An Oxymoron: A World Running Out of Water

Water covers 71% of the Earth’s surface, yet the world could face a severe water shortage by 2040. This striking contradiction, highlighted in a 2023 Bank of America Global Research report, stems from the fact that only 0.5% of the planet’s water is clean and readily available for human use.

Water scarcity is no longer a distant "third-world problem." Even in Kenya, urban areas like Nairobi face frequent water rationing. Today, a rental property’s ability to access its own water source, such as a borehole, has become a highly sought-after feature—and one that commands a premium. This reality highlights the urgent need for innovative solutions to combat water scarcity and its cascading effects.

?Water Scarcity: A Global and Local Crisis

The lack of clean water is more than an inconvenience—it is a prelude to significant health and sanitation challenges. Poor access to water impacts hygiene, sanitation services, and overall standards of living. The United Nations refers to this triad of challenges as WASH (Water, Sanitation, and Hygiene).

The statistics are grim. According to UNICEF, only 29% of Kenyans have access to improved sanitation facilities, while 59% have access to safe drinking water. Tragically, hundreds of children under five die every day from preventable diarrheal diseases caused by inadequate WASH services in their homes, schools, and health centers.

?WASH Financing: A Game-Changing Solution

Addressing water scarcity requires significant investment. Goal 6 of the Sustainable Development Goals (SDGs) emphasizes the importance of safe water, sanitation, and hygiene as basic human needs for health and well-being. The SDGs warn that billions of people will lack access to these services by 2030 unless progress accelerates dramatically.

This need has sparked the emergence of WASH financing—a mechanism that funds infrastructure, sanitation facilities, hygiene education, and water ecosystem restoration. For instance:

• The WASH SDG program (2017–2024) has positively impacted at least 9.5 million people in countries like Tanzania, Uganda, and Zambia.
• UNICEF’s WASH-FIN program, a $45 million USAID initiative, is closing financing gaps and supporting universal access to water and sanitation services in Kenya and beyond.

?Co-op A Maji: A Local Solution

As a bank founded by Kenya’s cooperative farmers, Co-op Bank understands the multifaceted water needs of urban and rural communities. With this insight, the bank developed a WASH financing product aptly named Co-op A Maji—a play on the bank’s name and the Swahili phrase meaning “borrow water.”

This product caters to a wide range of users:

• A farmer in Rongai can finance water tanks, gutters, and other water harvesting equipment to secure their farm during dry seasons.
• A landlord in Pipeline can install smart meters to monitor and manage water usage on their property.
• A school in Tharaka can drill a borehole to ensure clean water access for students and the surrounding community.
• Businesses in the WASH sector, such as water bottlers, borehole drillers, and plumbing equipment distributors, can also access financing to scale their operations.

?What Makes Co-op A Maji Unique?

The product stands out for its flexibility and customer-centric approach:

• Access to Funds: Clients can receive up to 100% financing for water-related projects.
• Flexible Terms: Loan repayment periods extend up to 72 months.
• Unsecured Limits: Co-op Bank clients may qualify for reduced collateral requirements.
• Faster Processing: Quick loan approvals ensure timely project execution.
• Dedicated Support: Borrowers receive personalized assistance from a dedicated relationship manager.

?A Glass Half Full

While the threat of water scarcity looms large, products like Co-op A Maji offer a glimmer of hope. By addressing the urgent need for clean water, sanitation, and hygiene through innovative financing solutions, we take meaningful steps toward a more sustainable future.

The glass may be half-empty today, but with continued development in WASH financing, we might just fill it to the brim.

Visit our website here or walk into any of our branches to learn more about how we can partner with you to solve your individual or enterprise WASH needs with our Co-op A Maji facility.