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EBRD to extend $2m loan for Southern Tajikistan Water Rehabilitation Project

08.09.2008 - Cbonds

EBRD to extend $2m loan for Southern Tajikistan Water Rehabilitation Project

The project will finance priority capital investments to improve the municipal water services in the South Tajik Cities of Dangara, Kulob and Kurgan-Tube as follows:

* Dangara: Development of well field water supply, water treatment plant, distribution system metering, and operation and maintenance equipment.

* Kulob: Well field spring protection and collector pipes, pumping station rehabilitation, internal plumbing rehabilitation, water meters and distribution system metering.

* Kurgan-Tube: Water network replacement, wastewater collection system rehabilitation, pumping stations, distribution system metering, water meters and operation and maintenance equipment.

Transition Impact of the project would be:

* Access to basic public utilities;

* Increased collection rates;

* ntroduction of tariff reform within affordability limits including support to low income groups;

* Improving operational and financial management of the participating Water Supply companies.

The client:

State Unitary Enterprise Khojagii Manziliyu-Kommunali, which is the owner of the water companies in the South Tajik Cities, backed by a sovereign guarantee from Tajikistan.

EBRD finance:

A loan to Khojagii Manziliyu-Kommunali of USD 2 million under a sovereign guarantee. The proceeds of the loans would be on-lent to the respective water companies.

Total project cost:

USD 8.0 million including related technical cooperation. The project will be co-financed by an investment grant from an international donor.










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