Guyana and Japan exchange notes for $7.2 Billion concessional loan for water and sanitation project

Guyana and Japan exchange notes for $7.2 Billion concessional loan for water and sanitation project

Guyana and Japan have exchanged diplomatic notes on a G$7.2 Billion concessional loan from the Japanese Government to co-finance the Guyana Climate Resilient Water and Sanitation Infrastructure Improvement Programme with the Inter-American Development Bank (IDB).

The multi-billion dollar project will see Japanese technologies being deployed to provide the residents of Diamond with safe water. The notes were exchanged between Guyana’s Minister of Foreign Affairs, Hugh Todd and Ambassador of Japan to Guyana, Dr Akima Umezawa.

Minister Todd said this component of the project will focus on improving the water infrastructure in Diamond – one of the country’s largest and ever expanding housing schemes.

“It is becoming a major hub and if the community is growing then we will have to upgrade the infrastructure, and so, we are very happy to partner with the Japanese Government, the IDB on this concessional loan and exchange of notes in the signing of this agreement which brings to bear the fact that Guyana is very focused on governing for the people of Guyana and for all,” Minister Todd said.

It was explained that components of the Programme were initially rolled out in Regions Two, Three and Seven.

Minister Todd said the project is both in line with Government’s developmental plans and the UN Sustainable Development Goals (SDG2030) which underscore the importance of universal access to safe and affordable water and sanitation.

“If we are going to ensure that we improve the quality of life for every citizen then water is very, very vital. And you are aware also that if you look at the SDGs 2030, water is in the top 10, number six to be exact. And so, if we are talking about ensuring that we could remove hunger and poverty, improving healthcare, water is essential to life, and it is universal,” the Foreign Affairs Minister said. 

Ambassador Umezawa said the project is not only aimed at creating safer and sustainable drinking water, but also creating a healthy environment, which would contribute to the development of Guyana.

He said as Guyana experiences rapid economic growth, it is important for its water infrastructure to be improved.

“This is truly the era of rapid economic growth in Guyana. As Guyana has recorded the world’s highest economic growth for the last four years, Guyana should be awarded the world’s most sophisticated water management system. It’s high time to revise the old water infrastructure which has been built in the 19th century,” the Japanese Ambassador said.

The Japanese Ambassador said among the state-of-the-art water treatment technologies used by Japan is the membrane technology, adding that the water treatment and sanitation project has been developed on a world-class scale in both quality and quantity.

Between 2024 and 2025, Toshiba – a Japanese company – constructed four large-scale water treatment plants in the country, two in Region 3; one in Region 2, and one in Region 7 under the project.

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