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On August 20, 2021, the Japan International Cooperation Agency (JICA) signed a loan agreement with Iller Bank in Ankara to provide a Japanese ODA loan of up to 45 billion Japanese Yen for the Local Authorities Environmental Improvement Project. This project aims to promote social infrastructure development in local authorities affected by influx of the Syrians through providing long-term finance to infrastructure projects including water supply, wastewater management and solid waste management. The project will also contribute to the improvement of living conditions of the Syrians and host communities.

Since the beginning of the crisis in Syria in 2011, Turkey hosts the largest number of Syrians. Given the likelihood of the Syrian crisis to continue, in recent years, many Syrians have chosen long-term or permanent settlement in Turkey. Despite the greater needs for the social infrastructure development, the local authorities need to bear these costs from their independent revenue sources. Furthermore, it is concerned that the stagnant economy and decreased tax revenue triggered by COVID-19 pandemic has given financial strains to the local authorities, thereby making it more challenging to secure enough funds for social infrastructure development.

Under such a situation, this new project will not only reduce the burden on local authorities affected by the influx of Syrians, but will also contribute to the achievement of SDGs Goal 6 ("Clean Water and Sanitation"), 11 ("Sustainable Cities and Communities") and 16 ("Peace, Justice and Strong Institutions"). Moreover, it is expected that the relationship between Japan and Turkey will be strengthened further through the implementation of this project.