The Asian Development Bank has provided a $US4 million emergency grant to the Government of Tuvalu to help drought relief efforts.
The Tuvalu government declared a State of Public Emergency on November 8 due to the extreme drought conditions affecting the country.
It then requested financial assistance from the bank on November 11.
The money comes from the Bank's Pacific Disaster Resilience Program Phase 3.
Aaron Batten from the Asian Development Bank's Pacific Subregional Office said the persistent drought has exhausted rainwater supplies and made groundwater sources unsafe to drink.
"The state of public emergency in Tuvalu triggered by historically low levels of rainfall underscores the compounding impacts of the climate crisis to Pacific island countries," he said.
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