solid waste

Solid Waste Management and Treatment

Photo via UNDP Mali

Solid Waste Management and Treatment

Country
Sector
Most major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Infrastructure
Sub Sector
Most major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Waste Management
Indicative Return
Describes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
20% - 25% (in GPM)
Investment Timeframe
Describes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Short Term (0–5 years)
Market Size
Describes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
USD 50 million - USD 100 million
Average Ticket Size (USD)
Describes the USD amount for a typical investment required in the IOA.
< USD 500,000
Direct Impact
Describes the primary SDG(s) the IOA addresses.
Sustainable Cities and Communities (SDG 11) Responsible Consumption and Production (SDG 12) Decent Work and Economic Growth (SDG 8)
Indirect Impact
Describes the secondary SDG(s) the IOA addresses.
Good health and well-being (SDG 3) Climate Action (SDG 13) Affordable and Clean Energy (SDG 7)

Business Model Description

Invest in solid waste collection, sorting, treatment, and recycling, including plastic, metal, paper, and organic waste. Private companies provide bins for triage and schedule collections. Clients include households, commercial companies, and industrial companies. Materials are transformed into secondary products like plastic pellets, furniture, composite aggregate, and compost. Niche products include Refuse Derived Fuel (RDF) for coal replacement, a waste-to-energy outcome, and Black Soldier Fly-derived animal feed. Return is generated through collection charges and sales of processed materials.

Expected Impact

Promote environmental sustainability by reducing urban pollution and deforestation. Improve public health and water quality through proper waste management and adequate recycling practices.

How is this information gathered?

Investment opportunities with potential to contribute to sustainable development are based on country-level SDG Investor Maps.

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Country & Regions

Explore the country and target locations of the investment opportunity.
Country
Region
  • Mali: Countrywide
  • Mali: Bamako
  • Mali: Ségou
  • Mali: Sikasso
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Sector Classification

Situate the investment opportunity within sustainability focused sector, subsector and industry classifications.
Sector

Infrastructure

Development need
Mali ranked 125th out of 130 on the 2022 World Bank's Infrastructure Index. The country faces disruption in major transportation and supply routes due to local conflicts, and limited waste and sanitation management facilities. These bottlenecks limit productivity growth and disrupt food and healthcare supply systems (3, 5).

Policy priority
Cadre stratégique pour la relance économique et le développement durable 2019-2023 identifies i) the upgrade of transport infrastructure including road, rail, waterway, and air, ii) the provision of universal sanitation services, and iii) the promotion efficient waste management as priority initiatives to promote an inclusive growth in Mali (11).

Gender inequalities and marginalization issues
Poor infrastructure limits women's mobility, economic participation, and healthcare access, while only 17.3% of Malians had access to safely managed sanitation in 2022. Remote regions and conflict-prone regions such as Timbuktu, Gao, and Kidal face severe deficits, isolating communities and disrupting supply chains. Poor transport and sanitation further exclude persons with disabilities from education, jobs, and healthcare (14).

Investment opportunities introduction
Mali’s infrastructure sector offers key investment opportunities in roads, sanitation, energy, water, housing, and telecommunications. With rising demand for improved connectivity and urban development, private investors can help bridge infrastructure gaps, driving economic growth and sustainable development (11).

Key bottlenecks introduction
The high infrastructure costs in Mali, reaching up to USD 56 million, deter private investment, particularly in roads and liquid waste management. These projects often rely on subsidies, government-backed risk-sharing agreements, or public debt financing (11, 13).

Sub Sector

Waste Management

Development need
Every day, 611,518 m³ of polluted water discharges into the Niger River, Mali’s largest water body. This includes 3,000 m³ of chemically contaminated industrial discharge, with over 1,000 m³ from dyeing industries alone, 89% of untreated household wastewater, and solid waste, particularly plastic, dumped through misused rainwater collectors (6).

Policy priority
Politique Nationale d'Assainissement aims to i) collect household solid waste at least one a week for 80% of urban households and for 50% of semi-urban households, and ii) build adequate transit dump and final discharge sites for all cities of over 50,000 inhabitants and for 25% of cities of over 25,000 inhabitants by 2025 (10).

Gender inequalities and marginalization issues
In Mali, 39.2% of urban households rely on private waste collection services, compared to just 4.4% in rural areas. Within urban areas, only 9.6% of households in Bamako dispose of garbage in heaps or nature, while this figure rises to 53.6% in other urban centers. In Bamako, 1 in 2 households use private collection services, compared to just 26.3% elsewhere (12).

Investment opportunities introduction
Mali's waste sector offers strong investment potential. Bamako generates 1.2 million m³ of waste annually, but lacks a landfill or collection center. In other cities, only 10% of waste reaches transit dumps. With 236 mostly informal dumps and a USD 1.6M annual treatment need, private operators can fill critical gaps in collection and recycling (7, 8, 9).

Key bottlenecks introduction
The quality of road infrastructure, competition from imported goods, and uncertainty about consumer preferences may challenge the efficiency and profitability of private sector investments. However, addressing these barriers presents significant opportunities for growth, especially in improving logistics and market access.

Industry

Waste Management

Pipeline Opportunity

Discover the investment opportunity and its corresponding business model.
Investment Opportunity Area

Solid Waste Management and Treatment

Business Model

Invest in solid waste collection, sorting, treatment, and recycling, including plastic, metal, paper, and organic waste. Private companies provide bins for triage and schedule collections. Clients include households, commercial companies, and industrial companies. Materials are transformed into secondary products like plastic pellets, furniture, composite aggregate, and compost. Niche products include Refuse Derived Fuel (RDF) for coal replacement, a waste-to-energy outcome, and Black Soldier Fly-derived animal feed. Return is generated through collection charges and sales of processed materials.

Business Case

Learn about the investment opportunity’s business metrics and market risks.

Market Size and Environment

Market Size (USD)
Describes the value in USD of a potential addressable market of the IOA.

USD 50 million - USD 100 million

CAGR
Describes the historical or expected annual growth of revenues in the IOA market.

5% - 10%

Critical IOA Unit
Describes a complementary market sizing measure exemplifying the opportunities with the IOA.

A minimum of 4.25 million tons of solid waste produced each year, of which 60% are organic.

Mali generates 0.5 to 1 kg of waste per capita daily, totaling up to 8.5 million tons annually. With urbanization growing at 4.57% per year and the population set to double by 2045, municipal solid waste (MSW) pollution is projected to exceed 5%. In Bamako, MSW volume surged by 79.47% annually between 2007 and 2021, highlighting a significant potential for private management (2, 7, 8, 15).

Organic waste accounts for 60% of Mali’s total waste, with fruit and vegetable markets alone generating 25 tons daily per market. In 2023, Mali imported USD 83 million in fertilizers, with a 46.5% annual growth in value from 2019 to 2023. This highlights a significant opportunity to process organic waste into biofertilizers (17, 19).

High-value waste processing techniques like Refuse Derived Fuel (RDF) and Black Soldier Fly (BSF) are gaining momentum in Mali. RDF produces biochar for clean cooking, while BSF is being developed for aquaculture and fish feed. Globally, the markets for these products are projected to grow at a CAGR of 4.3% and 20.2% from 2025 to 2035 (17, 20, 21, 22, 23).

Indicative Return

GPM
Describes an expected percentage of revenue (that is actual profit before adjusting for operating cost) from the IOA investment.

20% - 25%

Consultations with solid waste management operators in Mali, in January 2025, indicate a Gross Profit Margin of 20% based on the recycling of less than 1% of the available organic waste. An increase in the processing capacity could double the sales (17).

An academic study that evaluates the rentability of the production of Black Soldier Fly for animal feed and organic fertilizers in Bamako, Mali, indicates a Gross Profit Margin (GPM) of 102.18% with fly breeding and 51.07% without fly breeding, at a small scale (24).

Investment Timeframe

Timeframe
Describes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.

Short Term (0–5 years)

Loans provided to solid waste management operators in Mali have a tenor of 1 or 2 years (17).

Ticket Size

Average Ticket Size (USD)
Describes the USD amount for a typical investment required in the IOA.

< USD 500,000

Market Risks & Scale Obstacles

Market - High Level of Competition

Private operators that produce biofertilizers from waste may face high level of competition from imported fertilizers (17).

Market - Highly Regulated

Private operators of solid waste management facilities are required to obtain a certificate from Direction Nationale de l'Assainissement before undertaking their activities (17).

Impact Case

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Sustainable Development Need

In 2020, Mali had only two final landfills, in Bamako and Sikasso, for 21.2 million inhabitants. In Bamako, there are no transit dumps in Commune 1, driving populations to illicitly use public roads and rainwater drains for discharge. The four other communes' overloaded transit dumps remain insufficient for the district's 4.2 million inhabitants (6, 18).

Pollution of the Niger River by municipal solid waste (MSW) threatens the environment and public health, affecting 85% of Mali’s population who rely on its resources for irrigation and fishing. Other inland water bodies and communities face similar risks (6, 9, 16).

The reliance on chemical fertilizers and animal-based feed sources, such as fish meal, in Mali contributes to an unsustainable agricultural system, posing long-term environmental and economic risks (17, 23).

Gender & Marginalisation

In 2022, 92.5% of Mali’s urban population lived in informal settlements—2.2 times higher than in 2020—with limited access to private waste collection services. This heightens their risk of flood damage and waterborne diseases like malaria, especially in Gao, Mopti, Ségou, Tombouctou, and Kayes (25, 26, 27).

In Mali's dumps, women are mostly involved in waste sorting, while men recycle plastic and metals artisanally. A survey in Bamako indicates that 90% of them got involved in these jobs due to poverty. These workers are exposed to injury risks due to illegally discharged hazardous medical waste (39).

Only 1.9% of the population uses clean technologies for cooking, and the remainder relies on wood harvested in forests. Waste-to-energy solutions can provide sustainable alternatives (20).

Expected Development Outcome

Private solid waste collection and recycling improves the public management of municipal solid waste, offering cleaner, safer, and sustainable alternatives to households. This significantly reduces public health risks.

Solid waste collection improves the productivity of fishermen and smallholder farmers located in the Niger River basin by improving water quality, enhancing their income prospects and reduce their poverty risks.

Organic waste recycling offers sustainable input alternatives to fishermen and smallholder farmers, allowing the preservation and regeneration of soil and vegetal and animal biodiversity.

Gender & Marginalisation

The collection of household and municipal solid waste within slum and peri-urban communities improve their life quality and health outcomes, contributing to lower flood and waterborne disease risks.

Formal private solid waste management and recycling companies offer safer and cleaner green job alternatives to poor populations invloved in informal waste sorting and recycling.

Organic waste recycling into biochar and alternative energy sources improves access to cleaner cooking technologies, thereby reducing the pressure on forests and soil quality.

Primary SDGs addressed

Sustainable Cities and Communities (SDG 11)
11 - Sustainable Cities and Communities

11.6.1 Proportion of municipal solid waste collected and managed in controlled facilities out of total municipal waste generated, by cities

Current Value

57% in 2018 (14).

Responsible Consumption and Production (SDG 12)
12 - Responsible Consumption and Production

12.5.1 National recycling rate, tons of material recycled

Current Value

Data on the national recycling rate is not available. In 2021, Mali stored 1.2 million m³ solid waste in transit dumps, but only 6.7% of this quantity reached final landfills, the remainder being left untreated (17).

Decent Work and Economic Growth (SDG 8)
8 - Decent Work and Economic Growth

8.3.1 Proportion of informal employment in total employment, by sector and sex

8.5.2 Unemployment rate, by sex, age and persons with disabilities

Current Value

95.4% in 2022, with 94.2% among men and 97.4% among women (30).

5.4% in 2023; 4.2% among men, 7.1% among women, 14.4% among youth aged 15-24, 6.1% among youth aged 25-34, 2.3 among those aged 35-44, and 4% in rural areas (28).

Target Value

Matrix of Agenda 2063 results at the national level targets 1) a national unemployment rate lower than 6%, 2) a reduction of youth unemployment (aged 15-35) to less than 6%, 3) and a total elimination of unemployment in rural areas by 2063 (28).

Secondary SDGs addressed

Good health and well-being (SDG 3)
3 - Good Health and Well-Being
Climate Action (SDG 13)
13 - Climate Action
Affordable and Clean Energy (SDG 7)
7 - Affordable and Clean Energy

Directly impacted stakeholders

People

Urban households benefit from improved and cleaner living conditions, reducing related health risks. Employees of private solid waste management and recycling companies benefit from increased income and revenue.

Gender inequality and/or marginalization

Youth and unemployed people benefit from employment opportunities in the waste management value chain. Those who are already involved in informal waste management and recycling, especially women, benefit from safer and formal green jobs. Slum residents benefit from better living conditions.

Planet

Solid waste collection reduces soil and water table pollution.

Corporates

Industrial and commercial companies benefit from reduced waste accumulatio, thereby increasing their efficiency.

Public sector

Ministère de l'Environnement et du Développement Durable benefits from achieving its targets of collecting solid waste from 80% of urban households and 50% of semi-urban households, as defined in Politique Nationale d'Assainissement (10).

Indirectly impacted stakeholders

People

In the medium-term, urban populations' health improves. Fishermen and smallholder farmers benefit from cleaner, healthier, and more affordable inputs, fostering sustainable agricultural practices.

Planet

In the medium-term, deforestation decreases, air quality improves, urban flood risks decrease, the quality of Niger river improves, and rivers biodiversity regenerates. Livestock health improves with the reduced pollution of water tables with chemical fertilizers and pesticides.

Public sector

Ministère de la Santé benefits from reduced healthcare cost due to waste-related waterborne diseases.

Outcome Risks

If collected waste is not properly processed, and residual waste is dumped or burned outside of dedicated incinerators, it could lead to increased water and air pollution.

Reclycling processes such as platic melting and refuse derived fuel production consume significant energy and emit pollutants. This could increase the carbon footprint of the operations if mitigation strategies are not in place.

Impact Risks

Frequent power outages may disrupt the operations of plastic pelleting and recycled furniture machines, limiting the efficiency and expected income effects of this business model.

If informal waste pickers and recyclers, especially women, are not included in the operations value chain, the expected impact on their health, job security, and income prospects may be limited.

If the private operators concentrate their operations only in large agglomerations and industrial areas, the more vulnerable urban populations may be excluded from this opportunity.

Impact Classification

C—Contribute to Solutions

What

Solid waste management and recycling improves urban life quality by reducing pollution and flooding risks, reduces deforestation and soil degradation, and fosters sustainable farming practices.

Who

Urban populations and slum dwellers, fishermen and smallholder farmers, people involved in informal waste sorting and recycling, and industrial and commercial companies benefit from this IOA.

Risk

Power outages, failure to include informal waste pickers and recyclers in the value chain, and limited integration of less agglomerated and industrial areas could limit the impact of this IOA.

Contribution

Private collection and recycling of municipal solid waste complements the collection efforts from Ozone Mali, Cogiam, indepedent interest economic groups, and unofficial carriers (7).

How Much

Private solid waste management and recycling could reduce the quantity of untreated municipal solid waste, which stood at 1.2 million m³ in transit dumps in 2021 (7).

Impact Thesis

Promote environmental sustainability by reducing urban pollution and deforestation. Improve public health and water quality through proper waste management and adequate recycling practices.

Enabling Environment

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Policy Environment

Politique Nationale d'Assainissement, 2009: targets i) waste collection services for 80% of urban households and 50% of semi-urban households, and ii) construction of solid waste treatment sites for all cities of over 50,000 inhabitants and for 25% of cities of over 25,000 inhabitants by 2025 (10).

Cadre stratégique pour la relance économique et le développement durable, 2019-2023: prioritizes the development of wastewater infrastructure and networks, and the structuring of waste management and treatment processes (11).

Contribution Déterminée au Niveau National Révisée, 2021: outlines priority initiatives to mitigate climate change by 2030, including the production of organic manure from agricultural waste (33).

Financial Environment

Financial incentives: Cordaid provides up to USD 411,000 in short term loans per cycle to finance the operations of private solid waste management companies in Mali. The loans have a tenor of 2 years (17).

Financial incentives: Fonds de Garantie pour le Secteur Privé offers 50% to 70% loan guarantees for solid waste management companies in Mali with over a year of operation. It covers loans up to USD 641,225 and provides co-guarantees for loans exceeding USD 1.6 million (17, 31).

Fiscal incentives: New investment projects under USD 500,000 benefit from tax exemptions for the first 5 years. Scale-up investments are exempt from import duties, taxes on equipment, IBIC withholding tax, and VAT on technical assistance for two years (32).

Regulatory Environment

Decree No. 01-394/P-RM on solid waste management, 2001: allows private operators to collect, sort, transport, store or dispose of, and recover solid waste, under Article 27, provided they obtain prior approval from ministère de l'Envrionnement (34).

Law No. 2021-032 on pollution and nuisance, 2022: requires households, agro companies, and industrials to dispose of the waste they produce without polluting the environment (35).

Marketplace Participants

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Private Sector

Macrowaste, Sanuva, Damegreen, Green Energy Mali, Ozone Mali, Green Energy Mali, Yirimex SA, Damegreen, Fonds de Garantie pour le Secteur Privé.

Government

Ministère de l'Environnement, Direction Nationale de l'Assainissement, Direction Nationale de l'Assainissement et du Contrôle des Pollutions et des Nuisances, Agence Malienne pour le Développement des Biocarburants.

Multilaterals

Cordaid, World Bank, German Cooperation.

Non-Profit

Collectif des Groupements Intervenants dans l'Assainissement (COGIAM), Groupement d'intérêt économique Koyra Cinaro, Valorization Center of Organic Urban Waste.

Target Locations

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country static map
urban

Mali: Countrywide

Mali stored 1.2 million m³ solid waste in transit dumps in 2021, but only 6.7% of this quantity reached final landfills, the remainder being left untreated (7).
urban

Mali: Bamako

Bamako is the largest producer of solid waste in Mali. It received 3,209 m³ of waste on average daily in transit dumps in 2021, totalling 1.1 million m3 of waste of 96.45% of the national production (7).
urban

Mali: Ségou

Ségou received the secong largest amount of solid waste (13,926 m³) in transit depots in 2021 (7).
semi-urban

Mali: Sikasso

Sikasso is an agricultural hub that offers the potential for large volumes of biodegradable waste from fruit and cotton farming. The growing secondary cities of Sikasso and Koutiala also offer a potential for municipal waste management, with over 5,000 m³ produced in 2021 (7).

References

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