WATER SU.II

closed

The physical component of the project is for the construction of urban water supply facilities in each of the beneficiary cities. This would benefit about 850,000 persons who now have very poor and unsafe water supplies. In addition the project would help develop seven semi-autonomous water enterprises and train staff in management, accounting and operation; strengthen the project implementation capacity of government agencies responsible for the sector; prepare future water supply projects; improve training institutions; and foster the concepts of cost recovery and efficiency pricing in the public sector. The benefits of the project and the organization, training and financial safeguards built into the project are considered sufficient to justify the risks which include, inter alia, possible implementation delays, increases in capital costs and poor performance in collecting water bills.