For every € 10 million in donor grant funding WFF will raise an indicated € 100 million in local capital, which will provide 2 million people with sustainable water supply services. If you’re interested in learning more, let’s talk.
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Our partners
WFF is associated with the Cardano Development, highly reputed manager of alternative and focused funds with a strong track record in developing and scaling-up innovative finance solutions in frontier markets. The Water Financing Facility received initial funding of € 10 million from the Government of the Netherlands, and is endorsed by The Global Innovation Lab for Climate Finance. We are presently looking for development partners to support our objectives by funding activities with interest in a seat in the Governing Council.
Portfolio
KENYA – The first National Water Finance Facility (NWFF), Kenya Pooled Water Fund (KPWF), has been initiated in Kenya with support of the Netherland Embassy in Nairobi, the Kenyan National Treasury, the Ministry of Water and Irrigation, the Water Sector Trust Fund, USAID, SIDA and SNV. The Kenyan NWFF has been incorporated with a Kenyan Board and senior staff members and expects the first issuance of pooled bond to be issued in 2019. This long term local currency financing will enable water and/or sanitation access to approx. 400,000 people of which 25% are living in designated Low Income Areas. We expect the Kenya NWFF to be able to plan similar bond issuances each year going forward.
How it works
Have 3 minutes? Watch our video on Water Finance Facility’s unique approach.
Tapping local capital markets
The Water Finance Facility (WFF) mobilises large-scale private investment from domestic institutional investors, such as pension funds, insurance companies and other qualified investors, by issuing local currency bonds in the capital market in support of their own country’s national priority actions on water and sanitation service delivery. The aim is to develop several country level water financing facilities, which can issue bond in their capital markets to provide long-term loans to public or private water utilities that have little or no access to commercial finance or that have access at unfavorable terms, such as short tenors. Through the pooling of projects of credit worthy water and sanitation companies, the bonds will have lower risk. This risk can be further reduced, if reserve funds, guarantees, soft loans or grants for blended finance can be incorporated into the capital market structures.