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Economic aspects of sanitation in developing countries.
Hoang Van Minh1, Hung Nguyen-Viet
1Health Economics Department, Institute for Preventive Medicine and Public Health, Hanoi Medical University, Hanoi, Vietnam.
Investing in sanitation yields significant economic returns, with every dollar spent generating over $9 in global benefits. Achieving sanitation goals is crucial for public health and economic development.
Area of Science:
- Public Health
- Environmental Economics
- Development Studies
Background:
- Improved sanitation significantly impacts public health and economic development.
- Progress towards Millennium Development Goals (MDGs) for sanitation has been slow due to a lack of understanding of its importance.
- This paper reviews evidence on the economic aspects of sanitation in developing countries.
Purpose of the Study:
- To report and discuss the economic aspects of sanitation.
- To analyze the economic impacts of unimproved sanitation.
- To evaluate the costs and benefits of improved sanitation options.
Main Methods:
- Data gathered from international and national journal articles and reports.
- Web-based statistics and fact sheets were utilized.
- Information was collected through online and hand search methods.
Main Results:
- The economic cost of poor sanitation is substantial, with global ramifications of US$38 billion if MDG targets are unmet.
- Providing sanitation coverage to meet MDG targets requires US$142 billion (2005 USD) in developing countries.
- Investing in sanitation is economically beneficial, yielding US$9.1 to US$11.2 for every US$1 invested.
Conclusions:
- Sanitation is a profitable investment with clear social and economic advantages.
- Achieving sanitation goals saves lives and promotes economic growth.
- Improved sanitation is foundational for sustainable development.
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