| Project Detail |
Project Description
The provision of a sovereign loan of up to EUR 15 million to the Republic of Serbia to finance priority irrigation infrastructure in Serbia. The proceeds of the loan will finance construction/rehabilitation of primary irrigation infrastructure in central Serbia (Negotin and Svilajnac regions) and the rehabilitation of two accumulation lakes in Vojvodina (the "Project"), as well as support in Project implementation and supervision of works.
Project Objectives
Contribution to upgrade the countrys water and irrigation infrastructure to increase Serbias resilience to climate change risks, as Serbias vulnerability to climate change is expected to increase (according to recent estimates, 30 per cent of the total country area and 52 per cent of agricultural land is vulnerable to rainwater related flooding or water logging). Additionally, the rehabilitation of Serbias aged irrigation and water infrastructure is expected to contribute to water and energy savings.
The Project will be implemented by a Project Implementation Unit composed of representatives of the Ministry of Agriculture, Forestry and Water Management of the Republic of Serbia (MAFWM), the Provincial Secretariat of Agriculture, Forestry and Water Management, Public Water Management Companies "Vode Vojvodine" and "Srbijavode", and managed by the Water Management Directorate of MAFWM.
Transition Impact
Moderate Good
The transition impact of the project is expected to be focused on increasing resource efficiency and climate resilience, as well as on improving competitiveness of the sector.
1. Improved resource efficiency and climate resilience
The Project is expected to reduce Serbias vulnerability to the impact of climate change risks. Serbia is facing continuing temperature increases and more frequent and prolonged drought. Additionally, its outdated and inefficient water supply system is amajor barrier to efficiency and sustainability of irrigation system. Upgrading the irrigation system will contribute to increase the efficient use of valuable resources as well as enhance the countrys climate resilience.
2. Enhanced competitiveness
Upgrade of the irrigation system is expected to contribute to more productive farming in order to meet requirements of higher productivity and sustainable crop farming while maintaining environmental sustainability. |
