ISLAMABAD: The Punjab government is seeking a loan of $250 million from the International Development Association of the World Bank for a project to improve water productivity in central and southern parts of the province, it is learnt.

The improved water productivity will translate into greater agricultural output per unit of water used and will be achieved through improved physical delivery efficiency, irrigation practices, crop diversification and effective application of inputs.The project objectives will contribute to increased agricultural production, employment and incomes, higher living standards and positive environmental outcomes.

The project, being the first phase of Punjab Irrigated Agricultural Productivity Improvement Programme, will have rural services and infrastructure and water resource management as the major components.

The World Bank is likely to send a team of experts to Pakistan early next month to appraise the project.

It is expected that the executive board of the bank will approve the project by the end of May.

The total cost of the project has been estimated at $423.50 million and besides the IDA soft loan of $250 million, local beneficiaries will contribute $173.50 million towards the project.

Agriculture in Punjab has been affected grossly with water-logging and salinity and the government has implemented a number of water-logging and salinity control projects over the past years.

Central and southern Punjab, where rainfall is more sporadic and agriculture is irrigation dependent, are also the cotton basket of the country.

Central and southern Punjab are also the world’s leading producers of kinno and mangoes.

The proposed project interventions will result in improving irrigation efficiencies and enhancing water productivity.