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AfBank $250m-loan to Rwanda

For better access to water, sanitation services

by Blitzindiamedia
December 17, 2023
in Global South
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THE African Development Bank Group’s Board of Directors granted approval for loans totalling $250 million to Rwanda on December 1. The funds aim to enhance the populace’s access to water and sanitation services, with the Sustainable Water Supply and Sanitation Programme for Transformation at the forefront of this initiative.

In the first phase of this programme, the Bank will provide a loan of $199.5 million, complemented by an additional $50 million from the Africa Growing Together Fund (AGTF), a collaborative financing initiative between the African Development Bank and the People’s Bank of China.

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The Rwandan Government will contribute $24.7 million, ensuring a robust financial foundation for the programme, scheduled for implementation over five years, from January 2024 to December 2029.

The programme’s primary objective is to enhance access to water supply and sanitation services while fortifying water resource management and the operational efficacy of water and sanitation service providers in targeted regions. It also seeks to enhance the Rwandan population’s resilience to climate change.

Structured into four components, the programme encompasses investments in water supply, drainage basin management, sanitation investments, programme management, and sector support. The project will facilitate the administration of a programme framework conducive to effective investment planning.

The inaugural phase concentrates on infrastructure enhancements at the Nzove water treatment plant and the establishment of water supply networks for Nyaruguru-Huye-Gisagara, Mwange, Muhazi, Mugesera, and Kivu Belt.

The refurbishment of the Nzove 1 water treatment plant, initially constructed in 2008, will restore water production to its nominal capacity of 40,000 cubic metres per day, compared to the current 13,000, benefiting an additional 227,000 people.

The establishment of a water supply network for Nyaruguru-Huye-Gisagara, drawing water from the River Akanyaru in Nyaruguru district, aims to meet the growing demand for water, reaching 37,544 cubic metres per day by 2050, catering to 1,248,902 people.

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