Paving the way for greater private sector investment in Vietnam’s water supply infrastructure


With over 90 million people, Vietnam is the third most populous country in southeast Asia. To meet the growing needs of the population, water supply and sanitation projects in Vietnam require more investment – with only US$1.0bn of the required US$2.7bn invested annually.

According to WHO and UNICEF estimates, 72% of the rural population uses non-piped water, as opposed to 55% of the national population and 20% of the urban population. These figures reflect the broader trend of a widening gap in the provision of water supply and sanitation services between the rural poor and the urban non-poor.

Both increased effectiveness and more innovative financing are needed to close the gaps in the financing and provision of water supply and sanitation services. Access to private sector finance is currently limited due to unattractive tariffs, which have proven insufficient to cover investment costs and the high volume of non-revenue water.

The Project

InfraCo Asia is co-developing a portfolio of water supply projects with Singapore-listed company Darco Water Technologies. Through the Vietnam Water Supply Portfolio, InfraCo Asia aims to increase private sector participation in water supply projects in Vietnam to help meet its water supply and sanitation-related development goals, including universal access to safe drinking water by 2030.

The Vietnam Portfolio of Potable Water Supply Projects involves the implementation of water distribution systems (or retail water supply plants) in semi-rural regions of Vietnam.

Darco Ba Lai Water Treatment Plant
The Portfolio’s first water distribution system aims to provide 24/7, piped and treated water to 16 communes and one industrial area in Ben Tre province, where individuals are highly dependent on the collection of rainwater for everyday use. The first phase of the Darco Ba Lai water treatment plant shall provide 5,000 m3/day of clean water supply and upon completion, the project is expected to see total increase of 15,000 m3/day of clean water supply piped directly to rural households and industrial facilities.

Our Impact

Impact on people: The portfolio will provide improved water supply service and first time access to reliable piped water supply to thousands of households, including those in areas where there is high dependence on the collection of rainwater for everyday use.



Darco Ba Lai Company Limited

Total Project Cost

US$ 15.4M




Ben Tre Province


Darco Ba Lai Water Treatment Plant (phase 1)
Agreement signed in Q4 2017
Financial close in Q4 2019
Operations commencement Q2 2023



InfraCo Asia Funding Committed

US$ 2.6M

Other PIDG Funding Committed

US$ 2.7M (Viability Gap Funding)

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