Incatema is involved in the modernisation of irrigation in Egypt under a climate -and financially-sustainable model

10 April, 2026

Over the next two years, Incatema will be involved in the “Support to the Egyptian Irrigation Modernisation to Enhance Water Productivity Programme”, an initiative funded by the European Union that aims to improve water use efficiency and strengthen the sustainability of the agricultural sector in Egypt.

The project involves the preparation of a Preliminary Feasibility Study (PFS) to serve as a basis for the EU and International Financial Institutions (IFIs) to assess the most suitable investment options for the modernisation of irrigation systems in selected areas.

This work is being carried out within the framework of the Team Europe Initiative for Integrated Water and Food Security in Egypt, as part of the Comprehensive Strategic Partnership between the EU and Egypt and the Joint Declaration on the Water Partnership.

The main activities of the project include:

  • analysing the current state of irrigation and drainage infrastructure.
  • a study of water productivity and existing management systems.
  • the identification and prioritisation of potential investments to modernise irrigation systems, including pressurised networks, localised irrigation systems and sustainable energy solutions such as solar-powered pumps.
  • capacity building for farmers and water user associations.

Advanced diagnosis for efficient management with blended finance

The pre-feasibility study will assess the technical, economic, environmental and social viability of the proposed interventions, as well as the most appropriate financing models, including those from public administrations, development banks and commercial banks, in close coordination with Egypt’s Ministry of Water Resources and Irrigation (MWRI), the EU Delegation, the European Investment Bank (EIB), the Agricultural Bank of Egypt and irrigators’ communities. The process will follow the EU’s Project Cycle Management (PCM) guidelines.

The intervention will be based on blended finance mechanisms, a central instrument in the current international cooperation agenda. This approach combines European Union resources with funding from development banks and private capital in order to mobilise the investments needed for irrigation modernisation, whilst aligning with global trends in green and sustainable finance. This approach will maximise the impact of European funds and facilitate the implementation of large-scale sustainable solutions in the Egyptian agricultural sector.

Maximising benefits for local communities

Egypt faces a significant water challenge due to growing demand and limited water resources. In this context, irrigation modernisation is crucial to improving agricultural productivity, optimising water use and reducing environmental impacts.

The study will focus particularly on key agricultural areas such as sugarcane cultivation in Upper Egypt and fruit-growing systems, with the aim of identifying interventions that maximise socio-economic benefits for rural communities.

This project forms part of the Team Europe initiative for water and food security in Egypt and contributes to the sustainable development goals related to sustainable water management and agricultural development.

Through its participation in this project, “Incatema reaffirms its commitment to sustainable water management, climate change adaptation and the development of innovative solutions for the agricultural sector,” says Mrs Adelaida Pérez, Director of Consulting.

“This project is a comprehensive response to one of the region’s greatest climate challenges. By applying sustainable finance criteria and participatory models from the design phase onwards, we ensure that the modernisation of irrigation acts as a driver of resilience for all rural families,” she adds.

Sustainability and social commitment

The creation and support of these users’ associations will ensure that the producers themselves are the driving force and custodians of the modernisation, guaranteeing that the development of this infrastructure is carried out responsibly and sustainably over time, whilst also incorporating the participation of local communities.