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EBRD Commits to Green Investment in Tajikistan

EBRD Pledges New Resources for Green Investment in Tajikistan The European Bank for Reconstruction and Development (EBRD) is committing fresh funds to facilitating better access to green technologies and climate adaptation for businesses and households in Tajikistan, a news release on the bank's website states. The US$ 50 million Tajikistan Green Economy Financing Facility II (GEFF Tajikistan II), launched by the EBRD and the Green Climate Fund (GCF), will promote higher standards of energy and resource efficiency and support the country’s transition to a greener economy. GEFF Tajikistan II will encourage residential and commercial borrowers to invest in green and innovative solutions (available through the programme’s website) that promote the efficient use of water and the sustainable management of land. It will pay special attention to the country’s agribusiness sector, which employs almost half of Tajikistan’s workforce and is responsible for more than 22.5 per cent of gross domestic product. Up to US$ 13 million, including US$ 11 million under GEFF Tajikistan II, will be earmarked for three domestic financial institutions: Bank Arvand (US$ 4 million), microlenders Humo (US$ 5 million) and Imon International (US$ 4 million). With a joint base of more than 540,000 clients and operational even in remote mountainous parts of the country, the three institutions are well placed to bring much-needed green finance to even the smallest borrowers across Tajikistan. The new facility builds on the US$ 25 million Green Economy Financing Facility I (GEFF Tajikistan I), which was supported by the European Union and operational from 2019 to 2023. GEFF Tajikistan I supported more than 4,600 sub-projects. Each year, these generated over 24,000 MWh of energy savings, reduced CO2 emissions by 5,195 tonnes and cut water consumption by 5.2 million m3. GEFF Tajikistan II is supported by donor funding from South Korea, Austria and the GCF.

EDB Proposes Ten Steps to Preserve Irrigated Land Potential and Support Water Conservation in Central Asia

As outlined in a press release on the EDB website, in the summer of 2023, Central Asia was faced once again with water shortages, which have a significant impact on agriculture. The sector relies on irrigation, which consumes up to 80% of available water, and has a poor track record with regard to the efficient use of water resources. The irrigation infrastructure is over 50 years old. More than half of all irrigated land has become salinized, and 40% of water is lost through irrigation canals. A new Eurasian Development Bank (EDB) study entitled “Efficient Irrigation and Water Conservation in Central Asia” outlines ten practical steps for preserving irrigated land potential and promoting water conservation. The list includes four recommendations for adoption at a regional level and six at a national level. The measures are designed to save enough water each year to support sustainable development. Implementing the measures will require collaboration between governments, farmers and multilateral development institutions. The need for urgent action is intensified by the anticipated reduction in the flow of the Amu Darya River. Water deficit is a key structural constraint to socio-economic development in Central Asia. This region is among the most vulnerable to climate change, with temperatures rising at a faster rate than the global average. Periods of drought and low water are becoming more frequent, and the hydrological patterns of rivers and groundwater supplies are undergoing change. Glacier areas have been diminishing rapidly, with a 30% decrease over the last 50 years. Climate change is leading to reduced river flows at a time when the region’s demand for water is growing rapidly. The primary solution to the water deficit lies in improving irrigation practices. Agriculture in Central Asia is the largest consumer of water, with irrigation accounting for 100.4 km3 of the total 127.3 km3 (80%) of water used in the region in 2020. Historically, irrigation has played a vital role in developing agriculture and ensuring food security in the region. Central Asia boasts 10.1 million hectares of irrigated land, representing approximately 2.9% of the world’s total. This irrigated land generates nearly 66% of the region’s gross agricultural output in terms of value. However, Central Asia’s irrigation infrastructure is highly degraded and technically inadequate. It lacks the equipment needed for metering and distributing water for irrigation and controlling its use in the field. The average age of the irrigation infrastructure is over 50 years. Up to half of irrigated land is salinized. Water use in agriculture is inefficient, with 40% of water lost in the irrigation canal system. A commitment to conserving water appears to be the only solution to protecting the potential of irrigated land and food security in Central Asia. This shift in approach is imperative not only because of climate change and escalating water demand, but also to mitigate the anticipated decrease in the flow of the Amu Darya River from Afghanistan. By 2028, the combined effects of climate change, low-water periods and the commissioning of the Kosh-Tepa Canal in...

Promoting Sustainable Development in Central Asia: Key Highlights from the Eurasian Development Bank’s Roundtable

According to a press release issued by the Eurasian Development Bank (EDB), on November 16th, 2023, Almaty, Kazakhstan, served as the venue for a critical roundtable hosted by the EDB, titled "Promoting Sustainable Development in Central Asia". This gathering saw the participation of representatives from a wide range of international organizations and multilateral development banks. Attendees included the likes of the World Bank, the Asian Development Bank, the Asian Infrastructure Investment Bank, the Islamic Development Bank, FAO, UNIDO, UNEP, ESCAP, UNDP, the World Health Organisation, the International Fund for Saving the Aral Sea, and CICA. The agenda was packed with discussions revolving around irrigation, water challenges, environmental and social standards of international financial institutions, and case studies that showcased collaborations in project implementation12. The EDB's latest report, "Efficient Irrigation and Water Conservation in Central Asia", was introduced during the roundtable's first session. Nikolai Podguzov, Chairman of the EDB Management Board, underscored the essential interrelationship between water, food, and energy in Central Asia. He declared the development of the region’s water and energy resources as a strategic priority for the EDB. He also expressed concerns over an impending water deficit in Central Asia within the next five years, urging for collective action supported by multilateral development banks3. Tatiana Proskuryakova, the Regional Director for Central Asia at the World Bank, also spoke at the event. She emphasized the importance of sustainable development in Central Asia to international organizations and multilateral financial institutions. She revealed that the World Bank has allocated approximately a quarter of its $12 billion investment portfolio in Central Asia to water, energy, and environmental sectors. This proportion is expected to rise to almost half in the near future4. Following this, Evgeny Vinokurov, EDB Chief Economist, presented the study "Efficient Irrigation and Water Conservation in Central Asia". He proposed a ten-step solution to address the prevalent issues. The steps include establishing an International Water and Energy Consortium; fostering collaboration among multilateral banks; creating a regional cluster to produce irrigation equipment; consolidating efforts to strengthen cooperation with Afghanistan; using PPP instruments; instituting proper water accounting; gradually integrating investment charges into the tariff structure; improving land conditions; implementing digital technology, and leveraging state-of-the-art irrigation technology and laser levelling.

USAID and Aga Khan Foundation Improve Access to Water and Sanitation in Bartang Valley

As outlined in a press release on its website, the United States Agency for International Development (USAID) and the Aga Khan Foundation (AKF) in partnership with the Government of Tajikistan completed and inaugurated a new drinking water supply system and a school latrine in two villages of Rushan’s Bartang valley. The drinking water supply systems will provide uninterrupted access to clean water for 72 households (397 people) in Pasor and Bopasor villages. Additionally, 40 schoolchildren and teachers will have access to sanitary toilets in school #40 of Bopasor village, the U.S. Embassy in Tajikistan said. In the remote mountainous villages of Pasor and Bopasor, lack of access to potable water was a significant problem. Although the villages are blessed with an abundance of water, the absence of infrastructure forced the residents to fetch water from a distance of 500-800 meters at an elevation of 3,000 meters above sea level during harsh winters that last for five months. The USAID and AKF joint partnership, Thrive Tajikistan, works hand-in-hand with the Government of Tajikistan and people of the Bartang Valley to tackle this monumental challenge. To date, Thrive Tajikistan has provided 14 potable water supply systems and 14 school latrines in Farkhor, Hamadoni, Nosiri Khusrav, Panj, Qubodiyon, Roshtqala, Shahritus, and Rushan districts. These systems provide 43,558 people with access to clean drinking water and improved sanitation and hygiene services to 8,344 people. The five-year (2018-2023) “Thrive Tajikistan: Partnership for Socio-Economic Development” program expands the partnership between USAID, AKF and the Government of Tajikistan to improve the quality of life for people in all 16 districts of Tajikistan along the country’s border with Afghanistan in Khatlon province and Gorno-Badakhshan Autonomous Oblast.