ISLAMABAD: The Asian Development Bank (ADB) and the government of Pakistan signed on Friday a $42.9 million loan agreement for upgrading water management and irrigation systems in Federally Administered Tribal Areas (Fata).

The loan is expected to increase farm productivity in the conflict-hit tribal region and income of growers.

The ‘Fata Water Resource Development Project (FWRDP), to be completed by 2020, will benefit 116,751 households, or approximately 1.4m people, in the three agencies of Fata and improve around 9,700 hectares of land.

The FWRDP promotes simple and small irrigation schemes that could be maintained by local communities.

Economic Affairs Division Secretary Mohammad Saleem Sethi and ADB Country Director for Pakistan Werner E. Liepach signed the agreement.

“The Fata Water Resource Development Project aims to reduce poverty and household vulnerability through development of irrigation systems and provision of irrigation water to farming families in Fata,” said Mr Liepach.

“The project will allow reliable supply of water to farmers, enabling them to produce high-value crops such as fruits and vegetables, thus improving income levels as well as food security for their families,” he said.

The livelihoods of the majority of Fata’s Bajaur, Khyber and Mohmand agencies’ 2.6m inhabitants depends on subsistence farming, raising cattle, and harnessing other natural resources.

“The FWRDP will help farmers make optimal use of surface water for irrigation purposes by building new infrastructure,” said Donneth Walton, ADB’s Principal Natural Resources and Agriculture Specialist.

Published in Dawn, April 18th, 2015

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