ADB Grants $71m for Bangladesh's Climate-Resilient Water Management
The government of Bangladesh and the Asian Development Bank (ADB) have finalized a loan agreement worth $71 million for the Climate-Resilient Integrated Southwest Project for Water Resources Management. The initiative is set to be carried out by the Bangladesh Water Development Board under the supervision of the Ministry of Water Resources. This undertaking is designed to enhance socio-economic conditions in the southwest region by bolstering agricultural and fisheries sectors, upgrading drainage systems, and establishing integrated water resource management and participatory water management plans.
Expected to benefit over 600,000 individuals, the project will introduce climate-resilient flood control, drainage, and irrigation measures to reduce the impact of saline intrusion in the rural areas of Gopalganj and Madaripur districts. Moreover, it will foster the establishment of Water Management Organizations (WMOs), which aim to include women's participation, to sustain the benefits of the project through local ownership.
The loan is to be repaid over a 25-year period, with a 5-year grace period and a fixed interest rate of 2%. The total ADB financial assistance to Bangladesh, including this loan, amounts to approximately $31.5 billion in loans and $571.2 million in grants. These funds are directed towards various sectors, including power, energy, transport, education, health, and governance.
