Zambia Compact

This compact aims to reduce poverty and boost economic growth in Zambia by improving the water supply, sanitation and drainage infrastructure in Lusaka, the rapidly urbanizing capital.

The compact’s goal is to decrease:

  • the incidence and prevalence of water-related disease,
  • productive days lost due to disease and the time required to collect water,
  • business and residential flood losses.

The compact will also support the government’s ongoing water sector reform efforts by strengthening partner institutions and facilitating potential private sector investment opportunities. More than 1.2 million Zambians are expected to benefit from the compact.


Compact Budget


  • Signed:
    May 10, 2012
  • Entry Into Force:
    November 15, 2013

Compact Projects

Water Supply, Sanitation and Drainage Project

  • $310,547,340Project Total Amount

The compact’s Water Supply, Sanitation and Drainage Project has two activities:

  • Infrastructure Activity: This activity will support the water supply and sanitation networks managed by the Lusaka Water and Sewerage Company (LWSC). A major portion of the investment is focused on the rehabilitation of Lusaka’s core water supply system, including the reduction of water loss from leaks, theft, and metering problems within the system.  The activity will also support the Lusaka City Council (LCC), the local government entity responsible for managing Lusaka’s drainage network. 

    This activity includes the expansion of the city’s water supply network, the rehabilitation and expansion of select sewer networks, the improvement of select drainage infrastructure, and engineering and resettlement professional support services. These projects were selected based on investment master plans and feasibility studies, and are part of a three-phase, $3 billion plan that will allow Lusaka to meet the needs of its population through 2035. The drainage component was selected based on priorities identified in an urban development plan funded by the Japanese International Cooperation Agency (JICA). 

  • Institutional Strengthening Activity: This activity will provide technical assistance to help LWSC and LCC pursue new and ongoing government sector reform efforts and institutional governance to ensure improved sector management and sustainability of compact investments. The activity also includes support for better asset and environmental management by LWSC, and it provides technical assistance so that LCC can improve strategic planning, maintenance and environmental management.

    Support to LWSC and LCC includes gender-inclusive policymaking and planning, improving service delivery to poor and underserved populations, and carrying out well-designed and coordinated information, education and communications (IEC) campaigns. 

    The compact’s Innovation Grants Program, a component of the Institutional Strengthening Activity, provides grants to community-based organizations, civil society and private sector entities to stimulate innovation in pro-poor service delivery, and enhance compact sustainability, in the water, sanitation, and solid waste management sectors.  

Projected Long-Term Results

  • Estimated Beneficiaries 1,199,962
  • Estimated Net Benefits $346,700,000