7 Oct 2011

ADB to assist Palau with water services

2:40 pm on 7 October 2011

Palau and the Asian Development Bank have signed a loan worth 16 million US dollars to help Palau improve the sustainability and cost effectiveness of its water and sanitation services.

It is the first loan agreement between the ADB and Palau.

The loan will fund the Water Sector Improvement Programme, which will address regulatory, management, technical and pricing problems that currently result in high non-revenue water losses and undermine cost recovery.

The government subsidises the bulk of the cost of water and this is placing a heavy burden on its finances.