The World Bank will contribute US$250 million to modernize drinking water services in the Dominican Republic

The World Bank today approved a US$250 million loan to support the efforts of the Government of the Dominican Republic to improve access to potable water and sanitation services.safely managed and improve the capacity and efficiency of water and sanitation institutions.

This operation will benefit 34,700 households (approximately 121,000 people) with access to potable water and 76,300 households (approximately 276,000 people) with access to a safe sanitation system.

The reform of the water sector is a priority for the Government of the Dominican Republic. Its objective is to transform and modernize the governance and institutional framework of the sector to increase the production of water for human consumption and achieve a more efficient and sustainable use of water resources. The technical and financial support of the World Bank is being and will be key to promoting institutional reforms and investments to modernize the water sector in the country, for the benefit of all”,said Pavel Isa Contreras, Minister of Economy, Planning and Development (MEPyD) of the Dominican Republic.

The US$250 million operation consists of a US$225 million program to increase the climate resilience of households and the provision of drinking water and sanitation services in the provinces of Monte Cristi, Valverde, Santiago Rodríguez, Santiago and La Vega in the Yaque del Norte river basin. The Program will encourage the reduction of water losses, greater access to sanitation services and improvements in energy efficiency.

The responsible entities The National Institute of Potable Water and Sewerage (INAPA), the Corporation of Aqueducts and Sewerage of Santiago (CORAASAN) and the Corporation of Aqueducts and Sewerage of La Vega ( CORAAVEGA), under the coordination and supervision of the Ministry of Economy, Planning and Development (MEPyD).

  The operation it also has a US$25 million component to help address institutional reforms, capacity building, and investments in water information systems and dam safety instrumentation to effectively adapt to climate shocks. This component will support the supervision, coordination, monitoring and evaluation of the program, including the verification and audit of the results and It will be executed by the Ministry of Economy, Planning and Development (MEPyD) as well as by the National Institute of Hydraulic Resources (INDRHI).

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The US$250 million loan is the first of two stages in a 10-year Multiphase Programmatic Approach (MPA), the first of its kind in the Dominican Republic. The MPA Program will support transformative government investments in the water sector to address the challenges of the sector by i) promoting reforms and (ii) improving the quality, resilience and efficiency of water resources management and potable water and sanitation to adapt to the climate change.

“The Dominican Republic has high levels of access to potable water and sanitation infrastructure; however, challenges persist in the quality of services. With this first phase of a 10-year programmatic approach, the World Bank reaffirms its long-term commitment to modernizing the energy sector. drinking water and sanitation in the Dominican Republic, as well as with the improvement of the management of water resources and resilience to climate change”, said Alexandria Valerio, resident representative of the World Bank in the Dominican Republic.

The financing package The World Bank’s MPA Program estimate of US$500 million over ten years will leverage investment from the government, providers of drinking water, sanitation and hygiene, and other development partners. The MPA Program will aim to expand access to 300,000 people to safe drinking water supply and 600,000 people to safely managed sanitation in the country for a period of 10 years.

The US$250 million loan for the Dominican Republic Water Sector Modernization Program It has a final maturity date of 35 years, including a five-year grace period.

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