Mexico City, Mexico - The World Bank (WB) Board of Directors has approved a loan of $105.26 million for modernizing the National Meteorological Service (SMN) of Mexico.

The objectives of the project are to better respond to a growing demand for accurate weather information to improve water management resources and disaster risk management in weather related events.

The modernization plan includes SMN institutional redesign, human resource recruitment and training, installation of modern infrastructure, and improved climate modeling techniques to generate weather forecasts and alerts.

"Modernizing the SMN forms part of the Federal Government's efforts to adapt to climate change, a global phenomenon that is generating serious challenges for Mexico, such as increasingly longer drought periods, as well as increasingly severe hurricanes," said Jose Luis Luege Tamargo, general director of the National Water Commission.

"This loan will help improve the reliable climate information in Mexico; to enable the proper management of water resources, and address the risks posed by natural disasters in the context of climate change," said Gloria M. Grandolini, World Bank director for Mexico and Colombia. "It is expected that improvements in the early warning systems for hydrometeorological disaster risk management will generate significant benefits to vulnerable populations such as small-scale farmers and inhabitants from poor neighborhoods located in susceptible areas."

"Once again, Mexico shows its commitment in terms of adaptation and mitigation to climate change by recognizing that adequate weather information constitutes an essential economic value," said Grandolini.

The long term goals of this project include increasing the accuracy of weather forecasts by 80% and increasing the amount of weather information generated by the SMN by 95%.

The project will cost 170.96 million dollars, of which 66 million will come from the Mexican government and 105.26 million will be financed by the World Bank. The loan has a variable interest rate and margin, the maturity date is October 15, 2024, and its terms include a 12 year grace period.