Financing Water Security Models and Approaches for Investments that Last Financing Water Security MODELS AND APPROACHES FOR INVESTMENTSTHAT LAST This work is issued under the responsibility of the Secretary-General of the OECD, and does not necessarily reflect theofficial views of OECD Member countries. This document, as well as any data and map included herein, are without prejudice to the status of or sovereignty overany territory, to the delimitation of international frontiers and boundaries and to the name of any territory, city or area. The statistical data for Israel are supplied by and under the responsibility of the relevant Israeli authorities. The use ofsuch data by the OECD is without prejudice to the status of the Golan Heights, East Jerusalem and Israeli settlements inthe West Bank under the terms of international law. Note by the Republic of Türkiye The information in this document with reference to “Cyprus” relates to the southern part of the Island. There is no singleauthority representing both Turkish and Greek Cypriot people on the Island. Türkiye recognises the Turkish Republic ofNorthern Cyprus (TRNC). Until a lasting and equitable solution is found within the context of the United Nations, Türkiyeshall preserve its position concerning the “Cyprus issue”. Note by all the European Union Member States of the OECD and the European UnionThe Republic of Cyprus is recognised by all members of the United Nations with the exception of Türkiye. Theinformation in this document relates to the area under the effective control of the Government of the Republic of Cyprus. Kosovo*: This designation is without prejudice to positions on status, and is in line with United Nations Security CouncilResolution 1244/99 and the Advisory Opinion of the International Court of Justice on Kosovo’s declaration ofindependence. Please cite this publication as: OECD (2026),Financing Water Security: Models and Approaches for Investments that Last, OECD Studies on Water, OECDPublishing, Paris,https://doi.org/10.1787/7cf3f5bd-en. ISBN 978-92-64-49032-1 (print)ISBN 978-92-64-87845-7 (PDF)ISBN 978-92-64-33093-1 (HTML) OECD Studies on WaterISSN 2224-5073 (print)ISSN 2224-5081 (online) Photo credits:Cover © Curioso.Photography/Shutterstock.com. Corrigenda to OECD publications may be found at:https://www.oecd.org/en/publications/support/corrigenda.html.© OECD 2026 Attribution 4.0 International (CC BY 4.0) This work is made available under the Creative Commons Attribution 4.0 International licence. By using this work, you accept to be bound by the terms of this licence(https://creativecommons.org/licenses/by/4.0/). Attribution– you must cite the work.Translations– you must cite the original work, identify changes to the original and add the following text:In the event of any discrepancy between the original work and thetranslation, only the text of the original work should be considered valid.Adaptations– you must cite the original work and add the following text:This is an adaptation of an original work by the OECD. The opinions expressed and arguments employed inthis adaptation should not be reported as representing the official views of the OECD or of its Member countries.Third-party material– the licence does not apply to third-party material in the work. If using such material, you are responsible for obtaining permission from the third party and forany claims of infringement.You must not use the OECD logo, visual identity or cover image without express permission or suggest the OECD endorses your use of the work.Any dispute arising under this licence shall be settled by arbitration in accordance with the Permanent Court of Arbitration (PCA) Arbitration Rules 2012. The seat of arbitration shallbe Paris (France). The number of arbitrators shall be one. Preface Water is fundamental to economic prosperity, social well-being, and environmental resilience. Yet it canno longer be taken for granted. Growing pressures from population growth, urbanisation, environmentaldegradation, and more frequent extreme weather events are placing unprecedented stress on waterresources worldwide. In this context, the way we finance and structure water-related investments will bedecisive in shaping development trajectories for decades to come. This report comes at a critical moment. According to the Global Commission on the Economics of Water,underinvestment in water security is already projected to generate significant macroeconomic losses,equivalent to around 8% of global GDP by 2050. At the same time, water and sanitation investments yieldsubstantial returns, generating on average around USD 4 in benefits for every dollar invested throughimproved health, education, food security, and environmental outcomes, according to UN estimates.Bridging this gap between costs and benefits requires not only mobilising more finance but also ensuringthat such funds are deployed more effectively. Too often water-related investments are