Kyrgyz Republic Launches $121M Water Program to Improve Lives of 450,000

The total financing envelope for the program over ten years stands at $400 million, with a focus on long-term sustainability, efficiency, and institutional capacity building in the water and sanitation sectors.

In a landmark move to advance public health, human development, and environmental sustainability, the World Bank’s Board of Executive Directors has approved $121 million in financing for the first phase of the Kyrgyz Republic Water Supply and Sanitation Universal Access Program. This large-scale initiative aims to ensure universal access to safe and reliable drinking water and adequate sanitation across the country over the next decade.

The program represents a significant milestone in the Kyrgyz Republic’s commitment to achieving the goals outlined in its National Development Strategy, including improved quality of life for its citizens and stronger climate resilience. The total financing envelope for the program over ten years stands at $400 million, with a focus on long-term sustainability, efficiency, and institutional capacity building in the water and sanitation sectors.

Broad International Collaboration

The $121 million allocated for the first phase comes through an impressive consortium of global development partners:

• $50 million credit from the Asian Infrastructure Investment Bank (AIIB)

• $20 million credit from the OPEC Fund for International Development

• $9 million grant from the Swiss Agency for Development and Cooperation (SDC)

• $3.75 million grant from AIIB

• $38.25 million from the International Development Association (IDA) — the concessional lending arm of the World Bank Group

“This is a powerful example of what multilateral cooperation can achieve,” said Odete Duarte Muximpua, World Bank Senior Water Supply and Sanitation Specialist and Task Team Leader. “Together with our partners—AIIB, OPEC Fund, and SDC—we are enabling the Kyrgyz Government to deliver on a transformative vision that brings clean water and safe sanitation directly to the people, especially those in underserved rural communities.”

Transformative Impacts for Rural Communities

In its initial phase, the program is expected to benefit over 450,000 residents across 126 rural villages and small towns located in the Chui, Issyk-Kul, and Osh regions.

Among these beneficiaries:

• Most will receive new piped water connections directly to their homes

• 19,000 vulnerable people, including those in marginalized or impoverished households, will benefit from improved sanitation facilities

• 115,000 people, predominantly children in schools and patients in health clinics, will see upgraded hygiene and sanitation facilities in public institutions

“These investments are about more than just infrastructure,” noted Hugh Riddell, World Bank Group Country Manager for the Kyrgyz Republic. “They are about creating the foundations for human capital development—improving health, education, and livelihoods. Over the next decade, the program will touch the lives of one million Kyrgyz citizens, fostering inclusive prosperity and climate resilience for generations to come.”

Three Pillars of Investment

The program will finance initiatives across three core areas, ensuring a holistic and sustainable approach to water and sanitation service delivery:

1. Water Supply Investments

   • Construction and rehabilitation of water supply systems

   • Emphasis on energy-efficient and climate-resilient technologies

   • Upgrades to water distribution networks to enhance reliability and reduce water losses

   • Increased access to safe drinking water, especially in areas vulnerable to droughts and climate shocks

2. Sanitation Development

   • Construction of decentralized and resilient sanitation infrastructure in vulnerable communities

   • Sanitation upgrades in schools, kindergartens, and healthcare clinics

   • Improved fecal sludge management systems to curb environmental pollution and health risks

3. Performance-Based Service Improvement Program

   • Financial incentives for local water and sanitation service providers to improve operational efficiency and financial sustainability

   • Technical and institutional capacity-building for government agencies and utilities

   • A vocational training initiative designed to cultivate a skilled workforce in the water sector, with a focus on gender inclusion and equal training opportunities for women

Strong Governance and Implementation Standards

The project will be implemented by the State Institution of Drinking Water Supply and Wastewater Disposal under the Water Resources Service of the Ministry of Water Resources, Agriculture, and Processing Industry, and will run through 2029. It will follow rigorous international standards for procurement, financial management, and anti-corruption compliance, ensuring transparency and accountability in the use of funds.

In keeping with the World Bank Group’s broader mission—to end extreme poverty and promote shared prosperity on a livable planet—this initiative is a key part of its $1.2 billion active portfolio in the Kyrgyz Republic, which currently includes 23 projects across various sectors such as energy, education, health, and governance.

Looking Forward

As the Kyrgyz Republic faces increasing water stress, rapid population growth, and aging infrastructure, this program is both timely and essential. By delivering clean water and sanitation services to even the most remote and underserved communities, the country is laying a solid foundation for public health, economic development, and climate resilience.

This multi-donor, multi-phase approach not only sets a precedent for impactful partnerships but also signals a long-term commitment to building a healthier, more equitable, and more sustainable future for the Kyrgyz people.