Phnom Penh, Cambodia – Cambodia has officially secured a significant financing package totaling €72 million (approximately $83.82 million USD) from the French Agency for Development (AFD). This crucial funding is earmarked for three distinct programs aimed at bolstering the nation’s climate resilience and enhancing water security across various sectors. The announcement was made following a press release issued by the Ministry of Water Resources and Meteorology.
The cooperation financing agreement was formally signed this morning, December 9, at the Ministry of Economy. The signatories included Mr. Aun Porn Moniroth, Deputy Prime Minister and Minister of Economy and Finance, representing Cambodia, and Ms. Sandrine Boucher, Director of the French Agency for Development (AFD) in Cambodia. This agreement outlines the allocation of the $83.82 million towards these vital development initiatives.
The comprehensive funding package is structured to address specific national priorities through its three components:
* A substantial €60 million (approximately $69.85 million USD) has been allocated as a concessional loan. This principal portion is designated for implementing investment programs focused on developing cities with enhanced climate resilience and robust water safety measures.
* An additional €10 million (approximately $11.64 million USD) comes as another concessional loan from AFD, dedicated to supporting Cambodia’s Water Resources Management and Sector Transformation Program, Phase I. This program is critical for comprehensive and sustainable water resource utilization.
* Finally, a grant of €2 million (approximately $2.33 million USD) has been provided by AFD. This grant will specifically fund the rehabilitation and management project for the Stung Svay Chek Reservoir, a key initiative for local water infrastructure improvement.
Mr. Thor Chetha from the Ministry of Water Resources also attended the signing ceremony, underscoring the collaborative effort between the Ministry of Economy and the French Agency for Development in securing this vital support for Cambodia’s ongoing development and future resilience.
