The World Bank today notified the Government of Lebanon (GOL) of its decision to cancel the undisbursed funds under the Water Supply Augmentation Project (Bisri Dam Project) due to non-completion of the tasks that are preconditions to the commencement of construction of the Bisri Dam.

The Bisri Dam project had been under partial suspension since June 26, 2020 after the World Bank had, since early January 2020, repeatedly raised its concerns about issues adversely affecting its successful implementation. The World Bank had established July 22, 2020 as a deadline for the GOL to meet all the requirements in a manner satisfactory to the Bank for said partial suspension to be lifted, in the absence of which the suspended portion of the loan would be canceled.

In sum, as of the agreed deadline of September 4, 2020, the World Bank has not received satisfactory evidence that the three required actions have been achieved. Consequently, the above-mentioned cancellation has entered into effect.