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Home News ESG

NABARD Approves ₹6,431 Crore for Uttar Pradesh Irrigation Projects to Boost Farmers

Staff Writer by Staff Writer
01/04/2026
in ESG, Finance & Markets, News
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The National Bank for Agriculture and Rural Development (NABARD) has approved funding totalling ₹6,431.34 crore for three major irrigation projects across Uttar Pradesh, a move expected to transform irrigation access for millions of farmers and strengthen the state’s resilience to water stress and floods.

Uttar Pradesh irrigation projects will expand water access and control floods

The packages approved include ₹1,353.86 crore for the Arjun auxiliary canal in Bundelkhand, ₹1,899.35 crore for the Saryu canal in eastern Uttar Pradesh and ₹3,178.04 crore for Middle Ganga Canal Phase-2 in western UP. Together, these projects target improved irrigation coverage, drinking water supply and flood management across widely separated regions of the state.

The Arjun auxiliary canal will focus on drought-affected districts in Bundelkhand, including Mahoba, Hamirpur and Banda. Several components of the scheme along the Dhasan river are already complete. The new allocation will allow completion of outstanding works, particularly in Hamirpur district, reducing farmers’ dependence on erratic rainfall and providing water for livestock and domestic use.

The Saryu canal project covers a broad swathe of eastern Uttar Pradesh. Districts to benefit include Bahraich, Shravasti, Balrampur, Gonda, Basti, Sant Kabir Nagar, Maharajganj, Siddharthnagar and Gorakhpur. Once completed, the scheme is expected to serve more than 30 lakh farmers across 6,227 villages and provide irrigation to some 15 lakh hectares. The project will also channel surplus flows from the Saryu, Rasti, Banganga and Rohini rivers, easing local waterlogging and boosting agricultural productivity.

Middle Ganga Canal Phase-2 aims to strengthen irrigation infrastructure in western Uttar Pradesh, with specific benefits for Sambhal, Moradabad and Amroha districts. The project is designed to improve flood management in the Ganga basin while expanding water availability for agriculture, fisheries and potable supply.

Across the three schemes, NABARD expects more than one crore farmers to gain direct benefit. Authorities say the projects will increase cultivated area under assured irrigation, support diversified cropping and expand allied activities such as fisheries. Improved water supply for livestock and households is also a key objective, which would contribute to rural incomes and local livelihoods.

Officials highlight the climate adaptation benefits of the investments. By reducing dependence on monsoon rainfall and enabling controlled distribution of surplus river flows, the projects aim to mitigate both drought and flood risks. The funding aligns with the Uttar Pradesh government’s stated priorities for rural development and agricultural growth.

Completion of these projects will require coordinated implementation by state departments, local agencies and finance bodies. NABARD’s approval provides the financial backbone, but timely execution will determine how quickly farmers see gains in productivity and income.

In sum, the investment represents a significant step towards modernising irrigation infrastructure in Uttar Pradesh. By expanding irrigation coverage, improving water management and supporting allied rural activities, the projects have the potential to strengthen the state’s agrarian economy and improve resilience against climate variability.


Key Takeaways:

  • NABARD has approved ₹6,431.34 crore for three major Uttar Pradesh irrigation projects to expand irrigation, drinking water and flood control.
  • The projects — Arjun auxiliary canal in Bundelkhand, Saryu canal in Purvanchal and Middle Ganga Canal Phase-2 in western UP — will benefit over one crore farmers.
  • More than 15 lakh hectares will gain irrigation, with additional gains for fisheries, drinking water and drought resilience.
  • The investments aim to raise rural incomes, reduce rainfall dependence and strengthen climate resilience in eastern, western and Bundelkhand regions.
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