Azeri iodine plant - is this local development? - EBRD AGM Issue Paper

In 2008 the European Bank for Reconstruction and Development (EBRD) approved a USD 15 million senior loan for the USD 17 million Azer-Yod LLC iodine manufacturing project in Azerbaijan. While the majority of the plants products will be exported, the lives of locals are made worse than they already are because of environmental problems caused by the iodine plant.

The plant is located near Hasanabad, in the Neftchala district, 175 kilometres from the capital of Azerbaijan, Baku. The Neftchala district has been experiencing frequent disruptions of water and electricity supplies. The gas supply has also been unreliable, especially in winter, due to low gas pressure. As a result of these complications inhabitants are abandoning the countryside and moving to the city in pursuit of better living conditions.