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Jordan and Arab Fund sign $189 million agreement to support National Water Carrier Project

  • Jordan and Arab Fund sign $189 million agreement to support National Water Carrier Project
    Credit: Government of Jordan

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The Government of Jordan has formalised a financing agreement with the Arab Fund for Economic and Social Development (AFESD) to support the National Water Carrier Project, strengthening international support for one of the country’s most significant water initiatives.

The agreement, worth 58 million Kuwaiti dinars (around US$189 million), was signed in Amman by Finance Minister Dr. Abdel Hakim Al-Shibli and Dr. Sufyan Al-Bataineh, Director-General of the National Electric Power Company on behalf of the Jordanian Government, and by AFESD Director-General and Chairman of the Board Fawzi Al-Hunaif. The discussions focused on strengthening cooperation in the water and energy sectors and aligning future financing with national development priorities.

According to an official statement, the funding will support the electricity supply component of the National Water Carrier Project, ensuring a stable and secure power source for its facilities. The investment is also expected to enhance the capacity of Jordan’s national grid to integrate additional electricity generation, including renewable energy.

Minister of Planning and International Cooperation Zeina Toukan, who hosted the meeting, noted that the agreement falls under the Country Partnership Strategy between Jordan and AFESD for 2025–2029, which prioritises water, energy, and economic and social development. Al-Hunaif reaffirmed the Fund’s commitment to supporting Jordan’s development agenda, describing the Kingdom as a key partner in the region.

Upon completion, the National Water Carrier Project will include Jordan’s first large-scale desalination facility and is expected to be among the largest of its kind globally, as well as the country’s largest infrastructure project to date. The scheme is designed to deliver up to 300 million cubic metres of potable water annually to large parts of the Kingdom, improving distribution efficiency, reducing pressure on existing water sources, and supporting the recovery of over-exploited aquifers. Overall, the project aims to ease stress on Jordan’s groundwater and surface water resources by providing a long-term, sustainable response to growing national water demand.

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