Breaking Aid Dependency With results-based financing

From Promises to Performance

Instead of paying upfront for infrastructure, Made Blue and Max TapWater now work with clear, measurable targets: the number of connected households, the volume of water delivered, and the reliability of the system. Funding is released when these targets are met.

This approach, known as results-based financing, shifts the focus from “building projects” to “delivering services that last”. It rewards performance rather than plans.

Progress will be reviewed every year based on verified results. As long as Max TapWater continues to meet its targets, our partnership will be extended. When agreed volumes are delivered consistently over multiple years, additional funding will become available to support further expansion. The results of the past few years have given us every reason to take this next step with confidence.

Working Together for Quality and Scale

Our confidence in Max TapWater’s success is based in part on their strong network of specialised local partners in water technology and system management. They collaborate with Max TapWater on digital applications and dashboards for monitoring, automation and smart metering systems, as well as reliable and energy-efficient pump solutions.

These partnerships give Max TapWater access to modern equipment, continuous water quality monitoring, and real-time insight into system performance. Leaks are detected more quickly, maintenance is better planned, and systems remain operational for longer.

By combining local operations with professional technical support, these partners strengthen one another and help Max TapWater grow into a well-run water company that meets international standards.

Less Loss, More Impact

This professional approach is essential for quality and for efficiency. In many water systems, a significant share of pumped water is still lost through leaks, technical failures, or weak management, often referred to as non-revenue water.

This has been a persistent challenge in Bangladesh. For a long time this has resulted in losing significant amounts of water, income, maintenance capacity and trust in the system.

For a model built on results-based financing, this is simply not sustainable.

For Max TapWater, reducing non-revenue water is a key priority, with technological innovation playing a significant role. This strengthens the financial foundation of the systems and increases the certainty that households can rely on safe, reliable water in the long term.

Independent Instead of Dependent

For local communities, the water networks also make a real difference economically.

While specialised partners provide the technical infrastructure and digital monitoring, the day-to-day operation of systems is handled by locally trained operators. They oversee the installations, carry out basic maintenance, and serve as the main point of contact for households.

This creates a sustainable business model in which knowledge, responsibility, and a part of the income remain within the community. The water networks don’t rely on temporary subsidies, but on local entrepreneurship and technical expertise. As a result, villages no longer wait for the next project, but have access to a professional and locally managed water system.

Looking Ahead

With ambitious plans to expand further across Bangladesh, Max TapWater aims to reach many more households in the coming years. As more water systems become financially independent, reliance on external funding will continue to decline.

For Made Blue, this approach reflects a broader vision:

Impact should be measurable, partnerships should be transparent, and access to clean drinking water should never depend on temporary solutions.

By investing in results — not promises — lasting change becomes possible.