The financial package includes a 45 million euro loan from the French Development Agency and a 15 million euro grant from the European Union, the government said in a news release.
The funds will be used to rehabilitate existing irrigation infrastructure, develop small-scale irrigation and increase the capacity of institutions responsible for managing the sector.
Under the program, the centralized irrigation systems of Criuleni de Sus and Calinesti will be rehabilitated. Upon completion of the works, about 365 agricultural landowners will have access to water sources for irrigation on an area of more than 3,000 hectares.
The program also provides for the development of small-scale irrigation. To this end, irrigation reservoirs will be constructed to help small and medium-sized agricultural producers collect, store and utilize water during periods of rainfall deficit.
The €15 million grant provided by the EU will be used for rehabilitation of existing irrigation infrastructure, training and advisory services for irrigation water user associations and farmers, and capacity building activities for institutions managing and maintaining irrigation systems.
It is estimated that on lands served by rehabilitated systems, agricultural production could increase by at least 50% over the average of the last 10 years.
With these investments, farmers will have better access to water for irrigation and the agricultural sector will be better prepared for droughts and water management.
