The Asian Development Bank (ADB) has approved a $763 million investment program, including a $20 million grant from the Asian Development Fund (ADF), to help Cambodia expand access to clean water and sanitation, strengthen water security and make its cities more resilient and livable.
The investment program for livable, resilient and water-secure cities will provide financing in stages to improve water services in 14 cities and 12 districts across the Mekong, Tonle Sap and coastal regions. It will prioritize inclusive access to water and urban services, with poor households expected to account for about 15 percent of direct beneficiaries.
ADB Cambodia Country Director Yasmin Siddiqi said: "This investment program will help Cambodia build climate-resilient and inclusive urban services that support not only livability but also productivity and competitiveness. By improving water supply, sanitation and other urban services, we aim to directly benefit more than two million people, ensuring that even the most vulnerable communities are not left behind."
Cambodia has made significant progress in access to basic water supply and sanitation, reaching nearly 83 percent in 2024 from 73 percent for water supply and 54 percent for sanitation in 2015. However, key challenges remain. Services including wastewater sewerage, stormwater drainage and solid waste management need improvement to meet demand and address increasingly severe climate challenges.
More than half of Cambodia's population is exposed to flood risk. Without effective adaptation measures such as stormwater drainage, annual climate-related losses could reach $10.6 billion by 2050, reducing gross domestic product by up to 10 percent. Urban areas are particularly vulnerable: the urban population is projected to increase by about 47.8 percent, from 4.6 million in 2024 to 6.8 million in 2040, or 35 percent of the national population.
The investment program aligns with the Cambodian government's goals of strengthening urban resilience, reducing poverty and achieving the Sustainable Development Goals. It will support short- and long-term priority investments to expand and sustain resilient urban infrastructure and services, improve water security, and strengthen institutional capacity and service delivery.
Divided into four financing tranches with an estimated total cost of $966 million, the program will use a phased approach suited to the actual capacity of executing and implementing agencies. This allows flexibility, effective management and the incorporation of lessons and experience to strengthen implementation by the institutions involved. The tranches will proceed sequentially to ensure the overall program's quality, impact and sustainability.
ADF grants aim to help the most vulnerable countries in Asia and the Pacific. From 2021 to 2024, the fund helped about 385,000 people escape poverty and created more than 500,000 jobs.
ADB is a leading multilateral development bank supporting inclusive, resilient and sustainable growth across Asia and the Pacific. Working with its members and partners to address complex challenges, it uses innovative financing tools and strategic partnerships to transform lives, build quality infrastructure and protect the planet. Founded in 1966, ADB is owned by 69 members, 50 of them in Asia and the Pacific.
Source: Ministry of Information
Edited by: ចិន្តា ទីទិ
