The European Investment Bank (EIB) has agreed to provide a Euro 76.3 million loan to the Phnom Penh Water Supply Authority for the construction of the Bakheng water treatment plant (WTP) in Cambodia. The project will be backed by an investment grant of Euro 13.5 million from the Asia Investment Facility of the European Union. It will also be supported by Agence Francaise de Developpement (AFD) under the Mutual Reliance Initiative. The WTP will be constructed on the northern outskirts of Phnom Penh and the water intake will be located on the west bank of the Mekong river. Once operational, the WTP will supply nearly 71 billion litres of drinking water annually in and around the city.