WATER, SANITATION, AND HYGIENE FINANCE

Speeches Shim

Zambia’s vision for the water and sanitation (WASH) sector is clean, accessible, safe water and sanitation for all by 2030. At the end of 2018, urban service coverage for water and sanitation services were estimated at 86% and 63% respectively. Approximately $394 million per year is needed to achieve Zambia’s 2030 WASH goal. However, despite contributions from development partners, the WASH sector in Zambia is significantly underfunded. The Zambian government’s WASH budget is only 51% of the annual requirement and expensive private financing makes it unaffordable for public or private service providers to borrow for large-scale and long-term investments. The WASH-FIN program addresses these challenges through key partnerships with urban water and sanitation companies to support access to affordable finance to improve quality WASH services in Zambia.


  • Life of Project: July 2019 - September 2021
  • Geographic Focus: Copperbelt, Eastern, and Lusaka Provinces
  • Implementing Partner: Tetra Tech
  • Team Leader: George Ndongwe
  • Total USAID Funding: $2 million
  • USAID/Zambia Contact: Mundia Matongo - mmatongo@usaid.gov
 

Despite financing challenges, there is a large appetite from water and sanitation commercial utility companies (CUs) to expand their networks. The WASH-FIN program partners with these CUs to strengthen their creditworthiness and access finance to expand their water and sanitation networks. 

WASH-FIN partnered with four select water and sanitation companies in Eastern province, Mulonga, Nkana, and Lusaka. The program supports these CU’s to improve internal efficiencies, services to their customers, overall performance, creditworthiness, and their ability to present a strong operational position to potential lenders.

WASH-FIN provides project preparation and transaction facilitation support to enable creditworthy CUs to pursue financing for viable investment opportunities including the development of public - private partnership structures. 

WASH-FIN supports the Government of the Republic of Zambia to develop a comprehensive financing framework for the water and sanitation sector. WASH-FIN will engage in a dialogue and stakeholder consultation to understand potential opportunities around the establishment of a water sector financing framework. 

Expected Results

The goal of this 24-month program is to provide strategic, targeted support to ensure CUs have access to repayable finance to provide improved water and sanitation services to customers. By the end of the program, WASH-FIN expects to mobilize $7 million for improved WASH services, strengthen the ability of three CUs to provide water and sanitation services, and provide new water supply to 10,000 Zambians. 

Issuing Country 
Date 
Monday, January 25, 2021 - 2:00am

Last updated: January 25, 2021