The loan will improve irrigation infrastructure and water resource management, as well as aim to increase earnings on farms in the province.
Agriculture accounts for almost two thirds of Balochistan’s economic output, while 60% of the 13 million-strong population are employed in the sector.
But the drought and poor water management has put the industry at risk and poverty rates in the province are almost double the national average, the ADB said
The bank’s principle water resource specialist Yaozhou Zhou said: “Agriculture is the backbone of Balochistan’s economy.
“This project will build irrigation channels and dams, and introduce efficient water usage systems and practices, to help farmers increase food production and make more money.”
It will also upgrade and build new infrastructure, including a dam able to hold 36 million cubic metres of water, 276km of irrigation channels and drainage canals, and facilities to make it easier for people to access water for domestic use.
ADB will also administer a $3m grant from the Japan Fund for Poverty Reduction and a $2m grant from the High-Level Technology Fund for the project.