EBRD, UK, EU provide financing of up to 27.1m euros to Water Authority of Jordan

AMMAN — The European Bank for Reconstruction and Development (EBRD) on Monday signed an agreement with the Ministry of Planning and International Cooperation to extend a financing package to the Water Authority of Jordan (WAJ).

The funding will help provide essential wastewater services and connections to communities and refugees in the West Irbid region, according to a statement by the EBRD.  

The financing package, totalling $30 million (27.1 million euros), consists of an EBRD loan of up to $19 million (17.1 million euros), along with an investment grant of $8 million (7.2 million euros) from the government of the United Kingdom under the High-Impact Partnership on Climate Action and a 2.75 million euros investment grant from the European Union under its Neighbourhood Investment Platform.

The statement said that the financing would contribute to the construction of a new and efficient wastewater treatment plant in the area of West Irbid to complement the wastewater networks financed by the EBRD in 2018.

Once completed, the new facility will have the capacity to treat 12,000 cubic metres per day, thereby enhancing the quality and treatment of wastewater in the West Irbid region. It will provide sanitation services to surrounding towns for the first time and serve both local communities and refugees who have settled in the area.

"The Kingdom is among the top 10 water-stressed nations globally, facing severe water scarcity challenges, a growing population and a significant influx of refugees. Irbid is a significant hub of agriculture and economic activity but lacks sustainable water solutions. The investment will help treat collected wastewater for irrigation and promote sustainable water management in the region," the statement added.

The funds will be accompanied by a comprehensive technical cooperation package by the EBRD to support project preparation and implementation. A further technical cooperation programme will be provided to assist the WAJ in introducing inclusive procurement practices, fostering capacity building and providing on-the-job training opportunities for underserved groups, including youth, women and people with disabilities. 

The financing agreement was signed in the presence of EBRD Managing Director of the Southern and Eastern Mediterranean Region Heike Harmgart, EBRD Director of Infrastructure, Europe, Middle East and Africa Sue Barrett, Minister of Planning and International Cooperation Zeina Toukan, and Jordanian EBRD governor.

Harmgart said “We are delighted to promote the sustainability of Jordan’s municipal sector in partnership with the EU and the UK government. We are committed to providing support for improved sanitation services to the local and refugee populations in Jordan and, more importantly, helping to alleviate the challenges of water resources and scarcity in the country. 

"We extend our appreciation to Toukan for the excellent partnership.”

Toukan commended EBRD’s strong partnership and support to Jordan’s key development goal since 2012 and said, “The West Irbid wastewater treatment plant, which will be implemented over a period of four years in terms of construction and operation, complements the existing project [West Irbid Wastewater Network] aiming to provide wastewater services for 17 villages in West Irbid, reaching approximately 200,000 people by 2045. The new treatment plant has a total capacity of 12,000 cubic metres per day and the treated wastewater will be reused in irrigating surrounding agricultural land, according to the statement".

The High Impact Partnership on Climate Action was launched by the EBRD and partner governments in 2021. It is supported by Austria, Canada, Finland, South Korea, The Netherlands, Switzerland, Spain, Taiwan, Taiwan's International Cooperation and Development Fund, the United Kingdom, United States of America. 

Since 2012, the EBRD has invested more than 2 billion euros in Jordan through 72 projects.