Promote the uptake of innovations in the WASH sector through a landscape assessment and policy formation for Villgro, AFD, and MoHUA, India

India’s water, sanitation, and hygiene innovation landscape faces systemic barriers that hinder improvement. Some barriers include unfavorable policy environments, limited funding, handholding, and adoption support for innovators. These challenges discourage local governments from implementing solutions and constrain the impact of new startups. 

MSC collaborated with Villgro and consulted startups from the Swachhta Startup Challenge to address this sanitation issue. The Swachhta challenge receives support from the Agence Française de Développement, the Ministry of Housing and Urban Affairs, urban local bodies, investors, and ecosystem partners. The team assessed supply- and demand-side barriers and reviewed past and current government initiatives and policies. 

MSC developed a guidance note and strategic framework based on these insights to help local governments adopt scalable WASH innovations. The framework recommends actionable solutions, such as sustainable funding models, streamlined procurement processes, and support mechanisms. These would improve innovation uptake and strengthen urban infrastructure. 

Villgro Innovations commissioned this project.  

Assessment of financing gap in operation and maintenance (O&M) of sanitation facilities of schools in Odisha, India

Many sanitation facilities in Odisha remain non-functional despite near-universal toilet access in schools. This is because of poor maintenance, limited financing, and a lack of accountability. These adverse conditions negatively impact hygiene, attendance, and education, especially girls’ education. 

MSC assessed operation, maintenance practices, and financing systems for school sanitation in Sambalpur and Deogarh. The study identified critical gaps in policy, funding, and implementation. It also examined relevant business models and best practices. 

Key outcomes of the study included the introduction of sanitation warrior committees for local accountability. These would also ensure the development of a go-to-market strategy to scale sustainable solutions across schools and districts. The study emphasized the need for innovative financing, stronger enforcement, and multi-stakeholder collaboration to ensure long-term impact. 

Water.org commissioned this project. 

Assessment of the demand for WSS MSME financing opportunities for financial institutions in Vietnam

Access to finance remains a major barrier for water supply and sanitation (WSS) micro, small, and medium enterprises (MSMEs) in Vietnam. This limits their ability to scale operations and improve service delivery. Despite rising demand for clean water and sanitation services, these businesses face significant challenges, such as limited credit histories, a lack of tailored financial products, and unclear bankability criteria. These challenges restrict their access to formal financing. 

MSC conducted a qualitative market study to address this. We sought to identify financing gaps and explore ways to enhance financial institutions’ engagement with the WSS sector. The study included interviews with 14 financial institutions and 15 WSS-focused MSMEs across urban and rural regions. It mapped the current lending landscape, assessed financing needs, and analysed stakeholder perceptions and practices. 

We conducted in-depth market research to evaluate MSMEs’ borrowing behavior, operational models, financial constraints, and readiness for credit. These insights helped shape targeted strategies to unlock financing. Some strategies included product design, capacity building for lenders, blended finance opportunities, and regulatory guidance to improve MSME bankability. 

The findings enabled Water.org to understand the WSS financing ecosystem in Vietnam better. The organization developed a six-point action plan. The plan recommended actions to strengthen partnerships with government stakeholders, organize a national forum, and form a local implementation team. It also highlighted how to engage financial institutions, assess financial product viability, and explore blended finance solutions. 

Water.org commissioned this project. 

Creation of WSS-focused investment readiness tools, templates, and training materials to facilitate capital raising for MFIs and FIs, India

Access to safe sanitation in high-traffic urban and peri-urban areas has been especially limited for women, transgender individuals, and female traffic personnel. Marginalized groups also lacked structured training and dignified livelihoods in the sanitation sector. 

MSC designed and implemented high-impact water, sanitation, and hygiene (WASH) and gender-inclusive initiatives. We introduced Pink Toilets, which are inclusive public facilities with dedicated transgender units, baby care amenities, and rest areas for female traffic officers. A self-sustaining operations and maintenance model was developed with women-led self-help groups and urban local bodies. FARMER and the Indian Railway Finance Corporation’s corporate social funding also financed the project and integrated it into state policy frameworks. 

We anchored the establishment of Bihar Swachhta Sansthan, a first-of-its-kind sanitation training college with support from the World Toilet Organization. 20 Pink Toilets were approved across major cities. These created livelihood opportunities for women-led self-help groups and strengthened Bihar’s urban sanitation ecosystem. The inclusive WASH model for highways received in-principle funding from the Asian Development Bank and secured inter-departmental alignment for future rollout. 

The Gates Foundation, on behalf of the Government of Bihar, commissioned this project. 

Development of toolkits that enable financial institutions to lend for the water and sanitation needs of their clients in Asia, Africa, and Latin America

Access to finance for water, sanitation, and hygiene (WASH) and small enterprises remains limited across many developing regions. This is due to a lack of tailored financial products, market insights, and delivery tools. This financing gap restricts underserved households and communities from accessing sustainable WASH solutions. It also undermines efforts to improve health and economic resilience. 

To address this, Water.org engaged MSC to scale its innovative WaterCredit concept and develop five practical toolkits to help banks, MFIs, and NGOs build strong WASH finance portfolios. The toolkits covered opportunity mapping, product development, marketing, delivery, and portfolio management. Water.org partners across Asia, Africa, and Latin America have widely adopted these toolkits. 

MSC provided technical assistance to help partners identify market opportunities, design relevant financial products, establish delivery systems, and manage WASH loan portfolios effectively. 

To date, WaterCredit has enabled more than 12 million families in 12 countries to access water and sanitation solutions. More than 10 financial institutions in Africa have implemented products aligned to WaterCredit. More than 150 bank managers in Kenya, Uganda, and Tanzania have been trained to use this toolkit. By 2017, WaterCredit had generated USD 1.5 billion in commercial financing for the WASH sector. This demonstrates the power of well-designed financial solutions to drive scale and impact. 

Water.org commissioned this project.  

WASH and SME financing market assessment for the Family Bank of Kenya

Access to financing for Kenya’s WASH and SME sectors remains limited due to the absence of targeted financial solutions and market intelligence. Family Bank sought to explore these opportunities but lacked the strategic insights to establish a dedicated unit. 

MSC conducted a comprehensive market assessment across Nairobi, Kisumu, and Embu to identify financing gaps, assess consumer behavior, and benchmark competition in the WASH finance space. We applied behavioral research methods and business analytics to design a strategic framework for market entry. The project team segmented customers, assessed market demand for WASH and SME financial products, and proposed viable financial products and delivery mechanisms to support the bank’s expansion into this segment. 

This engagement strengthened the bank’s strategic positioning to serve underserved WASH and SME markets with tailored financial solutions. These products would ultimately support the bank’s broader financial inclusion agenda. 

The Family Bank of Kenya commissioned this project.