In accordance to the Water Supply and Sanitation Act, the NWF is required to support investment in water projects by way of grants or loans.

NWF loans on favorable terms are available to water authorities and community organization for investments in water services provisions.

The procedures and mechanisms of issuing of such loans shall be as prescribed in the loan application guidelines issued by the Minister.

Eligible water projects to be financed by the Fund will be selected basing on the criteria underlined under these Guidelines.

Regulation 6 of the National Water Fund Regulations caters for the procedures need to be complied with in selection of water projects for NWF financing. These procedures will be followed pursuant to the budgeting guidelines stipulated under the Budget Act, 2015. The procedures involves:-

Step 1:     Identification and preparation of project proposals by IAs in accordance to the latest water sector design manual;

Step 2:     Submission of water project proposals to the Ministry by IAs for scrutiny;

Step 3:     Submission of water project list of water projects by the Fund from the Ministry for appraisal and screening;

Step 4:     Appraisal and screening of the submitted list of projects by the Fund and recommendation of the same to the Minister;

Step 5:     Minister’s consideration and approval of the NWF recommended list of  water projects;

Step 6:     Submission for appropriation to the Parliament the selected water projects; and

Step 7:     Implementation of approved water projects.