Germany and Namibia have signed three agreements to improve water supply in the north central regions and upgrade informal settlements.
This will see Germany giving N$383 million in grants to Namibia through the Kreditanstalt für Wiederaufbau (KfW) Development Bank.
A joint statement from the National Planning Commission and the Embassy of Germany on Monday announced the three grants of N$192, N$134 and N$57 million, respectively.
“The grants are [to be] used for the water sector (Ohangwena groundwater system and technical assistance for NamWater) and urban development (infrastructure measures in informal settlements),” notes the statement.
The N$192-million grant will fund the Ohangwena Aquifer Climate Resilient Water Supply Project, which aims to create a network of smaller, decentralised water treatment and distribution systems to improve access to clean drinking water for an estimated 40 000 people.
“The goal is to improve water supply resilience, manage water resources effectively and adapt to climate change impacts,” notes the statement.
The total cost of the project is estimated to be N$483 million and will be financed by the N$192 million, as well as by funds from an additional loan for a second phase of the Water Sector Support Program (WSSP 2).
A concessional loan for the financing of a second phase of the national WSSP 2 in the amount of 75 million euros (N$1.4 billion) is due to be signed.
“This will finance priority water projects in north-central Namibia and will be implemented by NamWater as project-executing agency,” notes the statement, while N$57 million will be utilised to support the establishment of an Urban Development Fund Phase I.
This project will focus on selected informal settlements, working with residents to identify their needs and implement upgrades to infrastructure, including water access.
“The target group is the low to ultra-low income groups who do not otherwise have access to serviced land and land tenure.”
According to the statement, upgrading concepts will be elaborated by Ministry of Urban and Rural Development and local authorities.
“Together with reliable infrastructure services (water, electricity, mobility and access to commercial centres) this bears the potential for local economic development,” notes the statement.
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