Argentina’s water sector is set to get a boost thanks to a $100 million deal signed with the Saudi Fund for Development.

The soft loan agreement — which marks the fund’s first presence in the South American country — aims to contribute to financing the first phase of the joint water canal construction project in Santa Fe and Cordoba, according to a statement.

This initiative aligns with SFD’s commitment to promoting sustainable development across Latin America to enhance living standards and contribute toward socio-economic prosperity.

It will also support the growing demand for portable water in the two provinces, contributing to the country’s economic resilience.

In addition, it aligns well with the UN Sustainable Development Goals, specifically SDG 3, Good Health and Well-being, and SDG 6, Clean Water and Sanitation.

“We are proud to play a role in this important initiative and look forward to continuing to support projects that improve access to potable water in developing countries and which help to positively impact the lives of many,” said the CEO of the Saudi Fund for Development, Sultan bin Abdulrahman Al-Marshad.

He further emphasized that access to safe water, sanitation, and hygiene stands as a fundamental human necessity for health and well-being, highlighting that it helps to prevent a range of water-related diseases.

“This signing marks the beginning of a strong economic partnership between the SFD and Argentina, and we are grateful for the support that will help our development,” noted the Cordoba Gov.Juan Schiaretti.

Meanwhile, the provincial governor of Santa Fe, Omar Perotti, underscored: “Today is an important day for Argentina, marking our first collaboration with SFD to establish an aqueduct that will change many lives for the better.”

This agreement makes Argentina the 93rd country to benefit from the fund.

SFD has financed more than 750 development projects worth $20 billion in over 90 countries. It works to assist developing nations by funding social and infrastructure projects.

It covers diverse fields, including transport, communications, agriculture and renewable energy, among other sectors.