PPPs and IFI financing as the most promising mechanisms to develop the sanitation sector in Central Asia

13 June 2025

Astana, 13 June 2025 – Stanislav Chuyev, Senior Analyst at the Centre for Industrial and Infrastructure Research of the Eurasian Development Bank (EDB), spoke at a seminar on sanitation issues in Central Asia, organised by the World Health Organisation (WHO). In his presentation, the expert emphasised the significant potential of international financial institutions (IFIs) to support the development of water supply and sanitation infrastructure in the region.

The presentation drew on the recently published EDB report Drinking Water Supply and Sanitation in Central Asia, which outlines development prospectsfor the sector, presents a detailed analysis of the current situation and offers practical recommendations. In particular, it highlights that IFIs and multilateral development banks (MDBs) can play a key role in ensuring sustainable access to safe drinking water and sanitation services in Central Asia.

Despite growing interest in the topic, the share of water supply and sanitation in the total sovereign financing provided by IFIs to the region remains modest. Of the US $67.5 billion allocated to Central Asian countries between 2008 and 2023, only around 6% was channelled into the water sector – 147 projects worth approximately US $4 billion were implemented.

According to the EDB report, state-owned enterprises typically play a larger role in the sanitation sector than in water supply. For instance, in several European countries, the public sector continues to dominate wastewater service provision: 96% in Austria, 95% in Germany, 87% in Portugal, 76% in Hungary and 60% in France.

“Based on international experience, the primary responsibility for managing public utilities in many countries still lies with the state. Therefore, this sector especially requires the development of public-private partnership mechanisms, with the active involvement of multilateral development banks and international financial institutions,” noted Stanislav Chuyev.

The EDB's analytical report Drinking Water Supply and Sanitation in Central Asia is available in both Russian and English

Additional Information:

The Eurasian Development Bank (EDB) is a multilateral development bank investing in Eurasia. For more than 18 years, the Bank has worked to strengthen and expand economic ties and foster comprehensive development in its member countries. By 2025, the EDB’s cumulative portfolio comprised 305 projects with a total investment of US $16.5 billion. The Bank's portfolio consists principally of projects with an integration effect in transport infrastructure, digital systems, green energy, agriculture, manufacturing, and mechanical engineering. The Bank’s operations are guided by the UN Sustainable Development Goals and ESG principles.

As part of its 2022–2026 Strategy, the EDB is implementing 3 mega-projects: The Water and Energy Complex of Central Asia, The Eurasian Transport Network, and The Eurasian Agricultural Goods Distribution Network.

The EDB Media Centre:

+7 (727) 244 40 44, ext. 6148 and 3730

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