Mexico, the United States, and Texas Support Major Investments in Water Conservation

Officials representing Mexico, the United States, and the State of Texas announced today significant progress under the North American Development Bank’s (NADBank) Water Resilience Fund (FRH), including plans to invest nearly $164 million in water conservation in the Rio Grande Valley in Texas, as well as progress on projects aimed at strengthening water reliability in northern Mexico.

Among the officials participating in the announcement were Mexico’s Ambassador to the United States, Roberto Lazzeri Montaño; NADBank CEO John Beckham; and Texas Water Development Board (TWDB) Chair L’Oreal Stepney.

During his remarks at the NADBank Summit 2026, Ambassador Lazzeri Montaño highlighted the importance of binational cooperation in addressing the worsening drought and strengthening long-term water security along the border between the two countries.

“ “Water security has become one of the most critical challenges for the future of the U.S.-Mexico border region,” stated Ambassador Lazzeri, adding that “as drought conditions become increasingly severe and prolonged, the Water Resilience Fund demonstrates the value of binational cooperation and strategic investment in strengthening the future of our shared border. “I look forward to announcing funding for water infrastructure in Mexican border communities soon.”

In addition, Ambassador Lazzeri acknowledged the progress made in implementing the Water Resilience Fund in Mexico, where the call for project proposals generated 112 expressions of interest from communities in the country’s six northern border states. In Mexico’s case, the program will prioritize investments in municipal systems that conserve water or diversify supply sources. This will enable communities to make better use of scarce resources, increase their resilience to droughts, and improve their finances. Sixty percent of the projects submitted came from Mexican states located along the Rio Grande.

NADBank CEO John Beckham announced the Bank’s intention—subject to approval by its Board of Directors—to provide approximately $76 million in FRH financing to 12 irrigation districts in the Rio Grande Valley in Texas. The projects are expected to conserve approximately 44,000 acre-feet (54 million cubic meters) of water annually through infrastructure improvements, such as lining or piping canals and optimizing system efficiency.

“One year after the launch of the Water Resilience Fund, we are pleased to announce our intention to fund nearly $76 million in investments in South Texas for projects selected during the first call for project proposals. By collaborating and pooling our resources with the Texas Water Development Board, the U.S. Office of Recovery, and irrigation districts, we will maximize the impact of every dollar invested to conserve valuable water resources and ensure a reliable water supply for communities in the Rio Grande Valley,” said John Beckham, CEO of NADBank.

Mr. Beckham added, “The progress we’ve made is the result of strong teamwork. I’d like to thank our Board of Directors, the Bank’s staff, and our partners at the TWDB for their dedication and collaboration in advancing this important priority so quickly.”

Under the Water Resilience Fund, NADBank financing can cover up to 50 percent of each project’s total cost, which will help mobilize local, state, and federal co-investments. The investment of approximately $164 million will come from the following co-financiers:

● NADBank, with loans and grants totaling up to $76 million;

● Texas Water Development Board, with a commitment of nearly $70 million in grants, subject to approval by its board of directors at the September meeting; and

● U.S. Recovery Office and participating irrigation districts, which together will contribute about $18 million to support project implementation.

NADBank will continue to collaborate with federal, state, and municipal partners in Mexico to evaluate, structure, and finance eligible projects. Future program priorities include advancing project development, expanding coordination among government agencies, and measuring the water savings generated by the funded investments.

Launched in 2025, the Water Resilience Fund is among the most important binational initiatives focused on improving the reliability of water supply along the U.S.-Mexico border and is designed to promote and accelerate investments that foster water conservation, efficient water use, and the diversification of water sources for communities facing increasing water stress.

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