EBRD Supports Uzbekistan’s Irrigation Modernization with $250 Mln Loan
Uzbekistan received a sovereign loan of up to $250 mln from the European Bank for Reconstruction and Development (EBRD) to modernize irrigation water conveyance (IWC) systems across 10 regions. The project will build on the ongoing Phase I, which focuses on modernizing 118 pumping stations in the Fergana Valley.
The goal of the project is to improve energy and water efficiency, enhance resilience to climate change, and expand access to reliable water for irrigation. It is expected to boost economic opportunities for farmers and contribute to climate change mitigation through energy savings and reduced GHG emissions.
The total cost of the project is $287.1 mln, with the EBRD financing $250 mln. This funding will help close the financial gap and support the modernization of Uzbekistan’s irrigation infrastructure.
The project includes measures to address environmental and social risks, such as land acquisition and waste management. It also aims to ensure the inclusion of local communities through a Stakeholder Engagement Plan and compensation for affected parties.
