The Asian Development Bank approved a loan of $48 million in November to modernize Georgia‘s irrigation systems for agriculture and to support institutional reforms.
The Climate Smart Irrigation Program, ADB’s first engagement in the Caucasus agriculture sector, aims at increasing climate resilience and productivity. It will provide a modernized irrigation network covering approximately 7,000 hectares in the Kvemo Samgori irrigation system area in the agricultural region Kakheti.
“Georgia’s agriculture sector has enormous potential to develop and increase its share of the economy,” said ADB Central and West Asia Director General Yevgeniy Zukov. This new program will help Georgia improve its agriculture systems, increase food security, and provide trade opportunities for local residents.
The program will help the Government of Georgia achieve its goal of improving policy and institutional frameworks for sustainable water resource management and an efficient state owned enterprise for delivering irrigation service.
The policy-based loan includes actions to improve governance and management in order to increase accountability, transparency and efficiency of Georgian Amelioration’s irrigation service delivery. Pricing and contracting will improve the efficiency of water use, and financial sustainability of irrigation system. Improving the legal and institution framework will help ensure sustainable water management.
The sector development program modality has been used to meet parallel requirements for development financing, reforms in policy, and targeted project funding. The policy and investment components are designed to complement each other, maximizing the value of ADB.
The Kvemo Samgori irrigation system will be modernized by building a combined closed pipe network and an open network of irrigation water conveyance, with a total of approximately 630 kilometers. This will replace the existing open canal system.
The program will assist farmers in modernizing and improving their irrigation and agricultural production techniques for high-value crops such as grapevines. The program will help farmers improve their irrigation and agricultural production technologies for high-value crops like grapevines.
The program will increase farmland production through innovative agriculture production and irrigation technology, said ADB’s Principal Water Resources Specialist. “At least 1,000 farms will benefit from cutting-edge irrigation technologies, such as drip and spray irrigation systems. This will increase their trade opportunities.”
The program is aligned to the Georgian Government’s Agriculture and Rural Development Strategy 2021-2027 and Irrigation Strategy 2017-2025.
ADB has been supporting Georgia since 2007. It is one of its largest multilateral partners. ADB sovereign and sectoral loans to Georgia amount to $3.9 billion. The bank‘s main development priorities in Georgia are to foster inclusive and sustainable growth, reduce poverty, enhance regional connectivity, and improve public service delivery.
ADB is committed in its efforts to eradicate poverty and achieve a prosperous, inclusive and resilient Asia and Pacific. It was founded in 1966 and is owned by 68 member countries, 49 of which are from the region.
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