Preparation of a handbook on WASH for impact investors

e-MFP, with around 120 members from all geographic regions and specializations, is the leading network of organizations and individuals active in the financial inclusion sector in developing countries. e-MFP’s WASH action group was created to address key knowledge gaps in the water and sanitation sector, particularly by investors in their decision-making. The action group started in 2021 and initially commenced research to build a shared understanding of the water and sanitation value chains and their associated terminology, as well as to identify common challenges, pre-conceptions about the sector and good practices.

e-MFP onboarded Samavit to lead the preparation of a handbook for impact investors in WASH. The handbook aimed to act as a learning resource for investors to improve awareness about the sector and its linkage with the Sustainable Development Goals (SDGs). The major objectives of the handbook were to present the main concepts in WASH, outline the value chains of safe drinking water and sanitation, showcase SMEs working in WASH and their business models, describe the WASH economy, draw attention to the existing funding gap, identify challenges and preconceived ideas about investing in WASH projects, advance solutions to tackle the identified challenges. The expectation from the handbook was that it would contribute to catalyzing new investments in the sector in the short and medium term.

Samavit conducted a systematic review of literature using the Rapid Evidence Assessment of Literature (REAL) approach. Through this approach, Samavit tailored (1) a standardized search strategy to specific and relevant research questions developed with various stakeholders to survey the available literature; (2) evaluated the quantity and quality of the literature using structured tools and rulebooks to ensure objectivity, reliability and reproducibility of reviewer ratings in an independent fashion and; (3) obtained formalized, balanced input from subject matter experts on the implications of the evidence for future research and current practice. The information gathered from REAL based systematic review and key informant interviews was used to synthesize narratives around the topics outlined for the handbook by Samavit in consultation with e-MFP WASH action group team.

Samavit prepared a comprehensive 2-part handbook on WASH for impact investors. Part 1 aimed to build a sectoral understanding by covering topics such as introduction to WASH, WASH in SDGs, interlinkage between SDG 6 and other SDGs, clean water and sanitation value chains, external drivers of WASH ecosystem, SMEs in WASH, role of SMEs in WASH value chains, innovative business models, etc. Part 2 covered topics such as the global WASH economy, financing gaps, risks & returns, financing structures, financial instruments, case studies on tackling challenges in WASH, etc. Additionally, Samavit also presented key findings of this research to a wide global audience during European Microfinance Week (EMW) 2021.