The Fijian Government has cemented a significant agreement with the Asian Development Bank (ADB) to launch the $385 million Healthy Oceans and Water Supply Improvement Project. This transformative initiative is mainly supported by a $304 million concessional loan from ADB with a $23 million grant, focusing on revolutionizing Fiji’s water infrastructure and securing environmental resilience. Key improvements include doubling the capacity of the Kinoya Wastewater Treatment Plant and implementing measures to curtail water losses in the Greater Suva Area, thereby significantly enhancing the nation’s water and wastewater systems.
The agreement has established favorable financial terms, featuring a 40-year repayment period, a 10-year grace period, and an interest rate of just 1%. Supplementing the ADB’s significant financial backing, the Fijian Government will contribute $59 million to this comprehensive upgrade that seeks to address the enduring infrastructural challenges within the water sector.
Acting Prime Minister and Minister for Finance, Professor Biman C. Prasad, highlighted that this project is a crucial investment toward water security and environmental sustainability for Fiji. The outdated infrastructure presents risks to both the environment and the broader economic development, with high water leakage levels and over-capacity wastewater systems standing out as primary challenges. The project is carefully aligned with governmental fiscal policies and incorporates a robust framework to maintain debt sustainability.
Among its wide-reaching goals, the project plans to establish a regional training program to enhance the skills of water and wastewater operators across the Pacific. This initiative is poised to yield better public health outcomes and reinforce the resilience of marine ecosystems, a vital consideration given the mounting impacts of climate change.
The Healthy Oceans and Water Supply Improvement Project is part of a broader strategy, building on similar initiatives such as previous enhancements to wastewater treatment at Kinoya and regional training hubs funded by ADB. These efforts underscore Fiji’s commitment to sustainable development, positioning the nation as a regional leader in addressing water system deficiencies through innovative solutions.
Construction is set to commence in early 2026, with the initiative expected to deliver widespread positive impacts for urban areas and regional communities alike. By fostering cohesive partnerships with international organizations and orchestrating well-planned upgrades, this project aims to establish a foundation for Fiji’s enduring environmental stewardship and sustainable development. It signals a promising future, where advanced infrastructure strengthens the country against climate-related emergencies while supporting economic growth and public health improvements.