Context

Current status of the Fund

Context situation

With the two new programs approved in 2022, the Water Fund has launched 83 programs since it was established in 2009. These initiatives have been conducted in 18 Latin American and Caribbean countries and have positioned FCAS as a benchmark institution that maintains a prominent level of direct dialogue with partner countries.

The actions always respond to the needs of the partner countries and are of varying types:

Financed by the Water Fund and partner countries
- Bilateral: Managed directly by the Fund, they are called Bilateral Programs (identified with the letter «B» throughout this Report). They makeup 50.6% of the total portfolio, have received financing of 405,466 million euro, and are distributed among 64 programs (including the last two, approved in 2022), of which 38 have already completed their execution as of December 2022. Another 24 are under execution, and two more are in the design process.
- Multilaterals: They are conducted in collaboration with the Inter-American Development Bank (IADB) and are called Multilateral Programs (identified as «M»). They represent 49.39% of the Fund’s total grantmaking and represent 19 programs, although only three are still active as of December 2022, since the rest have already come to a close. In addition to these projects, a percentage of the economic allocation managed by the IADB has been implemented in the form of «technical cooperation,» which are concrete actions that, unlike the Programs, are executed directly by the IADB and whose purpose is to have an impact on technical aspects of the programs and help make them sustainable. (See section 4.4.1, Technical Cooperations conducted by the IADB).
Financed in conjunction with Delegated Cooperation initiatives:
- Delegated Cooperation programs rely on donations that the European Union entrusts to member countries to conduct cooperation actions. This participation is carried out through two instruments: the Latin America Investment Facility (LAIF) and the Development Cooperation Instrument (DCI). In these programs, the FCAS often provides additional funding to focus on specific aspects, such as extending programs to the most dispersed populations or strengthening the human rights approach.

Global data

As of December 2022, the Water and Sanitation Cooperation Fund has provided 801 million euro in grants, attracting an additional 800 million euro in local counterpart funding.

One thousand six hundred and one million have been directed to rural or peri-urban areas in the most vulnerable countries or regions. Haiti has received the most donations (almost 120 million euro), followed by Bolivia (95.7 million euro) and Paraguay (71.3 million euro).

In addition, FCAS programs have been used to raise delegated cooperation funds amounting to almost 128 million euro, promoting global programs totaling more than 870 million euro. In these programs, the Fund acts as a unifying agent, coordinating the intervention of different financing instruments, incorporating the technical cooperation of Spanish public institutions, and promoting leveraging funds to prioritize the water agenda.

The objectives of the Fund, according to the Royal Decree by which it was established, are as follows

Contribute to extending sustainable access to drinking water and essential sanitation services, especially in the most vulnerable and underserved areas.
Promote public, integral, and participatory management of water resources.
Strengthen the countries’ institutional system for proper water sector management that favors public, transparent, and participatory resource management.
Contribution to establishing sustainable systems to provide water and sanitation services.
Adopt mechanisms to improve the quality of support.

Results

Financial execution

Programme status