Republic of Djibouti

Rehabilitation of the Distribution Networks of Drinking Water in Djibouti City

Loan No.:


Interest Rate:



Office National de l'Eau et de l'Assainissement de Djibouti (ONEAD)

Grace Period:

6 years

Project Cost:

KD 11.1 million


25 years

Amount of Loan:

KD 10.0 million


39 semi-annual installments

Date of Loan Agreement:


First Installment:

6 years following the first disbursement

Date of Effectiveness:


The project aims at addressing the severe drinking water shortage in Djibouti City, by rehabilitating and strengthening the water distribution network, expanding it, pumping additional groundwater into the network and rationalizing water consumption. The project is expected to provide around 2.1 million m3 annually of water. The project will also help develop the water distribution network, improve drinking water services, and thereby the living and health conditions of the population.


The project, which is expected to be completed during the third quarter of 2017, includes the rehabilitation of water distribution tanks, the rehabilitation and laying of pipelines, installation of house connections, construction of water pumping stations, drilling and equipping wells and connecting them to the distribution network, in addition to technical services and institutional support to ONEAD. The project consists of the following main components:

  1. Rehabilitation of Water Distribution Network: This includes the rehabilitation of about 4 existing water distribution tanks with capacities ranging between 1,400 and 2,500 m3, replacement of approximately 80 km of pipelines with diameters ranging between 75 and 600 mm, and their accessories, as well as laying of approximately 95 km of pipelines with diameters ranging between 75 and 400 mm. This component also includes the replacement of approximately 16,500 existing house connections, as well as the installation of approximately 8,000 new connections. Two water pumping stations with variable speeds will also be constructed, each with a capacity of approximately 100 liters/second with a maximum height of 30 m. In addition, this includes drilling approximately 10 groundwater wells and equipping them with pumps, executing the necessary electrical and hydro-mechanical works for their operation, and laying about 10 km of pipelines with diameters ranging between 110 and 250 mm to connect them to the distribution network.
  2. Technical Services: This includes consultancy services required to prepare the studies and design of the project, tender documents, assisting in bid evaluation, and supervising the execution of the project.
  3. Institutional Support: This includes establishing a workshop for repairing water meters and maintaining pumps, purchasing equipment, and training workers in project administration, operation and maintenance. It also includes the services of experts and consultants to conduct required studies for the improvement of ONEAD's management and financial system.


The Arab Fund's loan covers about 90% of the total project cost. The Government of Djibouti will cover the remaining cost of the project and any additional cost that may arise.

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