Fiji secures $385m for water upgrades

Fiji has secured a US$171 million (F$385m) financing package to tackle its aging water and wastewater infrastructure.
Most of the funding is coming from the Asian Development Bank (ADB). The package includes a US$135m (F$304m) concessional loan with a 40-year repayment term, a US$10m grant (F$22.5m), and US$26m (F$58.5m) from the Fijian Government in taxes and duties.
Speaking at the signing of the Loan and Grant Signing with Asian Development Bank in Suva today, Acting Prime Minister and Minister for Finance, Biman Prasad, said the investment would transform water services in the greater Suva area.
“Our water and wastewater sector face major challenges, including old infrastructure, high leakages, and under-capacity treatment plants,” Mr Prasad said.
“This project will double Kinoya’s treatment capacity and reduce water losses that currently waste nearly half of our treated water.”
The project is expected to reduce non-revenue water from 48 per cent to 20 per cent, saving around 10.5 million cubic meters of treated water every year, while reducing greenhouse gas emissions by 1500 metric tons.
ADB regional director Aaron Batten said the project would deliver value for money and long-term impact.
“We are using innovative approaches, including performance based contracts that link payments to actual reductions in water leakage,” Mr Batten said.
The Government stressed the borrowing remains within fiscal targets, with national debt projected at F$11.7 billion or 79.8 per cent of Gross Domestic Product (GDP) by July 2026.
“This investment is about protecting the health of our oceans, supporting future urban growth, and ensuring that Fijians have reliable and safe water,” Mr Prasad said.

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