African Development Bank approves US$60.2M loan for Senegal’s agricultural development

SENEGAL – The African Development Bank Group’s Board of Directors has approved a US$60.2 million loan to Senegal to support the second phase of the Water Valorization Project for the Development of Value Chains. 

The decision was made on December 2, 2024, during a meeting in Abidjan. 

The project aims to enhance agricultural output, create jobs, and improve income levels in selected regions by utilizing surface and groundwater resources.

Mohamed Chérif, the head of the African Development Bank’s Senegal country office, highlighted the need to address challenges identified in the first phase of the project. 

“The positive outcomes of the initial phase, which were well-received by beneficiaries, have prompted the need to consolidate those gains and expand support to young agripreneurs and women,” he stated. 

The second phase also seeks to extend opportunities to additional regions.

The project’s scope includes developing 9,000 hectares of agricultural land, with 1,950 hectares dedicated to reclaiming salt-affected soils and 450 hectares allocated to communal market gardening. 

Additionally, 15 existing irrigated areas will be rehabilitated, and 10 solar-powered pastoral water points will be installed. 

Around 20 kilometers of water supply networks will be constructed to provide drinking water near these water points.

Infrastructure improvements are also planned, including the construction of 130 kilometers of access roads, the rehabilitation of 100 kilometers of these, and the establishment of 20 storage facilities with a capacity of 100 tons each. 

Four collection centers equipped with cold storage rooms, capable of holding 300–500 tons each, will also be built.

The project focuses on employment and youth entrepreneurship by creating 1,250 farms covering 2,000 hectares, building 40 agricultural mechanization centers, and installing 50 solar-powered processing units. 

Support for 180 livestock production units and 60 aquaculture farms is also included.

Spanning nine administrative regions, the project will directly impact approximately 57,000 households—benefiting an estimated 570,000 people. 

Targeted crops include groundnuts, millet, rice, sorghum, and potatoes.

Senegal currently has an average cultivated area of 3.36 hectares per household, with over one-third of plots measuring less than one hectare. 

In 2019, the country produced 267,358 tons of meat and 264.4 million liters of milk.

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