European Investment Bank Signs Largest Ever Engagement in Djibouti

Strategic Insights -

The European Investment Bank (EIB) has announced a significant investment in Djibouti, marking the largest ever engagement in the East African country. As part of the Global Gateway initiative, the EIB will provide EUR 79 million in 25-year financing to support water desalination, access to clean drinking water, and wastewater treatment. This investment will transform water access in the national capital, enhance resilience to climate change, and secure access to clean water for more than 555,000 people.

Key Takeaways:

  • The EIB's investment will double freshwater production capacity at the Doraleh Desalination Plant and expand three wastewater treatment plants at Doraleh, Balbala, and Douda.
  • The project will be implemented by the Office National de l'Eau et de l'Assainissement de Djibouti (ONEAD) and support Vision Djibouti 2035.
  • The EIB's funding for water desalination and wastewater treatment in Djibouti represents a significant step towards achieving water security, enhancing climate resilience, and driving sustainable development in the country.
  • The partnership between Djibouti, the European Investment Bank, and the European Union will serve as a beacon of hope, providing long-lasting benefits to the population and setting an example for future water-related projects.
  • The project is the second phase of the PEPER-Production de l'eau potable par dessalement et energie renouvable initiative, which has successfully enabled 22,500 cubic meters of fresh water to be produced a day.
  • Phase 2 will enable daily production of 45,000 cubic meters of fresh water and includes construction of a 12 MW photovoltaic plant to power desalination.

Statistics:

  • EUR 79 million in 25-year financing provided by the EIB
  • Mobilization of over EUR 300 billion in investments for the Global Gateway
  • 555,000 people expected to gain access to clean water
  • 45,000 cubic meters of fresh water to be produced daily
  • 12 MW photovoltaic plant to be constructed
  • 22,500 cubic meters of fresh water produced daily in Phase 1
  • EUR 79 million loan to be used alongside grant financing from the European Union, the French Development Agency (AFD), and support from the Djibouti government

Sources:

  • European Investment Bank
  • European Union (EU)
  • Global Gateway
  • Office National de l'Eau et de l'Assainissement de Djibouti (ONEAD)