Contacts
In Washington: Michael Jones, 1(202) 473-2588
Mjones2@worldbank.org In Tashkent: Matluba Mukhamedova, (998 71) 238 59 50
mmukhamedova@worldbank.org World Bank approves US $ 65.54 million credit to Republic of Uzbekistan to improve agricultural production in Ferghana Valley WASHINGTON, September 24, 2009 – The World Bank’s Board of Directors today approved a US$65.54 million credit to the Republic of Uzbekistan though the International Development Association (IDA) – the World Bank’s fund for the poorest countries. The Ferghana Valley Water Resource Management Phase-I Project will improve drainage of excess water in an effort to improve agricultural production in areas affected by water-logging, which occurs when the water level is too high. The project will also reduce damage to housing and infrastructure from rising ground water levels and damage from high salt content in the water. In the Ferghana Valley, the land is so highly irrigated that the water table is right up near the surface. The problem is that the water absorbs salt as it rises, and high levels of salt in the top layers of soil mean that nothing can grow. Farmers try to wash the salt away, but this only continues the cycle, making improved drainage essential not only for crops but also for infrastructure, which gets damaged by flooding. “The rise of the ground water table close to the surface of the soil in some parts of the Ferghana valley has created significant economic damage and human suffering,” added Loup Brefort, the World Bank’s Country Manager for Uzbekistan. “Many fields and family fruit and vegetable gardens are waterlogged, preventing the growth of crops for sale to market or for family consumption, and buildings including schools and medical centers, are flooded and badly damaged. This drainage project is not just about rehabilitation of physical infrastructure, but about improving the livelihood and living conditions of the people in these parts of the Fergana Valley.” Ferghana Valley is the most highly populated area in Central Asia, with great potential for economic development. The project is the first phase of a long-term program in water management in the Valley, and will help to address the most pressing problems of insufficient drainage in the three districts of Rishtan, Baghdad and Altyarik. The project will help to lower the ground water table and therefore soil salinity in the project area. The project beneficiaries are farmers -- 96% of whom are small subsistence farmers with average land holdings of 0.2 ha. The project will also help to prevent flooding in cities in the affected area. The three main components of the project will improve the irrigation and drainage network,
support capacity building with public institutions and private farmers organizations, and will cover costs of project management, including monitoring and evaluation of project impact. Total project cost is estimated at US$ 81.85 million. Out of the total cost, IDA will finance US$65.544 million on the following terms: maturity = 35 years; grace period = 10 years. The remaining USD 15.5 million will be financed by the Government of Uzbekistan. Uzbekistan joined the World Bank in 1992. The World Bank’s mission in the country is to improve people’s livelihoods by being a partner in economic reforms, supporting the modernization of the country’s social sectors and infrastructure, and sharing its knowledge and experience with the government and the people of Uzbekistan. Total World Bank commitments to Uzbekistan amount to about US$ 750 million. *** For more information, please visit
http://www.worldbank.org.uz |
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