great importance of Kumtor for the country's economy, whose share in GDP is about 9%, and about 18% in the total volume of industrial production. In the first half of 2019, Kumtor produced 9.37 tons of gold. Since the beginning of the year, the company has transferred taxes and obligatory payments in the amount of more than KGS 4.22 billion.
"The document that entered into force was signed on Sept. 11, 2017 and contains a list of mutual obligations that the parties had to fulfill. The total revenue under the Agreement until 2026 was USD 87 million. But our Government was not satisfied with the previously achieved volumes of financial revenues under the Agreement, and as a result of additional negotiations, this amount was increased up to USD 150 million, including funds for exploration," said Abylgaziev.
The prime minister paid particular attention to the fact that for the more than 22-year history of the Kumtor mine significant funds were allocated for environmental protection measures for the first time.
he said that only open joint work will increase the confidence of citizens in the activities of this largest production project, because all the processes around the Kumtor deposit have always caused wide public resonance.
During the meeting, Minister of Economy of the Kyrgyz Republic Sanjar Mukanbetov presented information on the further activities of the Fund for Social Partnership for the Development of Regions. The fund will finance investment projects to develop regions, support and create enterprises in the regions, implement infrastructure projects, support and finance green projects aimed at improving and maintaining the environment and increasing biodiversity.
Besides, Deputy Director of the State Agency for Environmental Protection and Forestry under the Government of the Kyrgyz Republic Eldiyar Sheripov told about the activities of the Nature Development Fund. The fund will support the efficient use of natural resources, finance environmental projects aimed at improving and improving the environment, supporting the environment and preserving natural resources.
Having listened to information on the ongoing work, Prime Minister Mukhammedkaly Abylgaziev emphasized the need to introduce modern and innovative approaches to the activities of the funds in order to efficiently and rationally use of means in an open and transparent environment.