Ghana Secures €323M EIB Deal to Fix Water Crisis in Tamale, Yendi and Damongo

• Finance Minister Cassiel Ato Forson announced a €323 million financing package for the Northern Ghana Water and Sanitation Project
• The package includes €98 million in grants from the European Commission and Invest International, a Dutch government initiative
• The European Investment Bank committed a €225 million highly concessional facility to support the three northern communities

Ghana's Finance Minister, Dr Cassiel Ato Forson, has secured a €323 million financing deal to tackle long-standing water and sanitation challenges across three northern Ghanaian communities: Tamale, Yendi, and Damongo.

The minister on October 166, 2026, shared the agreement after meeting with European Investment Bank (EIB) Vice-President Ambroise Fayolle, calling the discussions productive.

"I have just concluded a productive meeting with European Investment Bank Vice-President Ambroise Fayolle on the financing package for the Northern Ghana Water and Sanitation Project," Dr. Forson said.

How the €323 million package is structured

The total financing breaks down into two broad components: €98 million in grant funding and a €225 million highly concessional loan from the EIB.

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Of the grant portion, the European Commission will contribute €68 million, while Invest International, a Dutch government-backed initiative, will add a further €30 million.

The EIB's concessional facility makes up the remainder of the package, bringing the combined total to €323 million.

Finance Minister Cassiel Ato Forson made the announcement in the Facebook post below.

What the project aims to deliver

According to Forson, the Northern Ghana Water and Sanitation Project is designed to address the recurring shortages of clean water that have long affected residents in Tamale, Yendi, and Damongo, while also improving sanitation infrastructure across the three areas.

The involvement of multiple European partners, including the EIB, the European Commission, and Invest International, signals a significant multilateral commitment to improving living conditions in northern Ghana.

Community 25 residents cry over water crisis

Earlier, YEN.com.gh reported that residents of Community 25, located near Tema in the Kpone Katamanso Municipality of the Greater Accra Region, called on authorities to urgently address a water shortage that has left some households without a reliable supply for as long as a year.

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Eric Martey, an executive member of the Community 25 Residents Association, raised the alarm on Joy FM's Super Morning Show on Wednesday, October 7, 2026, saying the situation had worsened following pipeline repair works carried out by Ghana Water Limited roughly two months ago.

He said no water had flowed through the community's dedicated line since those repairs were completed, despite residents having paid for that dedicated connection.

Source: YEN.com.gh