Kenya’s €70 million flagship water project in Kisumu moves into second phase with Team Europe support

The Government of Kenya and European Union partners have marked a major milestone in a €70 million initiative to upgrade and expand water and sanitation networks in Kisumu, Kenya’s western port city on the shores of Lake Victoria, and in neighbouring communities. The Lake Victoria Water and Sanitation Project (LVWATSAN), which will benefit more than 600,000 people, is now moving into its second phase following completion of the initial works under phase one, inaugurated by President William Ruto on 14 September 2026. 

The first phase included upgrades to the raw-water intake and treatment plant in Dunga, a Kisumu neighbourhood, as well as 5 kilometres of new water pipelines and 30 kilometres of additional sewer network in the city centre and surrounding areas. It also included the rehabilitation of wastewater ponds in Nyalenda, sewer rehabilitation across the county, and 1,700 new household sewer connections.

The second phase of LVWATSAN will increase water storage and transmission capacity, extend distribution networks across northern Kisumu and the neighbouring communities of Ahero, Kiboswa, Darajambili and Maseno, rehabilitate existing wastewater treatment facilities, and construct a new wastewater treatment plant on the outskirts of the city. These investments will improve the reliability of water services, expand access to safe sanitation and support Kisumu’s continued urban growth.

Once completed, the project is expected to increase safe water supply coverage from 67% to 95% of households and businesses in the area by 2030, while sewerage coverage is expected to rise from 16% to 40% over the same period. The project will also reduce pollution entering Lake Victoria, a shared source of water, food and livelihoods for communities in Kenya, Uganda and Tanzania.

The €70 million programme is financed through a €35 million concessional loan from EIB Global, a €20 million concessional loan from AFD, a €5 million EU grant and €10 million from the Government of Kenya.

The project is being implemented by the Lake Victoria South Water Works Development Agency (LVSWWDA) on behalf of the Government of Kenya.

“Access to clean and safe water and to reasonable standards of sanitation is a right guaranteed to every Kenyan under our Constitution, and this project brings that promise closer for the people of Kisumu and its neighbouring communities,” said the Kenyan Ministry of Water, Sanitation and Irrigation. 

“Phase one is already giving households more reliable water and better sanitation. The second phase will extend these gains so that services keep pace with the city’s growth, while protecting the health of our people and the waters of Lake Victoria. The Government will continue working with our Team Europe partners and LVSWWDA to ensure these investments are delivered on time and sustained for generations.”

The LVWATSAN project combines long-term finance, grant support and local implementation capacity to deliver sustainable infrastructure with tangible benefits for people, the environment and the regional economy.“Reliable water and sanitation are foundations for healthier communities, stronger local economies and climate-resilient cities,” said Head of EIB Regional Hub for Eastern Africa, Edward Claessen. 

“Supporting Kenya to fund water management infrastructure for clean water and sustainable utilities serves as the primary line of defence against water scarcity. We are proud to support this partnership, which will expand essential services in Kisumu while helping to protect Lake Victoria for future generations.” 

In Kisumu, limited access to the public sewerage system makes the expansion of modern sanitation essential to protect public health, reduce the risk of waterborne disease and safeguard the Lake Victoria ecosystem. 

“For a decade, we have worked across the Kenyan, Ugandan and Tanzanian shores of Lake Victoria to protect this vital shared resource. The Kisumu investment is central to that effort: it will reduce untreated wastewater entering the lake and deliver better services for local communities. Its progress demonstrates the value of coordinated Team Europe action,” said Anne-Gaël Chapuis, AFD Country Director for Kenya. 

European financing institutions are investing in critical water supply, sanitation and climate adaptation projects in Kenya and across Africa as part of the European Union’s Global Gateway strategy. “This project shows how the EU and Kenya are turning partnership into practical results for people,” said EU Ambassador to Kenya Andreas Peschke. 

“Global Gateway is about investing in infrastructure that people can see and feel in their daily lives. In Kisumu, that means cleaner water, better sanitation and a healthier future for communities around Lake Victoria.”