Water Financing Trends

In 2016 over 85% of funding for the development of the water sector in Africa came from two sources - ICA members and African national governments. Total financial commitments increased to $10.5bn in 2016, up from $7.5bn in 2015. African national government spending increased from $3.5bn in 2015 to $4.4bn in 2016 while ICA commitments rose from $3.2bn to $4.7bn.

Arab Co-ordination Group (ACG) commitments also increased, from $378m to $1bn. Commitments from regional development banks fell from $48m to $9.4m and, as in the previous year, no Chinese investments in the sector were reported for 2016.


Total water sector financing by source, 2013-2016


For a second year running, North Africa attracted the greatest investment in water projects, with total financing reaching $2.6bn, almost half of which was provided by African national governments. East Africa saw an increase in commitments, from $1.8bn to $2.5bn, with the largest proportion of this coming from ICA members. Financing of water projects in West Africa reached $2.1bn, a significant increase on 2015, with more than half provided by ICA members. Commitments made to Central and Southern Africa (including the Republic of South Africa) also increased relative to 2015.


Total water sector financing by region 2016

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