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Water Funds: A sustainable climate adaptation and resilient model for stressed urban watersheds in Latin America and the Caribbean (LAC)

As of: January 2022

Water resources in Latin America and the Caribbean are highly seasonal and unequally distributed. Climate modelling is predicting greater variation in precipitation, worsening extreme weather events and an increased frequency in water-related disasters. By 2025, estimates show that around 70 percent of the population could be affected by water scarcity. The project aims to support 20 at-risk cities by helping to improve the resilience of their water supplies. Long-term management structures are also being introduced to improve the public and private funding of ecosystem-based adaptation (EbA). Water funds will be set up and reinforced with the aim of improving both the security of supply and ecosystem functions. This work also promotes water management models with financing strategies based on water prices as well as private sector partnerships. The insights obtained by the project will help to utilise the water funds model to increase the security of water supplies both regionally and globally.

State of implementation/results

The project supports the implementation of the NDC adaptation goals of the countries.
  • As part of establishing of the water funds network, a first meeting of Water Funds in Ecuador was held October 3rd.
  • The 4th Water Funds Biennial event will take place in Mexico City, Mexico, on July 18th-19th 2019. The event will be hosted by the Latin American Water Funds Partnership (FEMSA Foundation, Global Environment Facility, Inter-American Development Bank and The Nature Conservancy), to share experiences, disseminate knowledge and strengthen the Water Funds Network. The event will be hosted within the IKI’s project, as the Latin America Water Funds Network will be launch at the event.

Project data

Brazil, Colombia, Dominican Republic, Ecuador, Guatemala, Peru

Implementing organisation:
Inter-American Development Bank (IADB / IDB / BID)

Political partner(s):
  • Environmental Secretary of São Paulo Government State
  • Ministry of Environment (MINAM) - Peru
  • Ministry of Environment - Ecuador
  • Ministry of Environment and Natural Resources - Dominican Republic
  • Ministry of Environment and Sustainable Development (MADS) - Colombia
  • Ministry of the Environment Brasil (MMA)
  • National Council for Climate Change and the Clean Development Mechanism - Dominican Republic
  • National Superintendence of Sanitation Services (SUNASS)
  • National Water Agency - Brazil
  • Quito municipality - Ecuador

Implementing partner(s):
  • The Nature Conservancy (TNC)
  • The Nature Conservancy (TNC) Europe gGmbH

BMU grant:
5.000.000,00 €

07/2018  till  12/2022


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