09:01 | 28/11/2018 Economy- Society
The Asian Development Bank (ADB) has approved more than US$100 million in finance to help Vietnam improve its agricultural productivity by installing eight modernised irrigation systems.
|Source: Nông nghiệp Việt Nam|
The funding is expected to benefit farmers growing high-value crops, such as coffee, peppers, grapes, dragon fruit and mangoes, in the five drought-hit provinces of Binh Thuan, Dak Lak, Dak Nong, Khanh Hoa and Ninh Thuan.
Under the project, irrigation systems will be upgraded to provide water on demand, while policy measures will also be implemented to help the beneficiary provinces to improve their irrigation management.
It will also support the development of improved groundwater and water productivity assessments, in addition to micro-irrigation systems based on the type of crops and farmer demand, the ADB said in a statement.
“The project’s focus on climate resilience, particularly by providing water on-demand to farmers, will help smallholder farmers increase crop yield and boost their incomes”, said ADB Senior Natural Resources Economist Sanath Ranawana.
Despite roughly 50% of Vietnam’s arable land area being covered by irrigation, more than half of the irrigation systems remain under capacity due to outdated infrastructure, which affects the productivity of farmers in drought-affected provinces, especially given the effects of climate change.
The ADB’s assistance is composed of a US$100 million concessional loan and a $300,000 grant from the Climate Change Fund.
The ADB will also administer another US$750,000 grant from the Netherlands Trust Fund to support the development of water resource assessments, as well as a water allocation framework, water productivity assessments, and a crop water monitoring platform.