AMCOWTAC Meeting 24 25 November 2008 Nairobi AWF

AMCOW-TAC Meeting 24 - 25 November 2008, Nairobi AWF Resources Mobilisation Update By Mr. Tefera Woudeneh Chief Water Operation Officer, AWF

Funding requirements of the rolling three-year operational programs Mobilize € 500, 000 during 2005 -2009 Mobilize € 236, 000 to implement 118 projects during 2008 – 2010 Mobilize € 139, 000 to implement 86 projects during 2009 - 2011 109 m 75 m 51 m 37 m 55 m 47 m 2

PROGRESS SINCE THE 7 th GOVERNING COUNCIL Some tangible results have been achieved and dialogue with current and potential new donors has continued. 3

Continued efforts focused on deepening relations with current donors and engaging with potential new donors • Follow up on fund requests for RMCs – – • Continued contacts with non-regional member countries – – • Algeria made a contribution to the Facility in October 2008 Senegal informed the 8 th GC that a contribution will be provided in 2009 (confirmed by the Prime Minister) Congo and South Africa have taken initial steps Awaiting response from Angola, Botswana, Equatorial Guinea, Libya, Namibia and Nigeria DFID informed the 8 th GC that they are currently considering a GBP 15 million contribution to the AWF Initial contacts made with Indian, Saudi and Swiss authorities Follow up meetings held with Australia, China, Finland, and Japan All current donors are considering a second phase of support Funds and foundations: – – Gates Foundation and Coca Cola Africa Foundation – collaboration prospects Private sector foundations require highlighting of their brand name that a basket fund may not easily provide 4

Other RM activities undertaken • • • In-kind contributions – Technical Assistants: extension and recruitment of replacements for the Austrian and Norwegian TAs – Engaged in the Af. DB budget process to increase the Bank’s contribution AWF/AMCOW TAC RM Working Session in July in Brazzaville – Detailed action plan for the more immediate RM – Suggestions for strengthening the overall approach to funds mobilization – Investigation of modalities for RMC contributions to AWF confirmed that financial contributions to the AWF bank account remain the most effective method Resources Mobilization Toolkit prepared 5

The efforts have resulted in some tangible achievements during the period • Algeria has become the first RMC donor member of the Facility by contributing € 100, 000 • Sweden was the first of the current donors to formalize a second phase of funding, amounting to € 8 million (SEK 75 million) • Austria was the second current donor to formalize their second phase of funding of € 300, 000 • Spain formalized their commitment to join the Facility with an amount of € 12 million • Norwegian TA commitment extended to 2011 6

Sinception, the Facility has mobilized cash contributions amounting to € 87 million, of which € 44 million has been received Donor Total Pledges by Dec 2007 European Commission 25. 0 Canada New Pledges Jan-Oct 2008 Total Pledges by Oct 2008 Funds received by Oct 2008 - 25. 0 9. 1 13. 3 - 13. 3 8. 7 France 12. 0 - 12. 0 9. 6 Denmark 5. 4 - 5. 4 3. 2 Sweden 4. 8 12. 8 7. 5 Norway 3. 7 Austria 0. 1 0. 3 0. 4 0. 1 8. 0 - Spain - 12. 0 0. 0 Algeria - 0. 1 64. 3 20. 4 84. 7 42. 0 1. 2 2. 1 65. 0 22. 5 86. 8 44. 1 Total Donors Interest Earned Total Cash Contribution 7

FUNDING STATUS AS COMPARED TO THE 2009 -2011 OPERATIONAL PROGRAM € 50 million of the € 139 million resources requirement have been committed, leaving a gap of € 89 million to be secured 8

A gap of € 89 million remains to be filled, with emphasis on 2010 and 2011 Funding deficit 9

The challenge as at October 30 th 2008: Sinception, 87 million has been raised for the AWF, by 2011 another 89 million has to be raised – How to raise this amount within 2 years? – How to obtain longer term commitments that will allow the Facility to also deliver the operational program in a timely manner? 10

RECOMMENDATIONS & CONCLUSION The Facility remains optimistic that the target funding can be raised, with renewed efforts 11

A combination of intensified efforts and new approaches is required by AWF stakeholders • • • Active involvement by all stakeholders in fund raising Current donors are encouraged to start considering continued support as early as possible AMCOW/AWF to engage further in the EUWI Working groups as a means to raise visibility and prospects of longer term financing Follow through by RMCs on contributions is essential, AWF may support through lobbying missions Increase human resources involved in fund raising: A few senior resource persons may be contracted, to increase visibility, one of the resource persons should be an “ambassador” at the highest political level 12

Conclusions and next steps • Current levels of resources mobilization efforts directly affects the impact the Facility makes on the sector Larger donor base Sustainable human resources base Longer term commitments Increased capacity for planning & activities Greater delivery of results • AWF continues to undertake resources mobilization activities. Upcoming activities include continued engagement with Finland, and organizing a meeting with several Arab countries. • It is recommended that AMCOW Secretariat, AMCOW TAC and AWF hold a meeting shortly after the GC to prepare a concrete roadmap for implementation of recommendations and guidance from the 8 th GC. 13

The African Water Facility: Owned by Africa Managed by Africa For Africa Thank you for your attention! AWF TEL: + 216 71 10 20 55 FAX: + 216 71 10 37 44 Web: www. africanwaterfacility. org 14