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Roundtable on agricultural water financing
(FAO / OECD). January 27-28, 2021
"Challenges and opportunities related to investments in agricultural water in the context of the ways out of
the COVID 19 Crisis "
Clément OUEDRAOGO
CILSS WATER PROGRAM Coordinator
SOME REMINDERS:
Less than 5% of renewable water resources are exploited in the Sahel, Less than 4% of arable land is irrigated
in the Sahel, 40% of the population in the Sahel lives in a situation of food insecurity, Agriculture mainly
rainfed at 90 % however contributes nearly 25% to the GDP, The population in the Sahel and WA will double
by 2025, Added to this the negative climate environnemnt and finally COVID.
These figures, whether they are very exact or approximate, the real challenge for us in investing in
agricultural water, is to ensure that these figures which have been repeated for 30 years now, are no longer
repeated and brandished by the futures generations!?
CHALLENGES:
 How to move from rain-fed agriculture to efficient irrigated agriculture, respectful of the environment and
satisfying food needs and income generation. These in an uncertain climate context, a lack of reliable and
monitored data on the resource, and water scarcity;
 This challenge faces other several weaknesses and constraints : low involvement of the private sector in
investment; Insufficient technical and institutional capacities (technologies, institutionals practices,
financing mechanisms...);
 The real challenge of investing in the Sahel in West Africa joins a global global challenge which is how to
feed 3 billion more people by 2050 (FAO) and ensure for each a minimum nutritional needs of 2 800 kcal /
habitant / day or 2800 l / h /days; What is the water productivity in our country?
OPPORTUNITIES:
 Solvable demands for agricultural products especially rice; The large young fringe of the population;
Structuring initiatives existing, Initiatives calling for financing of the agricultural sector; More or less
refined texts and policies; Little exploited water resources 278 650 Million m3…. WHAT IS MISSING ?
 I am paraphrasing PROF. Albert WRIGHT of UN WATER who told me that «the Sahel suffers less from a
physical scarcity of water than from a structural scarcity »
COVID AGGRAVATING SITUATION:
The reports are fairly clear (WB, OECD, etc.) the noticeable start of the decline in poverty in many sub-
Saharan countries has been stopped by COVID 19 - we can cite: massive job losses in urban areas, the decline
in prices of agricultural products, closing of weekly markets and restrictions on transport. Broadly speaking,
these reports say that investment, in particular, collapsed in 2020 in many emerging and developing market
economies. The "rural" who by lack of infrastructure have often relocated to the cities find themselves
without jobs in the city… and without the possibility of falling back on farms.
So COVID is teaching us about the importance of agricultural water
and its development; it is today the real safety net of our populations
in the event of disasters such as COVID. It’s clear that our Countries
cannot ensure to all an equivalent contribution to the losses due to
COVID for exemple . The development and use of agricultural water
remains a recourse and refuge in the event of disasters
SOME -EXPERIENCES FROM CILSS :
CILSS calls for increased investment in agricultural water as a central key in the fight against food insecurity and
unemployment.
 THE PARIIS conducted with the World Bank has the ambition to mobilize at the end of the cycle USD 7
billion for Sahel irrigation. It teaches us that the challenges are important in irrigation investment, they are
many and varied, but they are resolved on a daily basis with tools, with knowledge sharing and with the
institutionalization of good practices.- water productivity, investment based on producters needs,
modernisation by technologies and also modernisation of institutional practice…
Some elements of the PARIIS strategy to accelerate investment:
 Irrigation solutions with 4 main qualities aspects out of 5 types of irrigation identified not by the point of view
of agricultural technicians, planners, or hydraulics but well by the point of view of farmer investors;
 Feasibility studies accompanied by a quality solutions review at regional level;
 A permanent diagnosis in national level by knowledge sharing groups to ensure institutionalization;
 The idea is that after the PARIIS first cycle, we have nearly 30,000 HA implemented in PARIIS approch and 12
000 HA studied also in PARIIS approch and we can show Irrigation solution package for 5 types of irrigation
in each country, that can be quickly financed and implemented
THE COALITION:
Objective and the following: the Coalition tackle the link between water resources on one hand and the
immediate concerns we encounter in the Sahel: poverty, low agricultural productivity, high price levels for
foodstuffs, hunger, malnutrition, insufficient access to drinkable water and basic hygiene, low level usage of
available water resources and arable lands and potentials for irrigation. Then the disasters (recurrent floods,
prolonged drought, water retention). At the center of the Coalition therefore are: integrated management of
water resources (GIRE) suitable water management (GAE); We have a regional project portfolio identified with
the partners of 423 Millions Euros with a unifying project which monitors the quality of this portfolio.
 Some elements of the coalition's strategy to accelerate investment decisions :
 Put the issue of water and economic development at the heart of regional and international agendas: Regularly reflect on
water and economic development subjects
 Serve as incubation and quality support for national investsment projects supported by regional political or technical
institutions
 Allow partners to have what each one does, one progress , one make change in water concerns
 Build a source of knowledge to help decision-making and to feed other platforms and observatories framework
 Monitoring and Improving the regional approach
SOME RECOMMENDATIONS
- Ensure that water resources are able to support investments: increase knowledge of the resource, take CC into account,
- Work on water productivity by making sustainable and efficient projects as solutions to both technical, institutional and
financial problems and of an institutional order,
- Invest upstream in the "ready to be implemented" to scale up efficiently
- Provide quality reviews of investment program documents at the regional level

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Agricultural water financing challenges

  • 1. Roundtable on agricultural water financing (FAO / OECD). January 27-28, 2021 "Challenges and opportunities related to investments in agricultural water in the context of the ways out of the COVID 19 Crisis " Clément OUEDRAOGO CILSS WATER PROGRAM Coordinator
  • 2. SOME REMINDERS: Less than 5% of renewable water resources are exploited in the Sahel, Less than 4% of arable land is irrigated in the Sahel, 40% of the population in the Sahel lives in a situation of food insecurity, Agriculture mainly rainfed at 90 % however contributes nearly 25% to the GDP, The population in the Sahel and WA will double by 2025, Added to this the negative climate environnemnt and finally COVID. These figures, whether they are very exact or approximate, the real challenge for us in investing in agricultural water, is to ensure that these figures which have been repeated for 30 years now, are no longer repeated and brandished by the futures generations!? CHALLENGES:  How to move from rain-fed agriculture to efficient irrigated agriculture, respectful of the environment and satisfying food needs and income generation. These in an uncertain climate context, a lack of reliable and monitored data on the resource, and water scarcity;  This challenge faces other several weaknesses and constraints : low involvement of the private sector in investment; Insufficient technical and institutional capacities (technologies, institutionals practices, financing mechanisms...);  The real challenge of investing in the Sahel in West Africa joins a global global challenge which is how to feed 3 billion more people by 2050 (FAO) and ensure for each a minimum nutritional needs of 2 800 kcal / habitant / day or 2800 l / h /days; What is the water productivity in our country?
  • 3. OPPORTUNITIES:  Solvable demands for agricultural products especially rice; The large young fringe of the population; Structuring initiatives existing, Initiatives calling for financing of the agricultural sector; More or less refined texts and policies; Little exploited water resources 278 650 Million m3…. WHAT IS MISSING ?  I am paraphrasing PROF. Albert WRIGHT of UN WATER who told me that «the Sahel suffers less from a physical scarcity of water than from a structural scarcity » COVID AGGRAVATING SITUATION: The reports are fairly clear (WB, OECD, etc.) the noticeable start of the decline in poverty in many sub- Saharan countries has been stopped by COVID 19 - we can cite: massive job losses in urban areas, the decline in prices of agricultural products, closing of weekly markets and restrictions on transport. Broadly speaking, these reports say that investment, in particular, collapsed in 2020 in many emerging and developing market economies. The "rural" who by lack of infrastructure have often relocated to the cities find themselves without jobs in the city… and without the possibility of falling back on farms. So COVID is teaching us about the importance of agricultural water and its development; it is today the real safety net of our populations in the event of disasters such as COVID. It’s clear that our Countries cannot ensure to all an equivalent contribution to the losses due to COVID for exemple . The development and use of agricultural water remains a recourse and refuge in the event of disasters
  • 4. SOME -EXPERIENCES FROM CILSS : CILSS calls for increased investment in agricultural water as a central key in the fight against food insecurity and unemployment.  THE PARIIS conducted with the World Bank has the ambition to mobilize at the end of the cycle USD 7 billion for Sahel irrigation. It teaches us that the challenges are important in irrigation investment, they are many and varied, but they are resolved on a daily basis with tools, with knowledge sharing and with the institutionalization of good practices.- water productivity, investment based on producters needs, modernisation by technologies and also modernisation of institutional practice… Some elements of the PARIIS strategy to accelerate investment:  Irrigation solutions with 4 main qualities aspects out of 5 types of irrigation identified not by the point of view of agricultural technicians, planners, or hydraulics but well by the point of view of farmer investors;  Feasibility studies accompanied by a quality solutions review at regional level;  A permanent diagnosis in national level by knowledge sharing groups to ensure institutionalization;  The idea is that after the PARIIS first cycle, we have nearly 30,000 HA implemented in PARIIS approch and 12 000 HA studied also in PARIIS approch and we can show Irrigation solution package for 5 types of irrigation in each country, that can be quickly financed and implemented
  • 5. THE COALITION: Objective and the following: the Coalition tackle the link between water resources on one hand and the immediate concerns we encounter in the Sahel: poverty, low agricultural productivity, high price levels for foodstuffs, hunger, malnutrition, insufficient access to drinkable water and basic hygiene, low level usage of available water resources and arable lands and potentials for irrigation. Then the disasters (recurrent floods, prolonged drought, water retention). At the center of the Coalition therefore are: integrated management of water resources (GIRE) suitable water management (GAE); We have a regional project portfolio identified with the partners of 423 Millions Euros with a unifying project which monitors the quality of this portfolio.  Some elements of the coalition's strategy to accelerate investment decisions :  Put the issue of water and economic development at the heart of regional and international agendas: Regularly reflect on water and economic development subjects  Serve as incubation and quality support for national investsment projects supported by regional political or technical institutions  Allow partners to have what each one does, one progress , one make change in water concerns  Build a source of knowledge to help decision-making and to feed other platforms and observatories framework  Monitoring and Improving the regional approach
  • 6. SOME RECOMMENDATIONS - Ensure that water resources are able to support investments: increase knowledge of the resource, take CC into account, - Work on water productivity by making sustainable and efficient projects as solutions to both technical, institutional and financial problems and of an institutional order, - Invest upstream in the "ready to be implemented" to scale up efficiently - Provide quality reviews of investment program documents at the regional level