Since 2008, AquaFund has been the main financing mechanism to support the IDB’s investments in water and sanitation in Latin America and the Caribbean, developing innovative knowledge products and platforms, increasing institutional capacity at all levels and supporting technical studies. It is a flexible fund, open to innovation, which adapts to the changing needs of the region.
The AquaFund provides non-reimbursable financing to activities targeting the most pressing areas, such as:
- Access to water and sanitation in sparsely populated areas.
- Water security and climate change
- Corporate governance of water and sanitation service providers
- Urban drainage and flood control.
The AquaFund is a twin fund capitalized with IDB funds along with donor’s contributions. The IDB has provided up to date US$57 million, and it will expand its contribution annually. The Multi-donor fund counts with the participation of PepsiCo Foundation, the Swiss Cooperation through SECO – Swiss State Secretariat for Economic Affairs - and SDC - Swiss Agency for Development and Cooperation, the Austrian Ministry of Finance and the Spanish Agency for International Cooperation and Development AECID. Partners have contributed with approximately US$31 million, and are actively engaged in the Fund’s management.
The AquaFund supports actions in all countries where the IDB is present in Latin America and the Caribbean, addressing water and sanitation needs in both rural and urban areas. Initiatives are implemented jointly with a wide range of partners, including government entities, water and sanitation utilities (public, private, mix or cooperatives), academic institutions, NGOs and civil society organizations, the private sector and many others.
The Fund’s results are stunning: since its creation the AquaFund has supported more than 124 initiatives, influencing more than US$4.1 billion of IDB’s investments in the water and sanitation arena, and helping governments of the region to achieve universal access to high quality water and sanitation services.