The Asian Infrastructure Investment Bank (AIIB) has approved a USD100-million loan to Bangladesh to accelerate the country’s efforts to deliver improved water supply and sanitation services to underserved communities.
The Bangladesh Municipal Water Supply and Sanitation project will support government investments in water, sanitation and drainage infrastructure in 30 municipalities, where households continue to rely on public standpoints and shallow-tube wells.
Once completed, about 600,000 people are expected to be connected to new piped water supply systems and benefit from improved sanitation services. In particular, women and girls, often responsible for water collection, are expected to directly benefit from the project.
“AIIB continues to ensure its projects are economically, environmentally and socially sustainable in a balanced and integrated manner. This project is expected to directly contribute to the achievement of Sustainable Development Goal (SDG) 6, which is to ensure access to water and sanitation for all,” said AIIB Director General Supee Teravaninthorn.
Key components of the project also include capacity building at the national and local levels and project implementation and management support.
“AIIB’s engagement is expected to enhance the quality of environmental management and the financial sustainability of the participating municipalities, which is well aligned with the Bank’s key thematic priority of building sustainable infrastructure,” said AIIB Vice President and Chief Investment Officer D.J. Pandian. “The experience of implementing this project will strengthen AIIB’s capacity to finance broad-based water supply and sanitation projects, which are in high demand in other areas of the region.”
The Bangladesh Municipal Water Supply and Sanitation project, which is co-financed with the World Bank, is AIIB’s fifth investment in Bangladesh, all of which are aligned with the country’s top priority development plans and the SDGs.
Additional information about the Bangladesh Municipal Water Supply and Sanitation project can be found here.
About AIIB
The Asian Infrastructure Investment Bank (AIIB) is a multilateral development bank with a mission to improve social and economic outcomes in Asia. Headquartered in Beijing, we began operations in January 2016 and have now grown to 97 approved members worldwide. By investing in sustainable infrastructure and other productive sectors in Asia and beyond, we will better connect people, services and markets that over time will impact the lives of billions and build a better future.
Beijing, September 10, 2025
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