ADB to fund climate-resilient water project in Khulna
The Asian Development Bank (ADB) and the Government of Bangladesh have signed a US$150 million loan and US$4 million grant agreement to expand Khulna city's water supply and address ground-source water salinity during the dry season.
Md Shahriar Kader Siddiky, Secretary of the Economic Relations Division (ERD), and Hoe Yun Jeong, Country Director of ADB, signed the agreements on behalf of Bangladesh and ADB, respectively, at the ERD offices in Dhaka.
"This project advances Khulna city's transition to surface water by introducing climate-resilient and sustainable solutions," said ADB Country Director Hoe Yun Jeong. "It will provide 1.78 million people with a reliable, continuous supply of drinking water, upgrade existing infrastructure, and enhance the operations of the Khulna Water Supply and Sewerage Authority (KWASA)."
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The Khulna Water Supply Project (Phase 2) will expand piped water services to underserved communities through a system that can be scaled up to meet increased demand until 2050. The project will also include adaptations to mitigate the effects of climate change and help reduce salt levels in the water during the dry season, when groundwater becomes saline due to low rainfall.
Key initiatives include implementing smart water management, expanding supervisory control and data acquisition (SCADA) systems, and extending district metering areas to reduce water loss.
The project will also enhance KWASA's capacity to manage and operate services. In addition, a US$4 million technical assistance grant, provided by the Urban Resilience Trust Fund (part of the Urban Financing Partnership Facility), will support a study on artificial recharge (injecting water underground to improve water quality and quantity) and groundwater management, further helping to address Khulna's saltwater challenges.
Founded in 1966, the ADB is owned by 69 members, 50 of whom are from the Asia-Pacific region. It supports inclusive, resilient and sustainable growth through innovative financial tools and partnerships, building quality infrastructure, transforming lives and safeguarding the planet.
