The bank made the announcement yesterday as ADB vice-president Stephen Groff signed two agreements with Fiji and the Green Climate Fund.

The first was a $42m loan for the Government of Fiji to improve water and sanitation services to over 300,000 people in the Suva area, while ensuring that infrastructures are 'climate resilient'. 

The second agreement with GCF was a $31m grant to the Fiji through the development bank.

Groff said: “ADB has been supporting Fiji to improve water and sanitation for more than 20 years.”

The investment is expected to expand water supply by 40,000 cubic meters per day, broadening the access to clean water to 98% of households in Suva.

It is also predicted it will increase the sanitation network for additional 4,500 households, to access sewerage by 2023.

Aiyaz Sayed-Khaiyum, attorney-general and minister for economic and climate change for Fiji, said: “This project aims to improve access to sustainable water supply and sewerage services to Fijians in the greater Suva area, taking into account the increasing population and the need for more resilient infrastructure.”

The GCF has approved almost $280m of investment for Pacific island countries, including investments in the Cook Islands, Fiji, Nauru, Samoa, Soloman Islands, Tuvalu and Vanuatu, the executive director of the fund, Howard Bamsey, said.

The Fiji Urban Water Supply and Wastewater Management Investment Program was among the first group of projects approved by the fund in 2015.

The investment will also be co-financed by the European Investment Bank.