Following IWA’s 2nd International Water Regulators Forum held in 2015 in London, three working reports were published as key outcomes of the Forum. This first working paper focuses on Regulatory Tools for Sustainable Financing. Specifically, it highlights the central issue for economic regulators of creating incentives for investment in water and wastewater infrastructure. Also, in light of this, the importance of developing and implementing mechanisms that favour investment and long-term planning to maintain and improve the technical and environmental performance and quality of services, a central issue for economic regulators.