ADB Supports Integrated, Sustainable Water Resources Management in Cambodia

PHNOM PENH, CAMBODIA (3 December 2024) — The Asian Development Bank (ADB) has approved two projects with $173 million in loans and grants to accelerate climate-adaptive water resources management in Cambodia.

The first is an $88 million Integrated Water Resources Management Project targeting river basins in Battambang and Pursat provinces in the Tonle Sap basin. The project will strengthen integrated, climate-adaptive, and eco-friendly water resources management, modernize irrigation systems, and reduce flood risks. A grant of $4.3 million from the Asian Development Fund, which provides grants to ADB's most vulnerable countries, is included to augment the capacity of communities in climate-resilient water management. ADB will partially administer $80 million loan to be cofinanced by the Asian Infrastructure Investment Bank. The project will also promote climate-mitigative irrigation water management through attached technical assistance grant financed by the Japan Fund for Prosperous and Resilient Asia and the Pacific.

The second is an $85 million additional financing for the ongoing Irrigated Agriculture Improvement Project to help the Ministry of Water Resources and Meteorology enhance water delivery efficiency and climate resilience across four irrigation systems in Battambang, Kampong Cham, Kampong Thom, and Takeo provinces. The project will share best practices with farmers to enhance climate resilience and water delivery efficiency of irrigation infrastructure. The project also supports operational capacity development for Cambodia's National Water Resources Management Data Center and associated National Water Resources Information System. It will also support preparatory work and design for future investments in flood and drought management.

“ADB is committed to supporting Cambodia in building resilience against climate challenges and ensuring sustainable water management. These two projects will modernize critical irrigation and flood management systems in regions facing severe drought and flood risks, and make investments to protect communities and ecosystems alike,” said ADB Country Director for Cambodia Jyotsana Varma. “These projects will empower farmers with climate-smart irrigation practices to secure their livelihoods, enhance food production, and strengthen food security. ADB is proud to partner with Cambodia to address these urgent needs and lay the groundwork for a resilient future.”

The country’s updated nationally determined contributions identify agriculture and water resources as the sectors most vulnerable to the impacts of climate change. Frequent floods during the wet season affect 4 million people, or nearly one-fourth of the population—with annual losses estimated at $250 million, which is over 1% of the country’s gross domestic product. The frequency and severity of these extreme weather events is increasing with climate change. Estimates suggest that much of Cambodia’s agricultural land will face increased drought risks with rising temperatures and heat stress, even as losses in agricultural production over the past 20 years were primarily caused by flooding.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 69 members—49 from the region.