ADB Approves USD 150 Mln Loan for Water Supply, Sanitation in Georgia

The Asian Development Bank (ADB) announced on September 30 that it has approved USD 150 mln (in Euro equivalent) in loans to upgrade water supply and sanitation services in Georgia, providing a USD 130 mln policy-based loan and a USD 20 mln project loan.

ADB Principal Urban Development Specialist Heeyoung Hong noted that the existing water supply and sanitation operation in Georgia is inefficient, compromising the sustainability of the sector and failing to overcome disparities between urban and rural areas.

“About 92% of urban and 64% of rural residents receive piped water, while 84% of urban and 20% of rural residents have access to sewerage systems. Only 36% of the total population benefit from wastewater treatment,” the ADB announcement reads, adding that Georgia’s water supply ranging from four hours to 24 hours per day, poses “a significant health risk during the coronavirus disease (COVID-19) pandemic.” 

According to ADB, the project-based loan of USD 130 mln will support the operation and maintenance capacity of the state-run United Water Supply Company of Georgia (UWSCG). Based on the announcement, the loan will enable a 24-hour water supply in the eastern town of Telavi, and increase the number of household connections from 40% to 100%.

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