African Development Bank: Institutional Capacity Building for Climate-Resilient WASH Services in African Cities

The African Development Bank has released a call for proposals under the 'Institutional Capacity Building for Climate-Resilient WASH Services in African Cities' initiative, aimed at strengthening the ability of urban water and sanitation service providers to adapt to climate change. This funding window recognizes that while many African cities have ambitious plans for expanding WASH services, institutional weaknesses—such as poor governance, inadequate financial management, and limited technical skills—often impede progress. The call targets organizations that can implement projects focusing on capacity building for utilities, municipalities, and regulatory bodies. The deadline is August 30, 2026, with an urgency driven by the accelerating impacts of climate change, including floods, droughts, and water quality issues. The AfDB expects proposals to be multi-year (typically 3-5 years) and to demonstrate a clear theory of change linking capacity building to improved service delivery and resilience. The total available funding is not specified but is likely in the range of $5-15 million per project, based on previous similar calls. The call emphasizes the use of participatory approaches, gender mainstreaming, and private sector engagement. Proposals must be submitted in English or French through the AfDB's online portal, with mandatory attachments such as a log frame, budget, and institutional assessment. The evaluation criteria include relevance, effectiveness, efficiency, sustainability, and impact. This dossier provides a comprehensive guide to navigating this opportunity. The strategic context of this call is rooted in the recognition that institutional capacity is the linchpin for achieving Sustainable Development Goal 6 (clean water and sanitation) and the African Union's Agenda 2063. The AfDB estimates that only 56% of urban residents in Africa have access to safely managed water, and 31% to basic sanitation. Climate change exacerbates these challenges: water availability is projected to decline by 40% by 2040 in many regions, while extreme weather events cause service disruptions. However, investments in physical infrastructure alone are insufficient; the institutions that operate and maintain that infrastructure must be resilient. This call therefore focuses on governance reforms, financial management, human resources, and technical training. The AfDB’s approach is aligned with its Climate Change Action Plan (2021-2025) and the African Urban Water and Sanitation Initiative. The Bank expects to fund projects that demonstrate innovation, such as using digital tools for monitoring, performance-based contracts, and nature-based solutions. Furthermore, the call encourages collaboration with universities, research institutes, and the private sector to leverage expertise. Gender equality is a cross-cutting theme, with requirements for sex-disaggregated targets and strategies to address women's specific needs in WASH. For potential applicants, this call represents a strategic opportunity to scale up their impact and access substantial funding. However, the competition is likely to be intense, given the high demand for climate adaptation funding. Therefore, proposals must be well-designed, data-driven, and clearly aligned with AfDB priorities. Key success factors include a strong partnership structure, a realistic budget, and a robust M&E framework. GSLI training courses can help build the capacity needed to both develop a winning proposal and implement the project effectively. Courses such as 'Writing Winning Proposals' and 'Financial Management for NGOs' directly enhance the quality of the application. Other courses like 'Monitoring & Evaluation (M&E)' and 'Project Management for Development' ensure that the project team has the skills to deliver on the proposed activities. By integrating these courses into the project design, applicants demonstrate their commitment to capacity building and increase their chances of success.

Strategic Overview

The African Development Bank has released a call for proposals under the 'Institutional Capacity Building for Climate-Resilient WASH Services in African Cities' initiative, aimed at strengthening the ability of urban water and sanitation service providers to adapt to climate change. This funding window recognizes that while many African cities have ambitious plans for expanding WASH services, institutional weaknesses—such as poor governance, inadequate financial management, and limited technical skills—often impede progress. The call targets organizations that can implement projects focusing on capacity building for utilities, municipalities, and regulatory bodies. The deadline is August 30, 2026, with an urgency driven by the accelerating impacts of climate change, including floods, droughts, and water quality issues. The AfDB expects proposals to be multi-year (typically 3-5 years) and to demonstrate a clear theory of change linking capacity building to improved service delivery and resilience. The total available funding is not specified but is likely in the range of $5-15 million per project, based on previous similar calls. The call emphasizes the use of participatory approaches, gender mainstreaming, and private sector engagement. Proposals must be submitted in English or French through the AfDB's online portal, with mandatory attachments such as a log frame, budget, and institutional assessment. The evaluation criteria include relevance, effectiveness, efficiency, sustainability, and impact. This dossier provides a comprehensive guide to navigating this opportunity. The strategic context of this call is rooted in the recognition that institutional capacity is the linchpin for achieving Sustainable Development Goal 6 (clean water and sanitation) and the African Union's Agenda 2063. The AfDB estimates that only 56% of urban residents in Africa have access to safely managed water, and 31% to basic sanitation. Climate change exacerbates these challenges: water availability is projected to decline by 40% by 2040 in many regions, while extreme weather events cause service disruptions. However, investments in physical infrastructure alone are insufficient; the institutions that operate and maintain that infrastructure must be resilient. This call therefore focuses on governance reforms, financial management, human resources, and technical training. The AfDB’s approach is aligned with its Climate Change Action Plan (2021-2025) and the African Urban Water and Sanitation Initiative. The Bank expects to fund projects that demonstrate innovation, such as using digital tools for monitoring, performance-based contracts, and nature-based solutions. Furthermore, the call encourages collaboration with universities, research institutes, and the private sector to leverage expertise. Gender equality is a cross-cutting theme, with requirements for sex-disaggregated targets and strategies to address women's specific needs in WASH. For potential applicants, this call represents a strategic opportunity to scale up their impact and access substantial funding. However, the competition is likely to be intense, given the high demand for climate adaptation funding. Therefore, proposals must be well-designed, data-driven, and clearly aligned with AfDB priorities. Key success factors include a strong partnership structure, a realistic budget, and a robust M&E framework. GSLI training courses can help build the capacity needed to both develop a winning proposal and implement the project effectively. Courses such as 'Writing Winning Proposals' and 'Financial Management for NGOs' directly enhance the quality of the application. Other courses like 'Monitoring & Evaluation (M&E)' and 'Project Management for Development' ensure that the project team has the skills to deliver on the proposed activities. By integrating these courses into the project design, applicants demonstrate their commitment to capacity building and increase their chances of success.

Who is it For?

This funding opportunity is designed for a diverse range of entities involved in the planning, management, and delivery of WASH services in African cities. Primary eligible entities include national government ministries responsible for water, sanitation, and urban development; municipal and metropolitan authorities; state-owned water utilities; and regional water basins organizations. Additionally, non-governmental organizations (NGOs) and community-based organizations (CBOs) with a proven track record in WASH service delivery and institutional capacity building are encouraged to apply. The AfDB particularly prioritizes applicants that demonstrate strong partnerships with local communities, private sector actors, and other development partners. Eligible organizations must have a legal registration in an African country, a stable financial management system, and a minimum of three years of operational experience in the WASH sector. The call also welcomes consortia comprising multiple stakeholders to leverage complementary expertise. For example, a municipal government may partner with a technical university and an international NGO to combine policy influence, research capacity, and grassroots implementation. The AfDB emphasizes that eligible entities must have a clear mandate to influence WASH service delivery, governance, and policy at the city level. This includes having direct responsibility for service provision (e.g., water utilities) or a statutory role in regulation, planning, or oversight (e.g., city councils). Furthermore, applicants must demonstrate a commitment to climate resilience by integrating climate risk assessments into their existing operations. The Bank also encourages applications from organizations that have previously implemented institutional reforms or capacity-building initiatives, as this indicates the requisite experience. Finally, the funding is targeted at cities with populations exceeding 500,000 and those in climate-vulnerable zones, such as coastal cities or those in semi-arid regions. Applicants must provide convincing evidence of their ability to reach underserved populations, including low-income neighborhoods and informal settlements.

Priorities

The African Development Bank’s strategic priorities for this funding opportunity are deeply aligned with its High 5 agenda and the Sustainable Development Goals. The overarching goal is to foster institutional capacity that enables urban WASH systems to withstand climate shocks while ensuring universal access to safe water and sanitation. Key investment KPIs include: (1) increased institutional capacity in climate adaptation planning, measured by the number of staff trained and plans developed; (2) enhanced financial sustainability of WASH utilities, indicated by improved cost recovery ratios and reduced non-revenue water; (3) expanded service coverage in low-income areas, targeting at least 30% improvement in access for underserved populations; (4) strengthened regulatory frameworks for water security and wastewater management; and (5) mainstreaming of gender and social inclusion in WASH policies and programs. The donor expects proposals to explicitly address how they will contribute to these KPIs with measurable targets and baselines. Additionally, the AfDB prioritizes projects that demonstrate innovation in water management, such as integrated water resource management (IWRM), nature-based solutions, and digital technologies for monitoring and billing. The Bank also emphasizes cross-sectoral collaboration, particularly with energy and agriculture sectors to leverage synergies. Another major priority is the mobilization of private sector financing through public-private partnerships (PPPs) or commercial borrowing, reducing long-term dependence on donor funds. The AfDB seeks to fund projects that can be scaled up or replicated in other African cities, thus maximizing the impact of its investment. Proposals must also incorporate climate risk screening using the AfDB’s Climate Safeguards System and propose adaptation measures that are cost-effective and socially acceptable. Finally, the donor prioritizes projects that align with national adaptation plans (NAPs) and nationally determined contributions (NDCs) under the Paris Agreement, ensuring coherence with global climate commitments. The Bank expects rigorous monitoring and evaluation frameworks with clear outcome indicators, disaggregated by gender and vulnerability, to track progress toward these priorities.

Eligibility

Eligibility for this funding opportunity is defined by a comprehensive set of financial, spatial, and corporate legal criteria that ensure applicants have the operational capacity and governance structure to effectively utilize institutional capacity-building grants. Financially, applicants must demonstrate sound fiscal health, including audited financial statements for the last three years, with a clear revenue stream and low debt-to-equity ratio (below 40% for utilities). The organization must have a minimum annual operating budget of $1 million to ensure sufficient scale for the proposed activities. Additionally, the applicant must not have any outstanding debt or defaulted loans with the AfDB or any other multilateral development bank. From a legal perspective, the organization must be a legally registered entity in an African country, with a valid registration certificate, tax clearance, and proof of non-profit status (if NGO). The governance structure must include a board of directors or equivalent oversight body, with clear policies on conflict of interest, anti-corruption, and gender equity. Corporate documents such as the articles of association or memorandum of understanding must be submitted. Spatially, the activity must be implemented in a city with a population of at least 500,000, located in a climate-vulnerable zone as identified by the AfDB’s climate risk atlas. The project must cover a defined operational area, typically one or more municipal districts or service zones, and demonstrate potential for replication in other urban centers. The applicant must also comply with AfDB’s procurement and financial management guidelines, which require the use of the Bank’s standard bidding documents for any procurement exceeding $50,000. Environmental and social safeguards are also mandatory; therefore, an initial environmental and social screening report must be included in the proposal. For consortia, a lead entity must be designated, and a partnership agreement signed by all members must be provided, detailing roles, responsibilities, and financial arrangements. All documents must be submitted in English or French (the working languages of the AfDB), or accompanied by a certified translation. Additionally, organizations must not have any active sanctions or debarment from the World Bank or other international financial institutions. A self-declaration of eligibility must be included in the application.

Path to Success

To successfully secure this funding and implement a high-impact institutional capacity-building project, applicants should follow a strategic roadmap that leverages GSLI’s specialized short courses to strengthen their proposal and execution capacity. The following four-step approach is recommended: Step 1 - Institutional Baseline and Needs Assessment (Months 1-3): Conduct a thorough assessment of existing WASH institutional capacities, including governance structures, financial management, technical skills, and climate resilience awareness. Utilize GSLI's course 'Monitoring & Evaluation (M&E)' to design robust tools for baseline data collection and analysis. The assessment should identify gaps in procurement, accountability, and service delivery, and map stakeholder roles. The output will be a detailed capacity needs report that forms the foundation of the project proposal. Step 2 - Proposal Development and Capacity Building Plan (Months 4-6): Develop a comprehensive proposal that articulates clear objectives, activities, and budget. Integrate GSLI training courses into the project design, such as 'Financial Management for NGOs' to strengthen budgeting and internal controls, and 'Writing Winning Proposals' to refine the narrative. The proposal must include a logical framework with indicators aligned to AfDB’s KPIs. Simultaneously, design a capacity-building plan that schedules GSLI workshops for key staff on topics like WASH, Public Health, and Project Management. This dual approach—enhancing both the proposal and the team’s skills—demonstrates organizational commitment and readiness. Step 3 - Implementation and Adaptive Management (Months 7-36): Upon award, execute the project in phases, starting with governance reforms, followed by technical training, and then infrastructure improvements. Embed GSLI’s 'Procurement & Supply Chain' course to ensure transparent and efficient procurement of goods and services. Use the 'Monitoring & Evaluation (M&E)' course to set up a real-time performance tracking system with quarterly reporting to the AfDB. Regularly review progress against the log frame and adjust activities based on emerging risks, such as political instability or climate shocks. Step 4 - Sustainability and Scaling Strategy (Months 24-36): In the final year, focus on institutionalizing changes through policy adoption, cost-recovery mechanisms, and partnership agreements with private sector and other utilities. Leverage GSLI’s 'Fundraising & Resource Mobilization' course to develop a sustainability plan that attracts co-financing or transition to domestic budgets. Document best practices and lessons learned for replication in other cities. By integrating GSLI training throughout the project cycle, applicants will not only enhance their proposal’s competitiveness but also build in-house expertise that ensures long-term success.

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Deadline: 2026-08-30

Persona: General

Urgency: Normal