WB approves financing of new agricultural project in Azerbaijan
Azerbaijan, Baku, October 2/ Trend A.Akhundov /
The Board of Directors of the World Bank (WB) has approved Agricultural Competitiveness Improvement Project in Azerbaijan, the head of Bank's Baku office Larisa Leshchenko told Trend on Wednesday.
According to her, the total cost of the Agricultural Competitiveness Improvement Project will amount to $53.25 million, of which $34.5 million will be allocated by the World Bank. The project will be financed through the International Bank for Reconstruction and Development (IBRD).
The project aims to facilitate access to markets for agricultural producers by improving sanitary and phytosanitary services, the provision of financial services to agricultural enterprises and so forth. The project will contribute to the further development of agribusiness and the food industry through the provision of loans for the improvement of technology, increase of production volume and the modernization of phytosanitary and veterinary services. The project will also contribute to the improvement of the regulatory and institutional framework in the field of food safety and quality.
Implementation of the second phase of the adapted program of development and agricultural lending in Azerbaijan, the loan agreement for which was signed in the autumn of 2006, was completed in February. This project served to increasing the income of farmers and agricultural productivity.
The second project "Azerbaijan Rural Investment" (AzRIP-2) entered into force at the end of last year. This project is based on the results of the first project, which has helped to increase revenues of 600,000 farmers, improve irrigation services for 700,000 people and provide quality drinking water to 150 villagers. The project will cover five main areas - plain Shirvan, Mugan-Salyan, Nakhchivan, the northern and north-western areas.