A Review of the Economic, Social, and Environmental Impacts of the Projects Financed by the Kuwait Fund for Arab Economic Development and the Success of the Bahr El-Baqar Drain Project at the Abdullatif Al-Hamad Award

1- Distinguished Development Efforts by the Fund Since Its Inception Over Six Decades Ago

2- Financing Projects with Economic and Social Impacts on the Countries Where It Operates

3- The Bahr El-Baqar Drain Project Achieves Economic Stability for the Region’s Residents

4- The Project Helps Increase Exports and Reduce Imports for the Country Overall

5- Creating New Job Opportunities During Project Implementation Improved the Lives of Thousands of Residents

The Kuwait Fund for Arab Economic Development won the Abdullatif Yusuf Al-Hamad Award on May 22, 2024, for the best economic and social development project in the Arab world, in recognition of its financing of the “Bahr El-Baqar Drain” project in the Arab Republic of Egypt. The Fund was honoured at a ceremony held recently to mark this occasion, affirming the distinguished developmental efforts it has made since its establishment more than six decades ago.

The Acting Director-General of the Kuwait Fund for Development, Mr. Waleed Shamlan Al-Bahar, expressed his pleasure at the Fund’s receipt of the esteemed Abdulatif Al-Hamad Development Award for the Bahar Al-Baqar project. “This recognition underscores the Kuwait Fund’s successful development initiatives in the Arab region and celebrates the collective achievements of Arab development and financial institutions in improving the lives of millions across the Arab world and beyond,” Al-Bahar stated.

He emphasized the ongoing need for international support to assist developing nations in realizing their development goals. “We must also prioritize environmental stewardship, innovation, and creating a lasting legacy for future generations,” Al-Bahar added.

The “Bahr El-Baqar Drain” project, which was inaugurated on September 27, 2021, was comprehensive in its technical planning and practical implementation, making it eligible for the award. This project is considered to be one of the most important projects financed by the Kuwait Fund in Egypt, with a cost of approximately 416 million USD. It includes three main components: the construction of barrages to divert 5 million cubic meters of water daily from Bahr El-Baqar Drain, the establishment of a treatment plant with a capacity of about 5 million cubic meters of water daily east of the Suez Canal, and the reclamation of agricultural lands, establishment of agricultural preserves, construction of agro-industrial factories, and development of livestock activities.

Winning this award, presented by the Arab Fund for Economic and Social Development, highlights several values of the Kuwait Fund, which we will explore in the following feature:

The Fund’s Focus on Economic, Social, and Environmental Aspects in the Projects It Finances

The Fund is committed to financing projects with economic, social, and environmental impacts in the countries where it operates. The economic aspect of this project is represented by the cultivation of thousands of acres relying on treated water produced by the plant, the establishment of agricultural preserves, agro-industrial factories, and activities for livestock development, all of which contribute to achieving economic stability, increasing exports, and reducing imports for the country overall.

Socially, the project improves the living and economic conditions of the residents in the project area by contributing to developmental projects and enhancing the lives of thousands of residents by creating new job opportunities, both during the project’s implementation and after its completion.

Environmentally, the project addresses environmental degradation in the North Delta region, including Lake Manzala, one of the largest and most important natural lakes in Egypt, which has suffered from continuous pollution in recent years, reducing its area by 75%.

Moreover, the project holds significant moral value for the people of Egypt, as it was named the “Bahr El-Baqar Drain Project” to immortalize the memory of the brutal massacre carried out by the Zionist entity, which bombed the Bahr El-Baqar school in the Sharqia Governorate, killing a large number of children. Thus, the project serves as a commemoration of these martyrs.

The Fund’s Focus on Projects That Achieve Sustainable Development Goals

The project achieves many Sustainable Development Goals, including Goal 2 (“Zero Hunger”), Goal 6 (“Clean Water and Sanitation”), Goal 8 (“Decent Work and Economic Growth”), Goal 9 (“Industry, Innovation, and Infrastructure”), and Goal 11 (“Sustainable Cities and Communities”), in addition to a range of other Sustainable Development Goals.

The Recognition the Fund Receives from Various Entities

The Abdullatif Yusuf Al-Hamad Award aims to highlight and encourage successful development projects that have contributed to solving existing problems to enhance economic and social capacities in the Arab world. This award is given to entities that contribute to financing outstanding development projects in recognition of their efforts and commitment to achieving development in the Arab world.

The Arab Fund for Economic and Social Development named this award after Mr. Abdullatif Yusuf Al-Hamad in recognition of his achievements in development work in the Arab world. He led the Kuwait Fund for Arab Economic Development from 1963 to 1982, the Ministry of Finance and Planning from 1981 to 1983, and the Arab Fund for Economic and Social Development from 1985 to 2020. Additionally, he was a member of the Boards of Directors of many financial institutions. Throughout his more than 50-year career, he focused on supporting development activities and directly supervised hundreds of development projects that helped create thousands of jobs and improved the lives of millions of people in Arab countries. As a result of this rich work, he was honoured by many kings, heads of state, and governments of Arab countries and was awarded honorary doctorates from educational, regional, and international institutions.

The Extent of Cooperation Between the Fund and the Arab Republic of Egypt

The relationship between the Kuwait Fund and the Arab Republic of Egypt is characterized by its depth. This project complements the Fund’s development efforts in Egypt, which date back to 1964 when the Kuwait Fund financed its first project in Egypt, the Suez Canal development project.

To date, the total number of loans provided to Egypt has reached 54, covering various sectors, including agriculture, transportation, energy, industry, water and sanitation, social development, and development banks.