Minister of Economy and Finance Aun Pornmoniroth said the government welcomed investments worth €80 million ($97 million) from the European Investment Bank (EIB) for the Irrigated Agriculture Improvement Project (IAIP) in Cambodia.
He regarded this project as a crucial step towards improving living conditions and agricultural production in the country.
The Asian Development Bank (ADB), EIB, EU and the Cambodian government will be joining hands to implement the project.
In a press release on December 15, the EIB said the purpose of IAIP is to modernise water supply infrastructure and irrigation systems in rural Cambodia.
Pornmoniroth said: “The IAIP will also allow Cambodia to become more adaptive to climate change, and improve the way we manage our water for agricultural purposes and practices.
“The project is an efficient model of how different partners can unite around a single vision and work towards a more resilient and prosperous Cambodia.”
The IAIP will benefit nearly 200,000 people in five provinces, covering 51,000ha of arable land.
The project has a target of reducing rural poverty and contribute to sustainable agricultural practices and food security.