Development partner support for WASH.

 

Aid and technical assistance from development partners is an important component and funding source to build, strengthen and maintain WASH systems and services in many developing countries. While development partner support for WASH remains high, major shifts are ahead in the official development assistance (ODA) landscape. Twenty-one development partners, including multilateral development banks, bilateral donors and NGOs, completed the GLAAS 2024/2025 development partner survey. In this section, data from the GLAAS development partner survey are complemented with ODA data from the OECD Creditor Reporting System (CRS). This section focuses on trends in water and sanitation ODA, priorities, targets and strategies of development partners, leveraging funding and looking towards the future of aid for WASH.

Bilateral and multilateral donors that report development aid activities to the OECD reported total ODA commitments of US$ 306 billion in 2023, a 1.1% decrease from US$ 309 billion in 2022 (Table 7.1). ODA commitments for water supply and sanitation also decreased, much more significantly than total ODA, from US$ 9.4 billion to US$ 8.5 billion from 2022 to 2023, a 9.0% decrease (Table 7.1; Fig. 7.1).  

The geographical distribution of ODA for water supply and sanitation has shifted markedly since 2020. In sub-Saharan Africa, the proportion of water supply and sanitation ODA commitments increased from 25% in 2020 to 40% in 2023, while Central and Southern Asia saw a decrease from 19% to 11%, and Eastern and South-Eastern Asia saw a decrease from 19% to 6% over the same period (Fig. 7.2).

Since 2010, disaggregated ODA data to basic and large water supply and sanitation systems have been collected by subsector (i.e. water supply or sanitation). While not all projects are amenable to disaggregation, over US$ 3.2 billion (48%) in ODA disbursements was disaggregated between the two subsectors in 2023. Trend data indicate that the percentage of ODA to sanitation fluctuates between 31% and 40% of allocable ODA, and that it declined from 40% to 34% from 2021 to 2023.

Seventeen development partners that participated in the GLAAS 2024/2025 development partner survey reported they have a multiyear strategy specifically for water or WASH (Table 7.2), with eight revising their water or WASH strategies in 2024 or 2025 to address climate resiliency in WASH, increase prioritization on WASH system strengthening, add menstrual hygiene management and/or focus on reinventing the toilet.

In the GLAAS 2024/2025 development partner survey, development partners were asked to rank priority areas for water and sanitation from “very low” to “very high” on a five-point scale. Results show there is a wide range of development partner priorities. Nevertheless, four areas emerged as high priorities for the majority of development partners: (a) strengthening policies and institutions for sustainable WASH delivery, (b) coordination and alignment of priorities with recipient governments on water and sanitation, (c) WASH systems strengthening and (d) climate-resilient WASH (Fig. 7.4).

 See section 10 on climate and WASH for information on how development partners are addressing climate-resilient WASH. Box 7.1 provides an example of coordination and alignment through the UN System-wide Strategy for Water and Sanitation.

When donors report to the OECD-CRS on ODA, they categorize how their ODA targets gender equality. The gender equality policy marker has three categories, defined as follows (1). 

• Principal: Gender equality is the main objective of the project/programme and is fundamental to its design and expected results. The project/programme would not have been undertaken without this objective. 

• Significant: Gender quality is an important and deliberate objective, but not the principal reason for undertaking the project/programme, often explained as gender quality being mainstreamed in the project/programme. 

• Not targeted: The project/programme has been screened against the gender marker but has not been found to target gender equality.

Ten development partners participating in the GLAAS 2024/2025 development partner survey reported that gender is a top-five aid priority for their organization, and five development partners noted menstrual health and hygiene is a high priority or focus for their WASH activities. Below are examples of some development partners’ specific activities/programmes related to gender and WASH. 

• AECID implements gender mainstreaming in three areas: (a) addressing women’s specific needs in water and sanitation; (b) promoting the conditions for women’s effective social and political participation in water management decisions; and (c) providing technical, administrative and system management and operation training, contributing to women’s professionalization in traditionally male-dominated positions. 

• AFD aims to maximize reducing gender inequalities through specific actions, including: – the design of infrastructure adapted to the needs of women and girls, in particular for public toilets, schools and health centres; – the definition of gender-sensitive awareness campaigns on hygiene and the uses of water, to target messages and adapt implementation arrangements, as well as to integrate specific topics such as menstrual hygiene; – the consideration of gender in subsidized connections policies and campaigns; – the consideration of women’s voices in the decision-making process for project implementation, as well as for resources and service management; and – the evolution of operators’ human resources policies and implementation strategies to develop women’s access to training and employment opportunities and to promote the development of inclusive working environments.

 • The European Commission’s action “Beyond pipes and toilets: promoting the human rights to water and sanitation through advocacy, coordination and accountability” seeks to advance the human rights to safe drinking-water and sanitation, especially for women, girls and vulnerable groups, through advocacy, multistakeholder engagement and improved monitoring. 

• FCDO’s WASH for Health Programme strengthens national WASH systems by embedding gender and inclusion into local planning and monitoring. It supports gender inclusion at a community level, involving women and women-led organizations in WASH planning and budgeting.

• As part of the WASH for Health Programme, IRC published a learning note that looks at integrating gender-, equity- and social-inclusion-based approaches into WASH systems strengthening approaches. 

• SHF integrates gender equality and social inclusion across all pillars of its strategy – building markets, scaling value chains and ensuring sustainable impact. In 2024, SHF launched Capital M, its flagship initiative for menstrual health market development. Capital M provides a structured pathway to drive systemic market reform, tackle volume, scale and enterprise development under a single, unified platform. It is designed to expand access to menstrual health products by making a range of options available on local markets that women and girls want to use, trust and can afford. 

• Water For People has mainstreamed gender and inclusion in all of its programming. One specific example is in the Plurinational State of Bolivia where Water For People is implementing the Women Plumber Certification Initiative, where more than 70 Indigenous women are taking on an unexpected yet vital role: training to become plumbers. Breaking gender stereotypes, these women are gaining technical and business skills to ensure water access in their communities. They are not only learning how to install showers, tanks or irrigation systems, but also stepping into leadership roles in a field traditionally dominated by men. 

• In the 2024 fiscal year, all 23 approved World Bank water projects conducted gender analysis and included gender actions that will be monitored during implementation. Of these 23 projects, 14 addressed voice and agency, two targeted gender-based violence and six focused on health. In terms of employment, 12 projects included the creation of medium- and high-skilled job opportunities for women

In the GLAAS 2024/2025 development partner survey, development partners were asked to report their specific global or regional targets for increasing access to water and sanitation services. Table 7.3 highlights those targets.

 

Globally, external aid in the form of grants and repayable finance comprises less than 18% of total WASHfunding (Fig. 6.13), while available funding is only a third to a half of what is needed for countries to meet their national targets. Recognizing that funding needed to reach national targets exceeds current financial flows and that development aid may become increasingly scarce in the coming years, development partners are seeking to leverage limited resources to mobilize additional funding for WASH from government, commercial finance, the private sector and other donors. Sixteen development partners provided examples that highlight how their organizations have been able to leverage their financial or technical assistance to encourage increased funding for the WASH sector. 

• Co-financing with other partners: JICA has supported the development of a water supply plan for Kigali, Rwanda, including a feasibility study on priority projects. The JICA plan has helped mobilize development funds from other development partners, including the construction of a water treatment plant supported by the Hungarian Government with a US$ 52 million loan. In addition, loans from the Saudi Development Fund and the OPEC Fund for International Development (US$ 20 million and US$ 21 million, respectively) have supported the construction of water transmission and distribution facilities.  

• Leveraging aid through ongoing partnerships and trust funds: ADA and AfDB noted support to the African Water Facility, which has provided grants and technical assistance to ensure projects are bankable and viable and has led to the mobilization of 10 times the investment amounts. FCDO, along with other partners, has leveraged its funds through support to the Global Water Security & Sanitation Partnership to increase knowledge and scale up water sector investments. AFD, along with other development partners, has supported SWA to help encourage increased financing/funding commitments by national governments. The Gates Foundation cites its legacy contributions to all major development banks as contributing to increased leveraging across Africa and Asia. 

• Leveraging technical and financial support to catalyse investment in water utilities: Germany, in cooperation with other partners, announced the transformative Urban Water Catalyst Initiative at the UN 2023 Water Conference to emphasize the critical role of water operators in driving sustainable economic, environmental and social development, and achieving the human rights to water and sanitation. The Urban Water Catalyst Initiative seeks to improve urban WASH services by enhancing the operational and financial performance of water utilities in countries such as Colombia, Egypt, Indonesia, Kenya and the United Republic of Tanzania. It also aims to enhance access to financing for sustainable investments in climate-resilient and socially inclusive drinking-water and sanitation infrastructure. The initiative will be implemented through a Turnaround Facility, established as a foundation in the Kingdom of the Netherlands. 

• Secure matching funding from governments or the private sector: SHF has mobilized additional resources from the public and private sectors, with a view to creating sustainable and resilient markets. A successful example is in Uganda, where the government supports a results-based finance programme for sanitation. Water For People has principles/criteria for making an investment in any country, which include securing co-finance from national governments. An example is the Rulindo Challenge in Rwanda, where the national government has provided over US$ 12 million to a joint programme to achieve universal and sustainable services. This arrangement in Rwanda has helped lead to approval of a US$ 300 million loan from AfDB to the Government of Rwanda for two national programmes focused on sustainable and resilient services. 

• Support and advocacy to encourage governments to commit more funds to WASH and attract additional resources: In Burundi, UNICEF and partners have advocated for increased sectoral investment and sector reform, leading the government to double WASH budget allocations from 2019 to 2025. WaterAid has prioritized national policy advocacy and influencing for increasing WASH financing. In Uganda, the Ministry of Water and Environment and WaterAid Uganda have successfully secured US$ 9.5 million from the Adaptation Fund for climate adaptation measures including climate-resilient WASH in the Mpologoma River basin. WHO has contributed to activities such as government roadmaps, pilots and national policies that have the aim of expanding financing envelopes and stakeholder engagement. In Mozambique, post-training assessments have shown significant participant improvement, reinforcing institutional ownership and paving the way for broader implementation and investment in WASH in health care facilities.

• Using blending instruments to reduce commercial or private sector risk of WASH investments: AFD has financed a 3 million euro grant, which uses an innovative financial tool that mobilizes private finance – the Development Impact Bond – for an integrated programme to improve menstrual hygiene management in Adama, Ethiopia. Water.org’s flagship WaterCredit initiative has mobilized over US$ 6.5 billion in capital from financial institutions and households cumulatively. In Peru, Water.org has collaborated with financial institutions and the national development bank on a blue bond, which has generated US$ 26.5 million in capital for water and sanitation expansion and improvements among households. The European Commission has used the Latin American and Caribbean Investment Facility as a regional blending mechanism to support and leverage investment projects in countries benefiting from the European Union’s external cooperation. By strategically combining a limited amount of grant funding with financing from eligible financial institutions and the private sector, the European Commission aims to maximize the development impact of these investments.

 • Supporting WASH markets: Sida has provided grant support to the organization WASTE and its programme Take-a-Stake with the purpose to invest in small- and medium-sized WASH enterprises and with the aim to prove investment worthiness.

Given the shifting aid environment, development partners recognize that the decreasing availability of financial resources may dramatically reshape their strategies and priorities for WASH. Among bilateral donors, several indicate strong commitments to supporting the WASH sector, but recognize that reductions to funds for ODA will occur in the future (AFD, FCDO) and that there is an increased need to focus on financial leveraging. BMZ remains strongly committed to supporting the WASH sector through contributions to transitional aid and long-term development cooperation support. JICA, the largest bilateral donor to the water and sanitation sector (in terms of aid disbursements), indicates there are no foreseen impacts on its plans or strategies related to WASH. Among multilateral organizations, UNICEF plans to focus additional efforts on climate resilience and financing, but foresees negative impacts on WASH programming and staffing, and humanitarian response capacity. Meanwhile, AfDB envisions bigger investments in water and WASH for 2026–2030 to attain or move closer to SDG 6 targets and will remain active in exploring innovative ways to increase financing. ADB also sees an increase in financing. A significant expansion of ADB’s financing commitments is expected, which will grow by 50% over the next decade, from US$ 24 billion in 2024 to over US$ 36 billion in 2034. This will have related and direct impacts on growth in investment for WASH. The European Commission expects to increase leveraging of its aid through the Global Gateway tools, blended finance and private sector engagement to close the WASH funding gap. For NGOs, many recognize that the new aid environment will make raising funds more challenging and more competitive (WaterAid, Water.org), even in the sphere of private and corporate funding. IRC expects to be increasingly focused on demonstrating the change and impact of system strengthening, and ensuring work towards the SDG targets remains well focused. Climate resilience and finance are priorities.