M a r k e t N e w s
Ethiopia Secures U.S.$114 Million Funding for Small-Scale Irrigation Program
Posted on : Thursday, 8th December 2016
Ethiopia has secured a 114.5 million dollars loan agreement from the International Fund for Agricultural Development (IFAD). The money will be spent on developing small-scale irrigation systems in rural Ethiopia. The project is expected to impact 108, 170 households. Kanayo F. Nwanze, president of IFAD, and Mulugeta Alemseged, Ethiopian Ambassador to Italy, signed the loan agreement in Rome, Italy.
The money will be used for the execution of the second phase of the Participatory Small-Scale Irrigation Development Program (PASIDP). The Program is expected to develop 15,000ha of small scale irrigation schemes in four regional states of Amhara, Oromia, Tigray and Southern Nations, Nationalities and People's Region. The Program is expected to create 15,000 new jobs.
The whole program is worth 145.3 million dollars.
The remaining amount is expected to be financed from grants, the Ethiopian government, and the beneficiaries themselves. Moreover the Adaptation for Smallholder Agricultural Program (ASAP) trust fund will provide additional 11 million dollars grant. This particular fund will be used to provide means to smallholder framers to adapt and mitigate the impacts of climate change.
Since 1980, IFAD has financed 18 rural development programs and projects that worth 1.3 billion dollars.
The PASIDP is expected to provide secure irrigation production systems for farmers, increase their resilience against external shocks including drought, and link them to markets.
Source : allafrica.com
