Water and Sanitation Sector Development - Water Services Trust Fund, Phase III

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The aim of the FC measure is to ensure adequate, hygienically sound, socially acceptable and sustainable water and basic sanitation (WV/SV) for the urban poor in Kenya. The use of the infrastructure provided (DC program objective) will contribute to improving the living conditions and in particular the health situation of the poor population in slums, urban peripheries and informal settlements in and around Kenyan cities. The program sponsor of the FC measure is the Water Services Trust Fund (WSTF), a national financing institution for the mobilization and implementation of sector-specific, poverty-oriented investments. The measures in urban poor areas are implemented exclusively by licensed water supply companies, which must qualify for funding from the WSTF in regularly held tender competitions. The target group of the measure is the population in urban poor areas throughout Kenya who are still inadequately supplied with drinking water and sanitation facilities. The project is being implemented in close cooperation between GIZ and KfW in an integrated, coherent approach with a total duration of around three years. The FC funds are used flexibly and according to needs to improve water supply and sanitary facilities in urban poor areas. The main measures are (1) the expansion of the urban water supply using adapted technical solutions, e.g. water kiosks, and (2) the construction of public and private sanitary units to provide basic sanitary facilities for poor population groups. Innovative operating concepts, needs-based education and awareness-raising measures, and coordinated measures to strengthen the sponsor complement the project. The total cost of the FC measure is around EUR 10.2 million. The FC grant for the program amounts to EUR 8.5 million and is supplemented by a partner's own contribution of EUR 1.7 million (20% of the FC grant). Since the end of 2011, co-financing has been provided with the Bill and Melinda Gates Foundation (BMGF) in the amount of USD 7,130,699 with a focus on expanding basic sanitary facilities.