French Development Agency (AFD) Calls Phnom Penh Water Sector a ‘Global Success Story’
PHNOM PENH, Cambodia – Cambodia continues its strong national push to expand clean water access, bolstered by renewed technical and financial support from the French Development Agency (AFD) and Team Europe (European Union).
The long-term commitment was reaffirmed during a key meeting between H.E. Hem Vanndy, Minister of Industry, Science, Technology & Innovation (MISTI), and an AFD delegation led by Mr. Jean-Pierre Marcelli, AFD Southeast Asia Regional Director.
I. Strengthening Infrastructure and Private Operators
MISTI Seeks Innovative Financing for Water Operators
Both sides reviewed ongoing efforts to strengthen public utilities and private water operators (PWOs), expand service coverage across the nation, and secure vital investment for water-supply infrastructure.
Minister Vanndy noted that MISTI currently conducts a nationwide assessment of PWOs and explores innovative financing channels, including non-collateral loans. He formally requested AFD’s additional support, specifically through its private sector financing arm, Proparco, to help PWOs improve service delivery and ensure superior water quality for communities.
II. A 30-Year Partnership and Global Recognition
Cambodia’s Water Sector: A Recognized Achievement
Mr. Marcelli underlined the profound depth of the 30-year partnership between Cambodia, AFD, and the European Union. He praised Cambodia’s water sector, particularly its development in Phnom Penh, calling it a recognized “global success story.”
He also highlighted the ongoing consideration of a new program in Siem Reap under the Livable City Project, showcasing AFD’s continued commitment to urban development.
III. Future Cooperation and Regulatory Standards
Team Europe to Help Establish Modern Water Regulator
Mrs. Sandrine Boucher, AFD Country Director, reaffirmed Team Europe’s continued engagement through the EU Global Gateway initiative. She noted plans for further assistance, including a new multi-tranche framework agreement.
Crucially, the cooperation will also focus on assisting Cambodia in establishing a modern water regulator structured according to international best practices, aiming to institutionalize efficient oversight and sustainability across the sector.