EBRD support for earthquake-hit Malatya to improve water systems

• EBRD provides €95 million loan to improve water systems in Malatya, Türkiye
• Malatya was affected by the 2023 earthquakes, which caused widespread damage
• Project will also improve Malatya’s resilience to future shocks

The European Bank for Reconstruction and Development (EBRD) is providing a sovereign loan of up to €95 million to support the rehabilitation and construction of water supply, wastewater and stormwater networks in the city of Malatya in south-eastern Türkiye.

The financing, extended to the Republic of Türkiye and implemented by Iller Bankasi A.S. for the benefit of the Malatya Water and Sewage Administration (MASKI), will help restore essential municipal services following the devastating February 2023 earthquakes.

Malatya’s water and wastewater systems sustained significant damage during the earthquakes, leading to water losses, network leakages and operational disruptions in wastewater treatment, with adverse environmental and public health impacts.

The project will finance the rehabilitation and construction of approximately 467 km of water supply networks, 118 km of wastewater networks and 9 km of stormwater systems, as well as associated supervision services.

Greg Guyett, EBRD First Vice President, said: “Restoring essential municipal infrastructure is a critical priority in Türkiye’s earthquake-affected regions. This investment in Malatya will help rebuild vital water and wastewater services while strengthening the city’s resilience to future shocks. By improving efficiency, reducing water losses and ensuring reliability of critical services, the project will also contribute to sustainable urban development.”

Once completed, the investment will improve access to reliable water services, strengthen wastewater collection, support efficient wastewater treatment in line with global standards, and reduce flood risks in urban areas.

It will also boost the resilience of municipal services by strengthening disaster preparedness, risk management and operational capacity through a dedicated capacity-building programme for stakeholders.

The project marks the EBRD’s fifth investment through its sovereign earthquake response package, raising its total support for water infrastructure in the earthquake-affected regions to over €440 million.

The EBRD is one of Türkiye’s key institutional investors, having committed €24.4 billion across the country since 2009, largely in the private sector.