Armenia: Fostering the Long-Term Financial Viability and Sustainability of the Armenian Water and Sewerage Company

Abstract

"In 2007, the Asian Development Bank (ADB) approved a $36 million loan to Armenia to improve the lives of 576,000 people in 16 towns by revitalizing water infrastructure and improving the capacity of water supply and sanitation service providers. The project had positive results, but capital investments are needed to upgrade the network and ensure the long-term financial sustainability of the Armenian Water and Sewerage Company (AWSC). Thus, in 2012, ADB approved the government’s request for $40 million in additional financing for improvements. This report outlines ADB’s interventions to improve AWSC’s services and highlights the rationale behind the structure of a new tariff regime. "