The investment program, which will comprise two projects, is expected to cost $405.1m. ADB will provide a $153.2m loan, sourced from its Ordinary Capital Resources, the European Investment Bank will contribute a $70.8m loan, and $150.1 m will come from the Government of Fiji.

The project will also benefit from a Green Climate Fund grant of $31m being among the first group of projects approved by the GCF Board at its meeting in Livingston, Zambia in November last year.

ADB Pacific Subregional Office in Fiji regional director Robert Jauncey said:“The rapid growth of informal settlements in Fiji, especially within the greater Suva area means that there are many people who currently have limited or no access to essential water and sanitation services.

“The greater Suva area accounts for 40% of Fiji’s gross domestic product, which makes solving its urban development issues critical to the country’s economic future.”

The investment program will improve the supply of reliable and safe water to the greater Suva area, increase wastewater treatment and management capacity, and help improve the Water Authority of Fiji’s (WAF) sustainable service delivery.

ADB has been engaged in Fiji’s water sector since 1998 and takes a leading role in coordinating development partner planning and activities in the sector.

WAF CEO, Opetaia Ravai said: “WAF is grateful to the ADB for its support in further developing water and sanitation services in the country.

"The Urban Water Supply and Wastewater Management Investment Program will have a major impact on the delivery of water and sanitation services to our metered and unmetered customers in the Suva/Nausori area.”