Catalysing climate-smart investments for WASH
Aqua for All aims to catalyse public and private investments in water and sanitation that contribute to improving climate resilience and reduce emissions. In partnership with local financial institutions (FIs), we develop loan portfolios for water and sanitation small and medium enterprises (SMEs). We contribute with de-risking, technical support and incentives. These partnerships generate climate impacts indirectly, through the loans and processes that they support.
In each partnership, Aqua for All tailors its approach to the needs of the financial institution. We include climate considerations and support in the form of:
- Training and capacity building for financial institutions’ staff on the relationship between climate and water and sanitation
- Support in developing processes to identify the exposure of water and sanitation portfolios to climate risks
- Integration of climate considerations into processes e.g. due diligence templates and monitoring and evaluation.
The development of a climate-smart loan portfolio
In partnership with Oikocredit and Sidian Bank, Aqua for All is developing a climate-smart and gender sensitive loan portfolio in Kenya. The entire portfolio totaling €7,4 million is dedicated to funding climate-smart water and sanitation projects. These projects will have a focus on either climate change mitigation, adaptation to emerging climate challenges and building resilience to future climate impacts, all with a strong emphasis on gender lens financing.
Through EED Advisory, a multidisciplinary Pan-African consulting firm offering technical, analytical, and advisory services in energy, WASH and climate change, we provide tailored support to Sidian Bank to:
- Analyse current climate smart water and sanitation products, lending practices, and climate finance taxonomies in Kenya, regionally as well as globally.
- Identify climate hazards across the regions of Kenya where Sidian Bank operates to develop a list of eligible climate-smart water and sanitation products depending on the local hazard.
- Develop and integrate climate smart water and sanitation products and gender considerations into Sidian Bank’s WASH Operations Manual.
- Create training content on climate change, climate finance, and climate smart water and sanitation products for Sidian Bank staff.
- Conduct capacity building sessions for Sidian Bank staff.
- Assist in pipeline development and track climate smart loans throughout the loan application process.
Check out the Press release for more information.