World Bank Backs $223.2M Water Efficiency Drive in Uzbekistan's Irrigation Sector

In a landmark move aimed at strengthening climate resilience and boosting agricultural productivity, the World Bank has approved a $200 million concessional credit for Uzbekistan to overhaul its deteriorating irrigation and drainage infrastructure. Complemented by $23.2 million in co-financing from the Government of Uzbekistan, the project represents a significant step toward sustainable water resource management in one of the world’s most water-stressed regions.

This initiative marks the first phase of a broader, World Bank-supported regional program to enhance water efficiency and conservation throughout Central Asia. Given the rising environmental and economic pressures in the region, the project is poised to set a precedent for transboundary water cooperation and infrastructure modernization.

Background: Agriculture’s Thirst in an Arid Landscape

Uzbekistan’s agriculture sector—contributing nearly a quarter to both national GDP and employment—relies heavily on irrigation due to the country’s arid climate. The two main rivers, Amu Darya and Syr Darya, provide the bulk of the water supply for the sector, which accounts for approximately 90% of the country’s total water consumption.

However, the aging and inefficient irrigation infrastructure has been a longstanding bottleneck. Water losses due to seepage, evaporation, and inefficient delivery systems are widespread. These challenges are further compounded by the increasing threat of water scarcity. Scientific assessments indicate that Uzbekistan could face a 30–40% reduction in water availability due to climate change impacts, including glacier melt, erratic precipitation, increased evapotranspiration, and recurrent droughts. Meanwhile, irrigation demand is expected to climb by 25%, intensifying the pressure on existing resources.

Modernization for Resilience and Efficiency

The modernization project, under the leadership of the Ministry of Water Resources, will span five regions: the Republic of Karakalpakstan, Bukhara, Kashkadarya, Namangan, and Surkhandarya. These efforts are aligned with Uzbekistan’s 2020–2030 Concept for Developing the Water Resource Management Sector, a national strategy designed to promote water and energy efficiency while supporting rural livelihoods.

By 2031, the project is expected to deliver tangible improvements through a suite of targeted interventions:

• Concrete Lining of Primary Canals: Approximately 259 kilometers of eight main canals will be lined using modern materials, such as geomembrane, to minimize seepage and reduce maintenance costs.

• Gravity-Fed Water Supply: Where feasible, canal beds will be re-sectioned and elevated to eliminate the need for energy-intensive pumping.

• Hydraulic Infrastructure: About 470 new hydraulic structures will be constructed to enhance control and regulation of water flow.

• Smart Monitoring Systems: The project will install gated canal outlets equipped with flowmeters and integrate a Supervisory Control and Data Acquisition (SCADA) system to optimize irrigation service delivery.

Impact: Sustainability, Inclusion, and Energy Savings

The wide-ranging benefits expected from the project go beyond immediate agricultural outputs. According to the World Bank:

• Improved Service Delivery: The initiative will enhance irrigation service quality across 232,000 hectares of farmland, thereby boosting crop yields and farmers’ resilience to climate shocks.

• Inclusive Development: Around 180,000 people—including 80,000 women—will gain direct access to more reliable and equitable irrigation services.

• Water Conservation: Annual water losses are projected to decrease by approximately 540 million cubic meters, contributing to more sustainable water management.

• Energy Efficiency: With over 165 million kWh of electricity saved annually, the project will reduce dependency on energy-intensive pumping. This is particularly significant given that Uzbekistan's 1,700 irrigation pumping stations currently consume nearly 7.2 billion kWh per year—accounting for 16% of national electricity use.

A Regional Model for Integrated Water Management

Tatiana Proskuryakova, World Bank Director for Central Asia, emphasized the broader relevance of the project:

“Through this project, the World Bank is proud to support the implementation of Uzbekistan’s 2020–2030 Concept for Developing the Water Resource Management Sector, which aims to expand water- and energy-efficient infrastructure nationwide. The planned improvements will help boost agricultural productivity, enhance the well-being of water users, incentivize private investments, and support job creation in the irrigation and agrifood sectors.”

Given Uzbekistan’s central role in regional water distribution, the success of this project is likely to have cross-border implications. It may act as a catalyst for similar interventions in neighboring countries, fostering a coordinated approach to climate adaptation and sustainable water governance in Central Asia.