The Ugandan water supply and sanitation sector has made spectacular progress in urban areas since the mid-1990s, with substantial increases in coverage as well as in operational and commercial performance. Sector reforms in the period 1998-2003 included the commercialization and modernization of the National Water and Sewerage Corporation (NWSC) operating in cities and larger towns, as well as decentralization and private sector participation in small towns. These reforms have attracted significant international attention. However, 40% of the population still had no access to an improved water source and 57% had no improved sanitation in 2004. Low access to urban sanitation and wastewater treatment, compared to the progress achieved on urban water supply, is an area of concern.