EU and AFD sign Sh32.5 billion agreement to improve water and sanitation services in Mwanza

Mwanza. The European Union (EU), in partnership with the French Development Agency (AFD), has signed a grant agreement worth Euro 12.5 million (about Sh32.5 billion) to finance the second phase of the Lake Victoria Water and Sanitation Project (LVWATSAN II) in Mwanza.

The signing ceremony took place on June 19, 2026, at the Butimba water source and treatment plant, marking one year since the facility was inaugurated. The plant currently produces 44,000 cubic metres of clean water per day.

Speaking at the event, AFD Regional Director, Jean François, said the agreement represents more than financial support, describing it as a long-term commitment by Team Europe to improving the lives of people in Mwanza.

“We are aware that challenges in water supply and sanitation still exist, which is why we continue to make this significant investment,” he said.

Under the agreement, the LVWATSAN II programme is estimated to cost Euro 202.5 million (over Sh600 billion), combining grants and concessional loans from AFD and the European Investment Bank (EIB).

The project is expected to expand water services to more than 400,000 people in Mwanza South, while also strengthening sanitation services.

It will also introduce simplified sewerage systems in selected areas of Mwanza, as well as establish a modern sewerage system in Bukoba for the first time, which will serve over 100,000 residents. The existing network in Musoma will also be expanded.

The European Union Ambassador to Tanzania and the East African Community, Christine Grau, said cooperation between Tanzania and the EU has strengthened for more than 50 years, enabling significant investment across sectors including water, energy, and urban development.

She noted that the EU has been a long-standing partner in Mwanza’s water sector for over 20 years, supporting infrastructure development aimed at protecting Lake Victoria from pollution.

A view of the Butimba water treatment plant, which serves more than 400,000 people in the southern areas of Mwanza.

“Today we are continuing our commitment to addressing the growing demand for water driven by the rapid expansion of Mwanza City, while also prioritising environmental protection,” she said.

Director of Water Supply and Sanitation at the Ministry of Water, Charles Mafie, said the first phase of LVWATSAN, which cost Euro 136 million, significantly improved water and sanitation services in Mwanza City, Ilemela, and surrounding towns including Magu, Misungwi, and Lamadi, as well as the construction of the Butimba treatment plant.

He said the interventions have benefited more than 150,000 people through improved sanitation services, while ongoing works are expected to reach over 450,000 people through expanded water infrastructure.

“Through the second phase, water production is expected to increase to 170 million litres per day, alongside the construction of approximately 700 kilometres of new pipelines and the use of solar energy to enhance reliable service delivery,” he said.

He added that the project is also expected to benefit more than 750,000 residents of Mwanza South by providing safe and clean water around the clock.

He further noted that the government values the contribution of development partners, stressing that such investments continue to improve livelihoods and promote sustainable development in the country.