ASIATODAY.ID, MANILA — The Asian Development Bank (ADB) has approved a $763 million investment program—including a $20 million grant from the Asian Development Fund (ADF)—to help Cambodia expand access to safe water supply and sanitation, strengthen water security, and enhance the resilience and livability of its cities.
The Livable, Resilient, and Water-Secure Cities Investment Program will utilize a multitranche financing facility to improve basic urban services in 14 cities and 12 districts across the Mekong, Tonle Sap, and coastal regions. The program will boost inclusive coverage of basic urban services, with approximately 15% of direct beneficiaries from poor households.
“This investment program will help Cambodia build inclusive, climate-resilient urban services that support not only livability but also productivity and competitiveness,” said ADB Country Director for Cambodia Yasmin Siddiqi on December 1, 2025.
“By improving water supply, sanitation, and other urban services, we aim to directly benefit more than 2 million people and ensure that even the most vulnerable communities are not left behind.”
Cambodia has made notable progress in recent years, with access to basic water and sanitation rising to nearly 83% each in 2024, from 73% and 54%, respectively, in 2015. However, critical gaps remain. Services such as sewerage, drainage, and solid waste management require significant upgrades to meet growing demand and address challenges from extreme weather events.
Over half of Cambodia’s population is exposed to climate-related risks. Without effective adaptation—including improved drainage systems—annual climate-related losses could reach $10.6 billion by 2050, potentially reducing gross domestic product by up to 10%. Urban areas are particularly vulnerable, with the urban population projected to grow by 47.8%, from 4.6 million in 2024 to 6.8 million (35% of the national population) by 2040.
The investment program aligns with Cambodia’s goals for urban resilience, poverty reduction, and achievement of the Sustainable Development Goals. It will support priority short- and long-term investments to expand and sustain resilient urban infrastructure and services, promote water security, and strengthen institutional capacity and service delivery.
Structured into four tranches with an overall estimated cost of $966 million, the investment program adopts a phased implementation approach to match the capacity of executing and implementing agencies. This ensures flexibility, efficient management, and integration of lessons learned to strengthen institutional performance. Each tranche will build on the previous one, reinforcing the program’s overall impact and sustainability.
The ADF provides grants to the poorest and most vulnerable countries in Asia and the Pacific. During 2021–2024, the fund helped 384,000 people emerge from poverty and generated around 500,000 jobs. (AT Network)
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