Proparco partners with IDB Invest and BRK Ambiental Maranhão to improve water and sanitation services in Brazil

The project, with a total cost of up to 825 million Brazilian Reais (approximately USD 130 million), is expected to significantly improve access to potable water and sanitation services in Maranhão, a Brazilian state where nearly 60% of the population lives below the poverty line. Through a BRL 225 million (approximately USD 37 million) guarantee provided by Proparco, the project secures long-term local currency financing from development financial institutions, ensuring financial stability and long-term impact.

The collaboration will expand water and sewage coverage, providing more than 370 000 people with quality sanitation services by 2029. This includes the addition of more than 28 000 new water connections and more than 33 000 new sanitation connections between 2024 and 2028, targeting the most disadvantaged populations in Maranhão. These services are critical in mitigating water related diseases, improving public health, and fostering economic resilience in one of Brazil's poorest areas.

The initiative also reflects Proparco’s strong commitment to climate and biodiversity goals. Classified as climate finance, the project aims at achieving a 60% reduction in CO2-equivalent emissions and supporting the depollution of local watercourses, including the Rio Paciência. These efforts are vital for preserving the natural ecosystem while adapting to climate challenges in the Amazonian region.

Beyond infrastructure, the project contributes to social equity and gender inclusion. Through its commitment to women, the project is eligible for the 2X Challenge, an initiative to strengthen women's economic empowerment. It prioritises gender equality by fostering women-led initiatives and creating over 630 jobs, directly benefiting the local workforce and economy. By integrating the needs of vulnerable communities, this initiative supports Brazil's achievement of several United Nations Sustainable Development Goals, including SDG 5 (Gender Equality), SDG 6 (Clean Water and Sanitation), SDG 8 (Decent Work and Economic Growth), SDG 10 (Reduced Inequalities), SDG 13 (Climate Action), and SDG 15 (Life on Land).

Loïc Perret, Head of Infrastructure of the Energy and Infrastructure Division at Proparco remarked: "This project embodies the essence of Proparco’s mission to foster inclusive and sustainable development. By addressing critical infrastructure needs in Maranhão, we are making a tangible impact on the lives of thousands of families, enhancing public health, reducing inequalities, and advancing global climate and biodiversity objectives."

Alexandre Thiollier, CEO of BRK Ambiental said: “We are glad to announce this collaboration, that will contribute to materialize the progress already made by BRK since entering the state.  With commitment and efficiency, we bring more health and well-being to the population of Maranhão, and together, we move towards universalization.”

According to a 2022 report by the World Bank, Maranhão has one of the highest poverty rates in Brazil, at nearly 60%, compared to the national average of 30%. The region also ranks among the lowest in access to sanitation services. By bridging these gaps, the partnership with IDB Invest and BRK Ambiental Maranhão represents a model for addressing regional disparities and improving quality of life in underserved communities.