With SECO's and EBRD’s support to improve drinking water services in the city during the past 4 years (Naryn Project Phase I), the Naryn water company has made important steps towards becoming a self-reliant and financially viable enterprise. However, the city of Naryn - Kyrgyzstan’s highest altitude province capital at 2’000m - still faces important challenges in the water and wastewater sector, including due to severe climatic conditions. Management capacity and financial sustainability of the water company require further improvement and there are manifested needs for the rehabilitation and effective management of the wastewater system.

The population of Naryn benefits from an adequately and equitably managed water system, including both good quality drinking water supply and wastewater treatment, contributing also to preserving water-related ecosystems. Through this, the project is also expected to contribute to the realization of the economic development potential of Naryn, specifically to a growing tourism industry, as the provision of reliable, affordable and good quality water services is an important precondition to develop this potential.

Sustainably managed wastewater operations-

Increased and equitable access to improved quality of sanitation services- and

Inclusive, transparent and accountable governance in the local water/wastewater sector.

Expected results:  

Corporate financial management improvements implemented-

Operational management improvements implemented-

Targeted infrastructure improvements delivered- and

Mechanism for regular consultations and awareness raising with citizens and other stakeholders established and functional.

Results from previous phases:  

For the 4 years of implementation of the SECO-EBRD supported previous phase I, Naryn water company and the municipality achieved very positive results. They have shown strong commitment to increase tariffs, while respecting affordability considerations. Therefore, the water utility performance significantly improved, which is reflected in 40% increase in revenue level. In addition, the connection rate of commercial customers could be increased by 130%. Collection rate also improved by 30%. Finally, there has been good progress in infrastructure investments implementation and the project is well on-track.