Islamic Development Bank allocates around $100 mln to build irrigation canal in Azerbaijan

BAKU. Nov 14 (Interfax) - The Islamic Development Bank (IDB) has allocated a $97 million loan to construct a main irrigation canal from the Giz Galasi reservoir in Azerbaijan's East Zangezur region.

"The project to build the main irrigation canal will service around 1.6 million people. This project is very important for the region's development," IDB President Muhammed Al-Jasser told journalists on the sidelines of the COP29 climate change conference in Baku on Thursday.

The irrigation canal will be 52 km long, he said.

Al-Jasser assured Azerbaijani President Ilham Aliyev at a meeting with the head of state that the IDB plans to expand its operations in Azerbaijan, he said.

"We have the potential to increase the number of projects that we are financing. We hope to expand relations between the Islamic Development Bank and Azerbaijan in many areas of the economy. We are very positive [about this], and we are looking forward to new important projects in Azerbaijan," he said.

Three documents on the loan for the project were signed on Thursday, the Azerbaijani presidential website said.

The Giz Galasi reservoir is located on the Aras river on the border with Iran. A ceremony marking the opening of the Giz Galasi hydro system took place on May 19, 2024.