The document discusses alternatives to public sector financing for water and sanitation projects, including commercial finance options. It describes global trends from the 1990s focus on private sector investment to calls in the 2000s for increased aid. However, new approaches are emerging like leveraging local resources through improved cost recovery by utilities and facilitating domestic market borrowing. A few case studies show how utilities and small providers have accessed finance. Microfinance also has high potential but more evidence is needed at scale. Measures are required to achieve sustainability in commercial financing for both utilities and microfinance.