The Fiji Times » Fiji seeks $225m loan
Fiji has applied for a $225 million loan from the Asian Development Bank (AfDB) for flood mitigation works on the Nadi River.
This, according to information from the website of the international development finance institution.
The AfDB says the project will involve a combination of structural and non-structural measures to cost-effectively achieve a level of flood risk protection for Nadi town and the floodplain of the lower Nadi River.
“The thriving tourism industry, which generates revenue equivalent to 19.1% of GDP (2017), ensures that Nadi will remain Fiji’s commercial and tourism hub,” the AfDB says.
“As the major floods have systematically and drastically reduced tourist numbers and disrupted economic activity, the government has stressed the strategic economic importance of protecting Nadi from the increasingly regular floods.”
The AfDB said a Climate Risk and Vulnerability Assessment (CRVA) observed an increase in rainfall intensity in the Nadi catchment since the 1950s, exposing vital economic assets to flood risk.
“Despite the high frequency and consequential damage caused by flooding, only small-scale riverbank protection measures and small retention dams have been constructed, a systematic flood management plan for the Nadi River catchment n has not yet been implemented.
“The January 2009 flood that devastated large areas of Fiji left 11 dead, 12,000 homeless and FJ$113 million in damage. The Nadi region was the most affected, with total damage estimated at Fiji$81.2 million. The increase in population and economic activity in Nadi town will increase the risks.
The AfDB says it will carry out a fact-finding mission in October and the loan proposal will go through management review in December.