World Bank to lend Uzbekistan $200 mln to modernize irrigation infrastructure
TASHKENT. May 21 (Interfax) - The World Bank has approved a $200 million concessional credit to support Uzbekistan in modernizing its irrigation and drainage infrastructure and improving the quality of irrigation service delivery, the World Bank said in a press release.
The project aims to reduce water losses and increase the energy efficiency of irrigation systems across five regions of the country, it said. Uzbekistan's government will provide $23.2 million in co-financing.
The Water Resources Ministry will lead the implementation of project activities in the Republic of Karakalpakstan, Bukhara, Kashkadarya, Namangan, and Surkhandarya regions. These efforts are expected to deliver significant improvements through modernizing irrigation and drainage infrastructure and services by 2031.
"This project marks the first phase of a World Bank-supported regional program designed to help Central Asian countries improve water efficiency and conservation across the region," the World Bank said.
It said Uzbekistan's arid climate made irrigation essential for agriculture, which contributes approximately 25% of national GDP and total employment. The sector draws most of the water from the Amu Darya and Syr Darya rivers and is delivered to farms through an extensive irrigation network. Agriculture accounts for about 90% of the country's water consumption, making efficient water use crucial.
"Water scarcity is expected to significantly worsen in Uzbekistan, driven by reduced glacier-fed water flows, increased evapotranspiration, erratic rainfall, and more frequent droughts. These changes are expected to reduce water availability by 30%-40% and increase irrigation demand by 25%, putting greater pressure on water resources," the World Bank said.
Much of Uzbekistan's irrigation infrastructure is outdated and leads to significant water losses, uneven water distribution across regions, and inadequate service delivery for farmers, it said. Additionally, approximately 2.4 million hectares of agricultural land, accounting for 56% of Uzbekistan's total irrigated area, depend on pumps for water supply. The 1,700 pumping stations used for irrigation consume about 7.2 billion kWh of electricity annually, or 16% of national electricity use.
"Through this project, the World Bank is proud to support the implementation of Uzbekistan's 2020-2030 Concept for Developing the Water Resource Management Sector, which aims to expand water- and energy-efficient infrastructure nationwide," Tatiana Proskuryakova, World Bank Director for Central Asia, was quoted as saying.
Uzbekistan is a one of the largest recipients of aid from the World Bank. Its portfolio of projects currently exceeds $12 billion. The current partnership program to 2026 includes priority projects totaling $4 billion.
The World Bank supports reforms in healthcare, education, agriculture, banking, energy, transport, digital transformation and other areas in Uzbekistan.
