Water Policy Updates
POLICY HIGHLIGHTS & NGO CONCERNS |
ADB'S WATER LENDING
ADB's Water Lending
In the period 1968-1999, ADB has implemented some 437 projects
in water subsectors, at a total financing of $15.7 billion.
About 18 percent of ADB's lending in the water sector has been invested in irrigation and drainage, 28 percent in water supply and sanitation, 17 percent in hydropower, 4 percent in flood control, and the remaining 33 percent in multisector and other water projects.
Since ADB started lending in water in 1968, an average of 18 percent of total Bank lending has been in the water sector. Over the past five years (1997-2002), however, this share decreased to 12 percent.
About 90 percent of ADB's investment in water supply and sanitation has been for urban projects, with the remaining 10 percent directed to investments in rural areas.
Private sector lending in the water sector started in 1999; ADB has already provided three loans for water supply projects, for a total of $124 million -- Chengdu in the People's Republic of China (PRC), Manila, and Ho Chi Minh City (Viet Nam).
ADB's evaluation studies show 51 percent of water-related projects were generally successful, but 11 percent were unsuccessful. Water loans have largely focused on supply-side solutions rather than on water resource issues that include water scarcity and water allocation among different users.
To help implement the water policy, ADB established a multidonor Water Sector Cooperation Fund that provides technical assistance grant funds to promote awareness of critical water issues in the region and to support the pilot demonstration of innovative approaches, including in water financing.
In 2002, the Asian Development Bank conducted a Study on Water in Asian Cities under a regional technical assistance,for Promoting Effective Water Management Policies and Practices. The main objective of the Study was to increase awareness of stakeholders of the issues faced by the urban water sector in developing member countries (DMCs) of ADB and provide policy makers with better strategies to provide access to water for the urban poor.
Under the Study, a team of international and domestic consultants conducted studies on the water situation in 21 Asian Cities (Bangkok, Colombo, Delhi, Dhaka, Ho Chi Minh, Hong Kong, Jakarta, Karachi, Katmandu, Kuala Lumpur, Manila, Osaka, Phnom Penh, Seoul, Shanghai, Singapore, Suva, Taipei, Tashkent, Ulaan Baatar, and Vientiane).
ADB's contact person:
Wouter Lincklaen Arriens firstname.lastname@example.org