Financing Small Piped Water Systems in Rural and Peri-Urban Kenya

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Community run small-scale water systems play a critical role in supplying consumers in the peri-urban and rural areas of Kenya. However, these providers often experience problems that hinder their ability to provide reliable services to consumers and expand their coverage. Their most notable problems are limited management capacity, low operating revenues and lack of access to finance. This solution consists in combining commercial loans and Output Based Aid accompanied by institutional support and capacity building to enable community-managed water systems to expand and upgrade their services.