Phase 1

Step 1.02 , Situation Analysis


The purpose of a Situation Analysis is to: (a) assess the feasibility of a Water Fund (by more deeply understanding the situation); and (b) generally determine how a Water Fund could positively contribute to water security within a defined area/region. 

Avg. Time Frame
3-4 Months

Key Ideas

The Situation Analysis is an assessment that explores the local context further and determines if a Water Fund is the right tool for addressing known water security issues. Learn more below.

  • How do I know if I'm ready to begin the Feasibility Situation Analysis?

    If a 'Go Decision' was made under the Eligibility Screening, you should proceed to conduct a Situation Analysis.
  • How does the Feasibility Situation Analysis differ from an Eligibility Screening?

    The Feasibility Situation Analysis provides a more detailed review of available information needed to assess the feasibility of developing a Water Fund and if it is the right tool to help address identified water security issues.
  • What does this report contain?

    The report contains details on water resources, relevant regional context, and a thorough water security situation analysis. These contents are accompanied by supporting maps and figures along with an initial stakeholder inventory and evaluation, all aimed at building greater understanding of the challenges and opportunities for a Water Fund to help improve water security in the region.
  • This report is a living document

    The Situation Analysis Report will need to be updated again in the Design Phase, prior to initiating strategic planning. This report is intended to document the current situation and be periodically updated to help inform decision-making processes.

Where do I begin?

Then learn more based on each component below. Access a list of key questions that should be answered to determine feasibility to better understand the scope of this analysis.

Camboriu Water Fund, Brazil @ Andre Targa Cavassani/TNC

  1. Governance

    Purpose: (1) identify/map stakeholders, (2) identify champions, (3) identify institutional and political conditions, and (4) explore the role of partnerships.

    Learn more
  2. Science

    Purpose: (1) clearly delineate the geographic extent of the analysis, including scoping and characterization of source watersheds, (2) further identify and explore water security issues within each water security dimension that a Water Fund might help to address, (3) identify and evaluate potential interventions that can help address the identified water security issues.

    Learn more
  3. Finance

    Purpose: to identify the current situation in terms of the following: partner fees, private sector, contributions, subsidies and grants (governmental, federal, and local levels), grants (from Foundations), services, endowment donations, cooperation funds, and other sources (lotteries, crowdfunding).

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Examples of completed Feasibility Situation Analysis documents from existing Water Funds are provided below.

Latin America: