The Asian Development Bank (ADB) is launching a Water Financing Partnership Facility that aims to raise US$ 100 million (EUR 77.1 million) for its Water Financing Program [1] by 2008. The facility will accept grants from both public and private sources including bilateral and multilateral donors, companies and foundations.

About 70 per cent of the funds will go to demonstration projects in the three key areas of rural water, urban water and basin water. The remaining 30% will go to knowledge, capacity, and innovation building activities, engaging civil society, and regional cooperation.

The facility can support project preparation, financial structuring and implementation, reforms and capacity development in project organisations, policy and institutional reforms, and provide funding for goods, works, and services for parts of projects.

Resources will be provided in the form of concessional loans, guarantees etc.

Beneficiaries will include central and local governments, government agencies, and NGOs.

[1] ADB launched its 2006-2010 Water Financing Program in March 2006. It aims to provide safe drinking water and improved sanitation for about 200 million people, better irrigation and drainage services for about 40 million people, reduced flood risk for about 100 million people, and to introduce integrated water resource management in 25 river basins across the Asia-Pacific region.

Related news: Asia: ADB to double investments in water in 2006-2010, Source Weekly, 7 Apr 2006 ; Asia: ADB to share knowledge on innovative approaches, Source Weekly, 7 Aug 2006

Web site: ADB – Water Financing Partnership Facility

Contact: Wouter Lincklaen Arriens, Lead Water Resources Specialist, ADB, water@adb.org ; K. E. Seetharam, Principal Water and Sanitation Specialist, ADB, water@adb.org

Source: ADB, 22 Dec 2006