World Bank Backs Water and Agricultural Resilience in Brazil's Paraná State
Saturday, August 29, 2026
World Bank will support the State of Paraná, Brazil, strengthen water security and protect farmers and rural communities from climate shocks through a new project. It is expected to generate and protect between 54,000 and 78,000 jobs across agriculture, water services and associated economic activity in one of Brazil's most economically vital regions.
Paraná's economy depends heavily on agribusiness, which accounts for nearly a third of the state's output and the vast majority of its exports. But more frequent droughts and floods are putting this foundation at risk, threatening farms, disrupting water supplies, and eroding the livelihoods of millions of people. The proposed project aims to help reverse this trend by strengthening how water resources are managed across the state, improving resilience to climate extremes, and securing access to water and sanitation for vulnerable communities. Contd
The effort is supported by a USD186 million loan from the International Bank for Reconstruction and Development (IBRD). On the agricultural side, the project will support around 9,200 farmers in protecting their farms against drought and extreme weather across more than 130,000 hectares, reducing crop losses during dry seasons and helping farming operations remain viable and productive. For families in rural areas, improved water and sanitation services will reach approximately 60,000 people, extending access to communities that have long been underserved. In urban areas, water safety measures will help protect more resilient water supply services for 2.2 million residents.
Beyond strengthening water governance and urban water services, the Project will invest in the restoration of riparian forests and degraded lands across 10,690 hectares of Permanent Preservation Areas (APPs) along rivers and springs, as well as in the adoption of sustainable land management practices on more than 130,000 hectares of agricultural land. By bringing nature-based solutions to the heart of watershed management, the Project will help ensure that the State's rich agricultural landscape and its water resources reinforce each other, strengthening the long-term resilience of both rural communities and urban water supply systems.
"Water is the backbone of the economy, and securing it against a more unpredictable climate is essential for protecting jobs and sustaining growth in Paraná," said Cécile Fruman, World Bank Country Director for Brazil. "This project builds the foundations that farmers, businesses, and communities need to remain productive and resilient in the years ahead."
