Ammon News - The European Investment Bank (EIB) announced that it has signed an agreement with the Jordanian government worth 507 EUR million to finance part of the National Water Carrier project by providing a development loan for the benefit of the Ministry of Water and Irrigation.

The signing of the project that aims to increase water supplies in Jordan took place last Thursday, December 8, bank data indicated.

The bank indicated that the full environmental and social impact assessment of the project was completed, in line with international best practices and the bank's environmental and social standards.

The EIB, during its participation in the donors' pledge conference for the National Water Carrier project, held by the Ministry of Planning and International Cooperation last April, announced its readiness to provide $250 million as a development loan.

Former Minister of Planning and International Cooperation, Nasser Shuraideh, announced at the conference that $1.830 billion in grants and loans would be provided to implement the project, $447 million in grants, $522 million in development loans, and $861 million in soft investment loans.

While the International Finance Corporation (IFC), pledged to provide an investment loan of up to $400 million to finance the project, bringing pledges to more than $2 billion.

The new funding comes in light of Jordan's water scarcity, which is considered one of the lowest levels of water availability per capita in the world.

The bank's statements indicated that the project represents "a priority for the government and supports the goals of the EU and the EIB in the country," and is specifically in line with the National Water Strategy 2016-2025.

Prime Minister Bisher Khasawneh previously announced that the project, which meets some of Jordan's water needs until 2040, will enter the water supply space in 2027.

The EIB has been working with Jordan since 1979, in line with the European Neighborhood Policy (ENP) and other bilateral agreements with the EU having financed some 72 projects for Jordan with a value of more than 2 billion euros.